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Dangote imported 1.46bn litres blended gasoline – NMDPRA

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The Nigerian Midstream and Downstream Petroleum Regulatory Authority has revealed a growing reliance by Dangote Petroleum Refinery on imported gasoline blendstock, mainly to boost its refined fuel production, The PUNCH reports.

Latest industry data obtained from the NMDPRA’s Midstream and Downstream Petroleum Statistics for May 2026 and analysed by our correspondent on Sunday showed that the 650,000 barrels-per-day refinery imported about 1.46 billion litres of intermediates and gasoline blendstock between January and May this year, despite receiving volumes of domestic and imported crude oil.

The industry report showed that the refinery continued to supplement crude oil processing with imported intermediates, helping it sustain daily petrol production of 44.7 million litres and achieve an average capacity utilisation of 101.25 per cent in May.

It also indicates that the refinery continued to rely on imported intermediates and gasoline blendstock to optimise production of Premium Motor Spirit despite increased access to crude oil supplies.

The PUNCH reports that gasoline blendstock refers to intermediate petroleum products used in refining operations to produce finished petrol that meets required quality and environmental specifications.

The product, rather than being sold directly to consumers, serves as an intermediate feedstock that is blended with other refinery streams and additives to produce Premium Motor Spirit that meets required quality, octane and environmental specifications.

The blendstocks can be mixed with products generated from crude oil refining to increase petrol output, improve fuel quality and enhance refining flexibility. Common gasoline blendstocks include reformate, alkylate, naphtha and other high-octane blending components.

By introducing gasoline blendstocks into the refining process, a refinery can increase the volume of finished petrol produced without relying solely on crude oil inputs. This can be particularly useful when domestic demand is strong or when refiners seek to maximise returns from specific products.

In the case of Dangote Refinery, the NMDPRA data suggest that imported blendstocks may be helping the facility sustain high petrol output and reach its nameplate capacity of 650,000 barrels per day.

An analysis of the report by our correspondent showed that Dangote Refinery imported 658.31 million litres of gasoline blendstock in January, 306.89 million litres in February, 102.35 million litres in March, 147.37 million litres in April and 240.59 million litres in May.

The cumulative volume imported during the five-month period stood at approximately 1.46 billion litres. The latest data showed that after three consecutive months of decline between January and March, the refinery increased its blendstock intake in April and May, signalling stronger feedstock purchases as production activities expanded.

The May volume of 240.59 million litres represented a 63.3 per cent increase from the 147.37 million litres imported in April. The development comes as the refinery sustained high utilisation rates and continued to dominate Nigeria’s domestic fuel supply market.

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According to the NMDPRA report, the refinery operated at an average capacity utilisation of 101.25 per cent in May, underscoring strong operational performance at the facility.

The report further showed that the refinery produced an average of 44.7 million litres of Premium Motor Spirit per day during the month. Out of the total PMS produced, about 41.5 million litres per day were supplied to the domestic market, while closing stock stood at 9.4 million litres.

The refinery also produced 24.5 million litres of Automotive Gas Oil, commonly known as diesel, daily. Of this volume, 18.2 million litres were supplied locally while 6.5 million litres were exported. For aviation fuel, the refinery recorded daily production of 21.9 million litres. Domestic supply stood at 2.8 million litres per day, while exports reached 17.5 million litres daily.

Further analysis of the NMDPRA data showed that the refinery continued to receive a combination of domestic and imported crude oil feedstock. In May, domestic crude supplied to refineries stood at 15.84 million barrels, while imported crude accounted for 2.08 million barrels, bringing total crude receipts to 17.92 million barrels.

This compares with total crude receipts of 18.37 million barrels in April, made up of 17.96 million barrels of domestic crude and 410,000 barrels of imported crude. The figures suggest that despite improvements in local crude supply, imported feedstocks and intermediates remain an important component of the refinery’s operations.

