- David Bird, CEO of Dangote Refinery, described the Naira-for-Crude arrangement with President Tinubu’s government as “incredibly successful,” while noting that 65% of crude supply is still imported
- The Nigerian National Petroleum Company (NNPC) currently provides around 35–40% of the refinery’s 650,000-barrel-per-day capacity, with discussions ongoing to increase this allocation
- Bird clarified that the refinery imports only intermediate feedstocks, not finished products, emphasising that the arrangement aims to reduce production costs, though global crude prices continue to affect domestic fuel prices
The Chief Executive Officer of Dangote Refinery, David Bird, has described the Naira-for-Crude arrangement between the refinery and President Bola Ahmed Tinubu’s government as “incredibly successful,” while noting that the plant still relies on imports for about 65 percent of its crude supply.
Speaking at a press conference on Wednesday, Bird said the Nigerian National Petroleum Company (NNPC) currently supplies roughly 35–40 percent of the refinery’s 650,000-barrel-per-day capacity. He added that Dangote, the refinery’s president, is actively engaging with NNPC to increase this allocation.
“We hope that we can increase that. The president is in ongoing discussions with NNPC to try and increase that level of allocation. We think it is incredibly successful. We appreciate government support,” Bird said.
He clarified that the refinery does not import finished petroleum products, but instead brings in intermediate feedstocks and components to enhance production. “I can guarantee you we are not importing finished products. I am a refinery. I have no interest in importing finished products,” he noted.
The Naira-for-Crude deal, launched in October 2024, aims to reduce production costs. Though it faced some challenges in 2025, the federal government confirmed its indefinite continuation in April of that year.
Despite the arrangement, global crude price fluctuations continue to influence domestic fuel costs, as seen in recent weeks with Dangote Refinery’s increase in petrol gantry prices, which pushed retail fuel prices nationwide to between N839 and N905 per liter.
Dangote refinery to refund N65 per litre to marketers following petrol price reduction
Meanwhile, TheRadar earlier reported that Dangote Petroleum Refinery & Petrochemicals announced a N65 per litre refund to marketers who previously purchased Premium Motor Spirit (PMS), commonly known as petrol, at higher rates before the recent price reduction.
The initiative aimed to ensure that Nigerians benefit from more affordable fuel. The refinery recently reduced its ex-depot price from N890 per litre to N825 per litre.