Dangote Refinery Purchases Two Million Barrels of US Oil Amid Production Ramp-Up.

Written on 20/11/2024
BNN Bloomberg

Nigeria’s Dangote Refinery has secured its first shipment of US crude oil in three months, purchasing approximately two million barrels of WTI Midland crude from Chevron Corp.

This development signals the refinery's ongoing efforts to enhance production capabilities. The cargo is expected to arrive at the facility near Lagos next month, according to sources familiar with the transaction.

The move marks a significant step in the refinery's operational expansion as it seeks to reshape Africa’s energy landscape with its large-scale processing capacity.



Earlier this year, Dangote was typically receiving one or two supertankers of US crude every month alongside domestic supplies. But the flows waned in the summer as the refinery switched to taking more local output, amid an agreement to take up to 400,000 barrels a day of Nigerian crude paid for in local currency. 

Dangote is taking a growing role in US and European oil markets, after gradually raising purchases of crude from Nigeria and the US. The plant’s pull on those barrels increases the competition for the oil faced by traditional buyers in Europe.  

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