Dangote refinery seeks crude oil from Libya, Angola amid supply challenges

(MENAFN) Nigeria’s Dangote Refinery, the largest refinery in Africa, is actively negotiating with Libya to secure crude oil supplies for its 650,000 barrel-per-day facility. Additionally, the refinery is exploring options to obtain oil from Angola as part of its strategy to address ongoing local supply issues. This USD20 billion refinery, constructed by Africa's wealthiest individual, Aliko Dangote, is situated on the outskirts of Lagos and was built to eliminate Nigeria's reliance on imported fuel due to the country’s insufficient refining capacity.

Since its launch in January, the Dangote Refinery has faced difficulties in sourcing sufficient quantities of crude oil from Nigeria. The country’s oil industry is plagued by theft, pipeline sabotage, and underinvestment, despite Nigeria being Africa's largest oil producer. As a result, the refinery has had to import crude oil from far-flung locations such as Brazil and the United States.

Devakumar Edwin, Chief Executive of Dangote Refinery, confirmed in a recent statement that discussions are underway with Libya and Angola, among other African nations, to secure crude oil supplies. Additionally, Edwin mentioned that international traders and oil companies are among the primary purchasers of Dangote's gasoil, most of which is exported. The refinery is also focused on expanding its gasoil exports to West Africa, aiming to capture market share from European refineries, according to trading and shipping data.  

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