ENERGY | OIL AND GAS | DOMESTIC REFINING
Nigeria’s crude oil producers offered 182 million barrels of crude oil to domestic refiners between January and August 2026, but only 112 million barrels were transacted during the period, according to figures released by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
The figures indicate that transactions covered approximately 61.4 per cent of the total volume offered, leaving a gap of 70 million barrels between the crude oil offered and the volume transacted.
NUPRC Chief Executive Officer Oritsemeyiwa Eyesan disclosed the figures on Monday at the third Nigeria Oil Refining Summit in Lagos. She was represented at the event by Boma Atiyegoba, a deputy director at the commission.
Crude Supply Exceeded Refiners’ Declared Requirements
Eyesan said producers offered 182 million barrels during the eight-month period, compared with domestic refiners’ declared requirement of 154.6 million barrels.
The volume offered was therefore approximately 118 per cent of the refiners’ stated requirements.
Despite the volume offered exceeding the declared demand, the difference between offers and completed transactions highlights the importance of examining the commercial and operational factors affecting domestic crude supply arrangements.
The figures distinguish between crude oil made available for potential purchase and volumes that ultimately proceeded to transactions. They do not, by themselves, establish how much crude was physically delivered to refineries or processed into finished petroleum products.
Understanding the 70 Million-Barrel Gap
The difference between the 182 million barrels offered and the 112 million barrels transacted was 70 million barrels.
Several factors can influence crude oil transactions between producers and refiners, including pricing arrangements, crude grades, payment terms, shipping and delivery schedules, refinery requirements and contractual negotiations.
However, the figures announced at the summit do not identify the specific reasons why all the offered volumes were not transacted.
A clearer assessment would require information on the individual supply agreements, the quantities delivered, outstanding transactions and the commercial conditions attached to the offers.
Implications for Nigeria’s Refining Industry
Nigeria has sought to strengthen domestic refining capacity and reduce its exposure to imported refined petroleum products.
Reliable access to crude oil is central to achieving those objectives. Refinery operators require consistent supplies of suitable crude grades, while producers and refiners must agree on commercially workable terms.
The difference between offers and transactions therefore raises questions about the effectiveness of existing supply arrangements and the conditions required to turn crude availability into actual refinery feedstock.
The NUPRC figures provide an important snapshot of domestic crude supply negotiations between January and August 2026. Further details on deliveries, refinery utilisation and the reasons for uncompleted transactions would help establish how effectively the available crude is supporting domestic refining.