Oil Refining Boom Needs a Bigger Upstream Engine
Nigeria’s refining landscape is transforming rapidly with the ramp-up of the Dangote Refinery and modular refineries across the country, creating unprecedented domestic demand for crude oil.
However, with domestic refining needs projected to exceed 1.5 million barrels per day against an average production hovering around 1.6 to 1.7 million barrels per day, a critical upstream challenge emerges: Can Nigeria produce and supply enough crude locally to sustain its refining ambitions?
In this episode of Behind the Headlines, Deborah Aay sits down with Dipo Oladehinde, Head of the Energy Desk at BusinessDay, to examine whether Nigeria is building refining capacity faster than the upstream sector can sustain, and what steps must be taken to unlock reserves and boost production.
Key Discussion Points:
0:00 – Introduction: The Domestic Crude Supply Squeeze
0:35 – Refining Demand vs. National Oil Production
1:40 – Historical Context: From Product Imports to Local Refining
2:34 – Dangote Refinery Scaling & Crude Feedstock Needs
3:35 – Upstream Solutions: Bid Rounds, OPL 245 & Exploration Incentives
Subscribe to BusinessDay Television for in-depth analysis on energy, business, and policy across Nigeria and Africa.
#Nigeria #Oil #DangoteRefinery #BusinessDayTV #CrudeOil #BehindTheHeadlines #NigeriaEconomy #UpstreamOil
