Business
Dangote refinery raises processing capacity to 700,000 barrels per day
Dangote Petroleum Refinery and Petrochemicals says it has increased its crude oil processing capacity to 700,000 barrels per day (bpd), surpassing its installed nameplate capacity of 650,000 bpd following a performance assessment by its process licensors.
The development marks a significant operational milestone for the refinery, which is widely regarded as the world’s largest single-train petroleum refining facility.
In a statement shared with PREMIUM TIMES on Thursday by the Group Chief Branding and Communications Officer of Dangote Group, Anthony Chiejina, the company explained that the increase demonstrates the refinery’s ability to process additional feedstock while optimising performance across its production units.
In his remark, Vice President, Oil and Gas at Dangote Industries Limited, Devakumar Edwin, said the refinery’s latest output increase forms part of a broader expansion strategy aimed at scaling capacity to 1.4 million bpd within the next 30 months.
Mr Edwin said the proposed expansion could position the facility among the largest refining complexes globally, while strengthening Nigeria’s drive for energy self-sufficiency.
“The refinery’s growth trajectory reflects a deliberate move toward continental and global refining dominance, not just domestic supply sufficiency,” he said.
The announcement of reaching 70, 000 capacity comes a few days after the refinery chief executive disclosed that the production target of 70,000 barrels per day would be reached by 2028.
On Tuesday, the refinery CEO, David Bird, while speaking during the S&P Global Energy Middle East Petroleum and Gas Conference in London, said the refinery is currently operating at full nameplate capacity and is planning what he described as a “ruthless replication” strategy to expand output.
“We will bring 700,000 barrels per day of fully complex refining capacity on stream by the end of 2028,” he said, adding that long-lead equipment has already been procured while construction contracts are being awarded.
He added that the group could eventually increase refining capacity to 2.1 million bpd, supported by plans for another refinery in East Africa, positioning the company as a major player in global crude and refined product markets.
“Nigeria has gone from fuel scarcity to absolute fuel abundance since the Dangote refinery came online,” Mr Bird said.
According to Kpler data cited last month, the Dangote Petroleum Refinery exported an estimated 57 million barrels of jet fuel between April 2024 and April 2026.
The data showed exports rose from about 20,000 barrels per day in April 2024 to around 65,000 barrels per day by the end of that year before peaking at approximately 160,000 barrels per day during the review period.
The figures highlight the growing role of refined petroleum exports in Nigeria’s energy sector, particularly aviation fuel, as the country seeks to strengthen domestic refining capacity and reduce dependence on imported products.
Expansion plans and export ambitions
Owned by industrialist Aliko Dangote, the refinery commenced fuel production in 2024 and has since expanded output to include petrol, diesel, aviation fuel, and other refined petroleum products.
The company said the facility now supplies both domestic and international markets, exporting refined products to several African countries and to European destinations, including the United Kingdom, France, Spain, Italy, and the Netherlands.
It also said refined products from the facility have reached markets in the United States, while jet fuel exports have extended to Saudi Arabia.
Dangote Industries argued that the refinery has increasingly played a stabilising role in regional fuel markets amid supply disruptions linked to geopolitical tensions in the Middle East, with more African countries turning to the facility for energy security.
Growing global footprint
The refinery’s rising output has further strengthened its position in global fuel markets.
The company noted that the facility emerged as the world’s largest exporter of jet fuel in April, citing data from S&P Global Commodities.
Industry analysts say the refinery’s operations have already contributed to reducing Nigeria’s reliance on imported petroleum products, easing pressure on foreign exchange demand and improving local fuel availability.
READ ALSO: Dangote refinery can supply Jet Fuel Globally — Official
As production volumes increase, the refinery has also attracted stronger engagement from international crude suppliers and commodity traders, sourcing feedstock from both domestic and foreign producers to sustain rising throughput.
Dangote Industries said the planned expansion to 1.4 million bpd by 2028 is expected to generate broader economic benefits, including job creation, increased industrial activity and improved trade balances.
The refinery also expects to deepen downstream industrialisation through increased supply of liquefied petroleum gas (LPG), polypropylene and other industrial feedstocks used in manufacturing.
Plans also include production of Linear Alkylbenzene (LAB), a key raw material used in detergent manufacturing, as part of efforts to expand the country’s petrochemical value chain.
The Nigerian Electricity Regulatory Commission (NERC) will kick off the Net Billing Regulations 2026 to strengthen energy security and expand renewable energy nationwide.
The commission announced its plan in a public notice on Wednesday, addressed to electricity consumers, distribution companies, renewable energy developers, commercial and industrial customers, and the general public.
According to NERC, the regulations establish a framework that enables eligible electricity customers, referred to as “prosumers,” to generate electricity primarily through renewable energy sources such as solar photovoltaic systems for their own consumption while exporting excess electricity to distribution networks under a net billing arrangement.
