NNPC Limited delivered 48 million barrels of crude oil to Dangote Refinery under last year’s Federal Government crude-for-Naira agreement.
This six-month supply initiative aims to boost local refining capacity and reduce reliance on imported petroleum products.
Chief Corporate Officer Olufemi Soneye confirmed the milestone Thursday, emphasizing the partnership’s role in strengthening Nigeria’s energy independence.
The deal, which commenced in October 2024, is set to expire in March 2025.
Addressing speculation regarding the status of the agreement, NNPC clarified that it had not unilaterally terminated the contract.
Meanwhile, NNPC and Dangote Refinery are negotiating a new supply agreement to replace the contract expiring in March 2025.
Originally structured as a six-month agreement subject to availability, the Naira-based crude oil sales contract concludes this spring.
Discussions are currently ongoing towards implementing a new contract,” Soneye stated.
Since its commencement of operations in 2023, Dangote Refinery has received over 84 million barrels of crude oil from NNPC under various agreements, including the current crude-for-Naira arrangement.
The refinery, which is expected to play a significant role in meeting Nigeria’s domestic fuel demand, remains a key partner in NNPC’s strategy to enhance local refining capacity.
“NNPC Limited remains committed to supplying crude oil for local refining based on mutually agreed terms and conditions,” Soneye added.
The crude-for-Naira deal is part of broader efforts by the Federal Government to strengthen Nigeria’s energy sector and reduce foreign exchange outflows associated with petroleum imports.
Both parties are expected to conclude negotiations for a new agreement in the coming months.
Further updates on the discussions between NNPC and Dangote Refinery are anticipated as the expiration of the current contract approaches.