Dangote Refinery Extends U.S. Crude Buying Spree into July with 5 Million Barrel Order

The Dangote Petroleum Refinery has reportedly secured plans to import at least five million barrels of U.S. West Texas Intermediate (WTI) crude oil in July, according to three trading sources familiar with the development.

The import volumes mark a continuation of the refinery’s pivot toward international crude markets to support its operational ramp-up, with commodity trading firms Vitol, Socar, and Glencore winning supply tenders for next month’s deliveries.

Tender awards and July shipment breakdown

Reports show that Vitol secured two million barrels for July, while Azerbaijan’s state-owned Socar and commodities giant Glencore are supplying two million and one million barrels, respectively. The shipments translate to an average of 161,000 barrels per day (bpd) for July—lower than the 300,000 bpd booked in June.

The refinery, located on the outskirts of Lagos, is Africa’s largest with a capacity of 650,000 bpd and a total investment value of $20 billion. Despite its scale, Dangote has had difficulty securing sufficient domestic crude supplies, prompting an increase in international sourcing.

Scale-up challenges amid local supply constraints

While the refinery’s demand for crude grows, consistent supply from local producers has remained an issue. Dangote’s previous record for U.S. crude imports stood at 173,000 bpd in April, according to data from energy analytics firm Kpler.

To mitigate supply gaps, Dangote Industries has announced plans to source additional crude oil from other African producing nations. These alternative arrangements come as the company continues to engage with Nigeria’s state-owned Nigerian National Petroleum Company Limited (NNPC), particularly over terms related to a naira-for-crude agreement.

Market impact and regional fuel supply dynamics

With operations now underway, the Dangote Refinery has effectively shifted Nigeria’s role in the regional fuel supply chain. The country, once Africa’s largest importer of refined fuels, is now producing enough to meet domestic demand and export to neighbouring countries.

South Africa has since overtaken Nigeria as the continent’s largest fuel importer, partly due to declining operational refining capacity within its borders.

As Dangote pushes forward with its crude sourcing strategy and production goals, the refinery is increasingly reshaping Africa’s energy landscape—creating new trade routes and altering regional import dynamics.