“The Nigerian Electricity Regulatory Commission (NERC) hereby notifies electricity consumers, distribution companies, renewable energy developers, commercial and industrial customers, and the general public of the commencement of the Net Billing Regulations 2026.”
NERC further stated that the new framework is designed to promote the adoption of renewable energy technologies, enhance energy security, and reliability for electricity consumers.
Similarly, the regulators explained that the move was aimed at encouraging private sector participation in distributed electricity generation, supporting efforts to reduce greenhouse gas emissions and facilitate efficient integration of renewable energy systems into distribution networks.
Eligibility requirements:
To participate in the net billing scheme, the commission explained that customers must be connected to the network of a licensed electricity distribution company.
Moreover, the customers must install renewable energy systems that comply with technical standards and regulatory requirements; deploy renewable energy systems with installed capacities ranging from a minimum of 50 kilowatt peak (kWp) to a maximum of 1.5 megawatt peak (MWp).
Besides, the customers are also required to obtain approval from the relevant distribution company and execute a Net Billing Agreement and register with NERC.
The commission said interested customers are expected to apply through their distribution companies for technical feasibility assessments before approval.
“Upon approval and execution of a Net Billing Agreement, the applicant shall register with NERC in accordance with the provisions of the Regulations.”
READ ALSO: NERC approves special compensation for Band A customers affected by power shortfalls
Metering/compensation
NERC said approved participants would be provided with bidirectional net meters to measure electricity imported from and exported to distribution networks.
The commission added that surplus electricity exported to the grid would attract credits based on export tariffs approved under the regulations.
The move comes amid increasing interest in decentralised power generation and rising adoption of solar energy solutions among households and businesses seeking alternatives to unreliable grid supply.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has announced that the 2026 oil and gas licensing round will commence by the third quarter of 2026, following approval from the Minister of Petroleum Resources.
The commission disclosed this in a statement issued on Wednesday after a visit by Meren Energy, formerly Africa Oil, to its headquarters in Abuja.
According to the statement, NUPRC Chief Executive Officer, Oritsemeyiwa Eyesan, announced the timeline while receiving the delegation.
“The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) says the 2026 Licensing Round will commence latest by Q3 2026, having received the approval of the Minister of Petroleum Resources in line with the Petroleum Industry Act,” the statement said.
Mrs Eyesan expressed satisfaction with the progress of the ongoing 2025 Licensing Round, noting that the commercial bid phase is scheduled for July, after which preparations for the next round would begin.
A licensing round is a competitive process through which governments allocate oil and gas exploration and production rights to companies.
2025 licensing round
The announcement comes months after the NUPRC, under its former Chief Executive, Gbenga Komolafe, launched the 2025 licensing round, which took effect from 1 December 2025.
At the launch, Mr Komolafe said the commission was focused on addressing funding constraints in the upstream sector by improving collaboration among stakeholders.
“One of the factors that affected business is that activities were happening in silos, but the NUPRC now realises the need to bring everyone together,” he said.
As part of preparations for the 2025 exercise, the commission in January invited global energy investors, upstream operators, financial institutions and strategic partners to a webinar ahead of the bid process.
In March, the NUPRC announced the completion of the pre-qualification stage, enabling successful applicants to access and lease relevant geological and technical data required for technical and commercial bid submissions.
“With the pre-qualification stage now successfully completed, the Commission will, from today, March 17, 2026, permit successful applicants to lease data in preparation for the technical and commercial bid submissions,” the commission said at the time.
The regulator added that applicants would only be allowed to source data from approved channels and must provide evidence of payment before submitting bids.
‘Attractive investment destination’
Speaking on Wednesday, Mrs Eyesan said increased participation in the 2025 licensing round reflects growing confidence in Nigeria’s oil and gas sector.
She attributed this to rising investments, improved production levels and reforms implemented under President Bola Tinubu’s administration.
“We are also fortunate that the President and Minister of Petroleum Resources have approved the 2026 Licensing Round,” she said.
“So, we are in the process of finalising the 2026 launch which will happen latest by the third quarter. So, this is the make-or-break point, and we want to make sure we make it.”
ALSO READ: Nigerian govt inaugurates new NUPRC board members
Also speaking, Meren Energy Group CEO, Oliver Quinn, said reforms in Nigeria’s oil and gas sector have encouraged the company to expand its investments and participate more actively in asset acquisitions and licensing opportunities.
Mr Quinn said Nigeria remains Meren Energy’s top investment destination in Africa.
“We have operated in Agbami, Akpo and Egina world-class fields. I think till date, in 20 years, about $11 billion in capital from our side has gone into these assets, and about $4 billion has gone to tax and royalties,” he said.
“Nigeria remains the core of our business today because of the quality of these assets.”
According to him, the company is encouraging its partners to deepen investments in existing assets to boost production.
Mr Quinn also said Meren Energy was the first company in Nigeria to sell crude oil to the Dangote refinery and would continue to meet its Domestic Crude Supply Obligation, provided commercial terms remain favourable.
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