On a comparison of imported gasoline feedstock and capacity output, the data suggests that Dangote Petroleum Refinery is increasingly deploying imported gasoline blendstock as a strategic feedstock to maximise petrol production and sustain operations at levels close to, and even above, its installed refining capacity.

Total crude receipts increased from 9.53 million barrels in January to a peak of 20.92 million barrels in March before moderating to 17.92 million barrels in May.

In January, when crude receipts stood at 9.53 million barrels, Dangote recorded its highest gasoline blendstock import volume of the year at 658.31 million litres. The high level of imports during the period likely reflected efforts by the refinery to supplement feedstock availability and maintain product output as crude supply arrangements were still being stabilised.

As crude supplies improved in February and March, the refinery’s dependence on imported blendstock declined sharply. Total crude intake rose to 13.11 million barrels in February and further to 20.92 million barrels in March, while gasoline blendstock imports dropped from 306.89 million litres in February to just 102.35 million litres in March, the lowest level recorded during the five-month period.

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The pattern suggested that increased access to crude oil reduced the refinery’s immediate need for imported gasoline components, allowing more products to be generated directly from refining operations.

However, the trend changed again in April and May. Despite maintaining strong crude receipts of 18.37 million barrels in April and 17.92 million barrels in May, the refinery increased its intake of gasoline blendstock from 147.37 million litres in April to 240.59 million litres in May, representing a 63.3 per cent rise within one month.

The increase coincided with some of the refinery’s strongest operational performance indicators since the commencement of production.

According to the NMDPRA report, Dangote Refinery achieved an average capacity utilisation rate of 101.25 per cent in May, surpassing its installed nameplate capacity. The refinery also produced 44.7 million litres of Premium Motor Spirit daily during the month, while supplying 41.5 million litres per day to the domestic market.

With a nameplate processing capacity of 650,000 barrels per day, the refinery would require about 20.15 million barrels of crude to operate at full capacity throughout a 31-day month. However, total crude receipts in May stood at 17.92 million barrels, below that threshold.

Yet, despite receiving less crude than the volume theoretically required for full-capacity operations, the refinery still reported utilisation above 100 per cent, suggesting that imported intermediates and gasoline blendstock played a complementary role in boosting finished product output.

The latest statistics also highlighted the continued absence of contributions from state-owned refineries. According to the report, the Port Harcourt Refining Company, Warri Refining and Petrochemical Company and Kaduna Refining and Petrochemical Company were all classified as being under shutdown status as of May 2026.

Their inactivity leaves Dangote Refinery as the country’s major operational refining hub and the largest supplier of locally refined petroleum products.

The refinery’s growing reliance on gasoline blendstock imports comes amid ongoing efforts by the Federal Government to achieve energy security, reduce dependence on imported refined products, and increase domestic refining capacity.

Since commencing large-scale operations, the Dangote Refinery has significantly altered Nigeria’s fuel supply landscape by reducing petrol imports and increasing local production, although the latest figures indicate that imported intermediates continue to play a strategic role in sustaining output levels.

With PMS production remaining above 44 million litres daily and blendstock imports rising again in May, the refinery appears to be strengthening its feedstock position as it seeks to consolidate its role in supplying Nigeria’s fuel requirements and expanding exports to regional markets.

Commenting, a Professor of Energy at the University of Lagos, Dayo Ayoade, explained that gasoline blendstocks are unfinished petroleum streams imported by refineries to enhance fuel quality, optimise operations and increase output.

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Ayoade, speaking in an interview on Sunday, noted that the importation of blendstocks could help refineries produce higher-quality fuel that complies with modern environmental standards.

He further explained that the strategy also enables refineries to maximise the efficiency of their processing units and sustain production levels.

He said, “Gasoline feedstocks are unfinished petroleum streams such as straight run naphtha, butane, reformate, fluid catalytic gasoline and different types of streams that are basically combined and blended eventually to meet the regulatory standards of Premium motor spirit, which the Petroleum Industry Act alludes to.

