The Nigerian Upstream Petroleum Regulatory Commission, NUPRC, said domestic refiners received 53.7 million barrels of crude oil and condensate in the second quarter of 2026, representing 97.4 per cent performance under the Domestic Crude Supply Obligation.
The commission said the figures reflected continued enforcement of the DCSO framework established under Section 109 of the Petroleum Industry Act, as Nigeria seeks to increase domestic refining and reduce dependence on imported petroleum products.
Under the DCSO framework, the commission holds monthly consultations with crude oil producers and licensed domestic refineries before assigning producers specific volumes of crude and condensate to offer to local refiners.
However, the PIA provides for a “willing buyer, willing seller” arrangement, meaning that volumes allocated or offered by producers do not necessarily translate into equivalent quantities ultimately purchased by refiners.
In April, the commission allocated 18.13 million barrels to producers, who subsequently offered 19.31 million barrels to domestic refiners.
Actual supplies during the month reached 20.88 million barrels, representing 114.9 per cent performance against the allocated volume.
The trend weakened in May, when producers received an allocation of 18.78 million barrels and offered 23.19 million barrels to refiners.
Actual deliveries, however, stood at 14.23 million barrels, translating to 75.8 per cent compliance for the month.
Performance improved again in June, with 18.17 million barrels allocated to producers and 26.84 million barrels offered to domestic refiners.
The refiners ultimately took 18.61 million barrels, representing 102.4 per cent performance against the monthly allocation.
The NUPRC said the improvement in domestic crude supply coincided with increased oil production and the execution of long-term crude supply agreements backed by bankable Sales and Purchase Agreements between producers and domestic refiners.
The NUPRC figures also showed the dominant role of the Dangote Refinery in Nigeria’s domestic crude market during the quarter.
The refinery required 63 million barrels during Q2, while producers offered it 68.1 million barrels, equivalent to 98 per cent of all volumes offered during the period.
However, the refinery accepted 52.6 million barrels, meaning it took 78 per cent of the volume offered to it.
The figures highlight the difference between crude availability and actual uptake by domestic refineries, a factor that remains important to the effectiveness of the DCSO framework.
For Nigeria’s refining ambitions, sustained access to locally produced crude remains critical to increasing refinery utilisation, strengthening domestic petroleum supply and reducing exposure to imported refined products.
The commission said it would continue to enforce the DCSO while leveraging the provisions of the Petroleum Industry Act 2021 to support the Federal Government’s objective of achieving greater energy sufficiency.
It also said sustaining recent gains in crude oil production and strengthening long-term supply arrangements would remain central to improving crude availability for domestic refiners.
The Q2 figures therefore point to stronger overall compliance, although monthly performance varied significantly and the volume of crude ultimately accepted by refiners remained below the quantities offered by producers.
The NUPRC said it remained committed to sustaining the gains recorded under the DCSO framework and ensuring that Nigeria’s growing refining capacity is supported by a more reliable domestic crude supply system.
