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Nigerian Refineries Receive 127m Barrels of Crude in Nine Months – NUPRC

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has disclosed that domestic refineries received more than 127 million barrels of Nigerian crude oil and condensate between January and September 2026, following efforts to resolve supply disputes between producers and refiners.

The Commission Chief Executive, Oritsemeyiwa Eyesan, disclosed this on Monday at the OTL Africa Downstream Energy Week 2026 in Lagos, where she was represented by the Assistant Director, Operations, Prosper Omonedo.

Speaking on the theme, “Secure Energy, Shared Prosperity,” Eyesan said the commission’s intervention had improved crude deliveries after commercial disagreements disrupted supplies during the first quarter of the year.

She said engagements between producers and refiners resulted in the supply of 53.7 million barrels of crude oil and condensate in the second quarter and 45.1 million barrels in the third quarter.

According to her, the deliveries represented supply performance levels of 97.4 per cent and 76.2 per cent, respectively.

“From Q1–Q3 of 2026, more than 127 million barrels of Nigerian crude went to Nigerian refineries,” she said.

Under Section 109 of the Petroleum Industry Act 2021, the NUPRC is mandated to allocate crude oil to domestic refineries before exports, as part of efforts to support local refining and strengthen Nigeria’s energy security.

Eyesan also disclosed that the commission was consulting producers, refiners and other stakeholders on a proposed domestic crude swap framework aimed at reducing transportation costs.

Under the arrangement, a refinery could receive crude from the nearest suitable production or export point rather than transport an allocated crude grade over long distances.

She said the framework could reduce costs by an estimated $3 to $4 per barrel, potentially improving the economics of domestic refining.

On crude oil production, the NUPRC chief executive said Nigeria recorded an average of 1.717 million barrels per day of crude oil and condensate in September, representing a 2.34 per cent increase over August.

Crude oil production alone averaged 1.53 million barrels per day, marking the fifth consecutive month the industry met or exceeded its production quota.

She attributed the improvement to better asset integrity, enhanced security around evacuation infrastructure, closer collaboration with operators and sustained regulatory efforts to restore shut-in production.

On the 2026 licensing round, Eyesan said the 40 oil and gas blocks on offer would undergo a transparent evaluation process based on published criteria, with mandatory disclosure of beneficial ownership.

She added that the commission was enforcing the drill-or-drop principle to discourage speculative licence holding, noting that 22 recent awardees were expected to contribute at least 250,000 barrels per day within five years.

Eyesan reaffirmed the NUPRC’s commitment to meeting the Domestic Gas Delivery Obligation and collaborating with the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to align refinery demand with crude supply planning.

She said the objective was to ensure that improvements in upstream petroleum operations translated into tangible benefits for households, industries and power generation.

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