“This is actually common practice all over the world; there is no issue. It is not cheating or any problems. Like all refineries in the world, blended gasoline feedstock will allow a refinery to improve the quality of its petroleum products, e.g., Euro V quality fuel that has low sulphur, which is the acceptable type of fuel we need in the market now.”

The energy expert added that the feedstocks provide flexibility for refiners to adjust output in response to market demand.

He added, “It is also used to optimise the operational base of the refinery because they use it to maximise the output of the refinery units like the catalytic crackers or hydrocarbon crackers to ensure that they are producing.

“The refinery also wants the secondary unit to work at full capacity so when they import the kind of blends, it will allow the refinery to continue to work, especially where crude supply is not as stable as you would want it to be.”

However, Ayoade said the key concern should be the economic implications of continued importation, particularly its impact on foreign exchange. He warned that the development could also fuel misconceptions about the refinery’s operations.

“Basically, that feedstock gives the refinery the option of flexibility too. They keep adjusting the mixtures to produce different products which are needed for the domestic and international markets.

“It is not a bad thing. The only issue is what is likely the production impact. There are larger consequences of costs. The refinery is now at capacity, but the importation means we are leaking foreign exchange.

“So money is leaving Nigeria to buy things from international markets and then being exposed to the risks of the international market. The importation also allows detractors or enemies of the refinery to say that the refinery is importing finished PMS, which is not true.”

punch.ng

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DisCos earn N603bn as power offtake drops

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Electricity distribution companies collected N603.64bn from customers in the second quarter of 2026, despite a decline in the volume of electricity they received from the power market.

The figure was contained in the Nigerian Electricity Regulatory Commission’s second-quarter 2026 report, which showed that the average energy offtake by the DisCos at their trading points fell to 3,197.03 megawatt-hours per hour in the quarter.

The Q2 figure represented a 112.45MWh/h, or 3.40 per cent, decline from the 3,309.48MWh/h average recorded in the first quarter. Despite the decline in offtake, the DisCos recorded an overall offtake performance of 94.07 per cent during the quarter, against available partially contracted capacity of 3,398.41MWh/h.

According to the report, the DisCos received a total of 6,982.32 gigawatt-hours of electricity during the quarter but billed customers for only 5,812.31GWh. It stated, “This translates to an overall energy accounting efficiency of 83.24 per cent and represents a 0.24pp decrease compared to 2026/Q1 (83.48 per cent).”

The report further revealed that the naira value of electricity off-taken by the DisCos stood at N946.57bn, while the total value of energy billed to customers was N744.67bn.

This translated to a billing efficiency of 78.67 per cent, representing a decline of 0.57 percentage points from the 79.24 per cent recorded in the first quarter. At the collection stage, the DisCos recovered N603.64bn from the N744.67bn billed to customers, translating to a collection efficiency of 81.06 per cent.

The report said this represented an improvement of 2.11 percentage points from the 78.95 per cent recorded in Q1. However, the difference between the amount billed and the amount collected stood at N141.03bn during the quarter.

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The report also disclosed that the weighted average Aggregate Technical, Commercial and Collection losses across the 11 DisCos stood at 36.23 per cent in Q2.

It stated, “The ATC&C loss of 36.23 per cent is 19.31pp higher than the 2026 MYTO target (16.92 per cent) and translates to a cumulative revenue loss of N129.07 billion across all DisCos.”

The 36.23 per cent loss, however, represented a 1.21 percentage-point improvement from the 37.44 per cent recorded in Q1.

The report noted that all the DisCos failed to meet their ATC&C targets during the quarter, with “Kaduna DisCo recording the worst underperformance relative to the target (Actual – 67.70 per cent vs target – 18.18 per cent),” it stated.

On market obligations, the report said the cumulative upstream invoice payable by the DisCos stood at N410.38bn in Q2.

The amount comprised N326.46bn for generation costs from the Nigerian Bulk Electricity Trading Company and N83.92bn for transmission and administrative services provided by the market operator.

