Nigeria Crude Supply to Local Refineries Surges 88.4% in Q2 2026

Crude oil deliveries to Nigeria's domestic refineries surged by 88.4 percent in the second quarter of 2026, as the government's Domestic Crude Supply Obligation recorded a 97.4 percent performance, according to new data from the Nigerian Upstream Petroleum Regulatory Commission. The commission reported that local refineries received 53.7 million barrels of crude oil and condensate between April and June, a significant increase from the 28.5 million barrels delivered in the first quarter.

The sharp improvement marks a turnaround in the implementation of the DCSO, a framework established under the Petroleum Industry Act to ensure crude producers make oil available to domestic refineries. The commission attributed the progress to increased local oil production and the signing of long-term crude supply agreements supported by bankable sales and purchase agreements between producers and refiners.

On a monthly basis, the commission meets with stakeholders, including crude oil producers and licensed domestic refineries, to allocate specific volumes of crude and condensate for supply. However, the framework operates on a willing buyer, willing seller basis, which ultimately shapes...