Dangote Petroleum Refinery is set to import Brazilian crude oil, according to Bloomberg. This adds to the growing number of foreign crude imports by the Nigerian company. 

Local refiners, including Dangote, have raised concerns about Nigeria’s low crude oil output, which limits their access to domestic crude. 

Despite efforts by the Nigerian Upstream Petroleum Regulatory Commission to boost production, most of Nigeria’s oil is exported due to pre-arranged contracts with International Oil Companies and the Nigerian National Petroleum Company Limited.

Bloomberg reported that Dangote refinery, still increasing its capacity, will receive a shipment of one million barrels of Tupi crude from Brazil next month. 

The refinery has already purchased millions of barrels of American crude. These purchases are likely due to the competitive pricing and suitability of non-Nigerian barrels. Petrobras, a Brazilian state-owned company, sold the cargo.

This marks Brazil’s first oil export to Nigeria. Recently, Dangote refinery bought five million barrels of US crude, with plans to purchase 24 million barrels over the next year. 

Modular refiners believe crude importation will continue until Nigeria can meet domestic demand and export needs.