Africa’s Largest Oil Producer Imports Libyan Crude for First Time as Dangote Refinery Seeks Alternative Supply
Nigeria, Africa’s largest oil producer, has imported crude oil from Libya for the first time on record, highlighting the growing challenges facing local refiners in securing adequate domestic crude supplies despite the country’s vast oil production.
According to data from the Energy Research Unit, Nigeria imported approximately two million barrels of Libyan crude in May 2026, averaging about 64,500 barrels per day. The shipment represents the first documented import of Libyan crude into Nigeria since available records began in 2013, marking a significant shift in Africa’s energy trade landscape.
The development comes as the 650,000-barrel-per-day Dangote Petroleum Refinery, owned by billionaire businessman Aliko Dangote, continues to diversify its crude sources to sustain operations amid persistent shortages of locally supplied crude.
The latest transaction also signals Libya’s growing role in regional oil trade. Despite years of political instability, production disruptions and disputes over oil revenues following the fall of Muammar Gaddafi, Libya remains Africa’s largest holder of proven crude oil reserves, estimated at nearly 48 billion barrels.
Reports had emerged in 2024 that the Dangote Refinery was exploring the possibility of sourcing crude from Libya. Although Libya’s National Oil Corporation denied those reports at the time, the latest import data confirms that Libyan crude has now entered Nigeria’s refining system.
The refinery’s decision reflects a broader strategy to build a more flexible crude slate capable of processing different grades of oil from across the world.
Libya has also been expanding its customer base across Africa. Egypt imported about 33,000 barrels per day of Libyan crude in April 2026 after purchasing 57,000 barrels per day in February, while Tunisia increased its imports to approximately 19,000 barrels per day in March and 10,000 barrels per day in May.
However, despite gaining new markets in Nigeria and maintaining strong demand from European buyers such as Italy, Libya’s overall crude exports declined by around 11 percent to approximately 1.07 million barrels per day in May, the lowest level recorded in several months.
The import further exposes the paradox within Nigeria’s petroleum industry. Although the country remains one of Africa’s leading crude producers, domestic refiners continue to struggle to secure sufficient feedstock from local producers.
Official figures indicate that Nigeria exported about 148.9 million barrels of crude worth roughly N20.22 trillion during the first five months of 2026, accounting for nearly 69 percent of total crude production over the period. As a result, local refineries have been forced to compete for the remaining supply, compelling operators like Dangote to increasingly depend on foreign crude.
So far in 2026, the Dangote Refinery has sourced crude from several countries, including Angola’s Cabinda and Saxi Batuque grades, Ghana’s Jubilee crude, as well as supplies from Libya and Guyana for the first time. The refinery has also imported crude from the United Arab Emirates, complementing earlier purchases from the United States, Brazil, Algeria and Equatorial Guinea.
Industry analysts say the refinery’s expanding list of suppliers demonstrates its commitment to ensuring uninterrupted operations while reducing dependence on any single crude source.
Meanwhile, Nigeria’s refining sector continues to evolve beyond crude sourcing. Regional fuel trading patterns are also changing, with Lomé, Togo, increasingly serving as a refined petroleum products hub. Reports indicate that some Nigerian fuel marketers have imported Dangote-produced petroleum products back into Nigeria through offshore ship-to-ship transfers routed via the Togolese port.
As the Dangote Refinery continues to scale up production, demand for diverse and reliable crude supplies is expected to grow even further. The company is targeting an expansion of its refining capacity from 650,000 barrels per day to approximately 1.4 million barrels per day by 2028, a move expected to reshape fuel production and energy security across Africa.
