Dangote Refinery Purchases 2 Million Barrels of UAE Crude in Supply Pivot

Nigeria’s 650,000-barrel-per-day Dangote Refinery has secured its first shipment of crude oil from the United Arab Emirates, according to trade sources and shipping data. The move marks the first time the multi-billion-dollar facility has looked to the Middle East to meet its feedstock requirements as it scales up operations. Strategic Feedstock Diversification The refinery, located in the Lekki Free Trade Zone, purchased 2 million barrels of UAE Upper Zakum crude from the commodity trading firm Trafigura. This cargo is scheduled for delivery in early June. While the refinery is designed to process various grades of crude, this purchase indicates a strategic shift toward diversifying its supply chain beyond domestic Nigerian crude. The Upper Zakum grade, produced by the Abu Dhabi National Oil Company (ADNOC), is known for its medium-gravity properties. Integrating Middle Eastern crude allows the refinery to optimize its production mix for high-value fuels like diesel and aviation turbine kerosene. Industry analysts note that importing international grades can be more cost-effective depending on the prevailing premium of Nigerian Bonny Light or Escravos grades. Scaling to Full…