The DisCos collectively remitted N385.44bn, comprising N306.62bn to NBET and N78.82bn to the market operator, leaving an outstanding balance of N24.94bn. This represented a market remittance performance of 93.92 per cent, slightly lower than the 94.08 per cent recorded in Q1.

The report added that the Federal Government had taken responsibility for about 50 per cent, or N321.26bn, of the total generation costs through subsidies arising from the freezing of end-use customer tariffs at the rates applicable in July 2024.

Meanwhile, three international bilateral customers purchasing electricity from grid-connected generating companies paid $8.67m against an $18.84m invoice issued by the market operator during the quarter.

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This represented a remittance rate of 46.02 per cent. Domestic bilateral customers, on the other hand, paid N6.91bn against an invoice of N7.55bn, representing a remittance rate of 91.54 per cent.

Source: punchng.com

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Personal loans rise to N2tn as Nigerians borrow more

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Personal loans obtained by Nigerians rose to an estimated N2.06tn in May 2026, as consumer credit continued to expand amid persistent cost pressures and weak consumer spending, according to the latest Economic Report of the Central Bank of Nigeria.

The figure, calculated from data contained in the CBN’s May 2026 Economic Report, represents about 64.78 per cent of the N3.18tn total consumer credit outstanding during the month. The report covers developments in the real, fiscal, financial and external sectors of the economy.

The apex bank said consumer credit increased by 1.60 per cent from N3.13tn in April to N3.18tn in May, indicating that Nigerians borrowed an additional N50bn within one month.

It said, “Consumer credit outstanding increased by 1.60 per cent to N3.18tn from N3.13tn in the preceding month, driven by growth in personal and retail loans, which rose by 1.98 and 0.90 per cent, respectively.”

The CBN added, “Personal loans remained the dominant component of consumer credit, accounting for 64.78 per cent, while retail loans constituted 35.22 per cent.”

Based on the proportions reported by the apex bank, personal loans stood at approximately N2.06tn at the end of May, while retail loans amounted to about N1.12tn.

The 1.98 per cent month-on-month increase in personal loans suggests that the balance rose by roughly N40bn during the period. Retail loans, which include credit tied more directly to the purchase of goods and services, recorded a slower increase of 0.90 per cent.

The figures show that personal borrowing remained the main driver of Nigeria’s consumer-credit market, accounting for nearly two-thirds of outstanding credit.

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The increase came against a challenging operating environment for households and businesses. The CBN reported that economic activity remained weak in May, with its composite Purchasing Managers’ Index at 49.60 points, slightly higher than 49.40 points in April but still below the 50-point threshold separating expansion from contraction.

According to the bank, the contraction reflected subdued demand, declining new orders and elevated production costs. It also identified weak consumer spending and higher energy-related costs as pressures on the industry and services sectors.

Inflation also remained elevated during the period. Headline inflation increased to 15.93 per cent in May from 15.69 per cent in April, which the CBN attributed to persistent cost pressures and higher energy prices. However, month-on-month inflation slowed to 1.75 per cent from 2.13 per cent.

The combination of rising consumer credit and weak consumer spending suggests that households were increasingly accessing credit at a time when living and operating costs remained under pressure.

A recent report Enhancing Financial Inclusion & Advancement noted that four in every 10 Nigerians borrowing from formal financial institutions now take loans mainly for consumption and coping needs, as rising financial pressures increasingly push credit away from productive activities.

The 2026 Access to Financial Services in Nigeria Survey revealed that 40.8 per cent of formal borrowers used loans for coping and consumption, up sharply from 31.7 per cent in 2023.

The 9.1 percentage-point increase made coping and consumption the largest purpose of formal credit, overtaking productive enterprise borrowing, which fell from 40.2 per cent to 34.3 per cent during the same period.

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Borrowing for household assets also declined from 25.2 per cent to 23.4 per cent. The report warned, “Coping/consumption purposes rose from 31.7 per cent to 40.8 per cent; productive purpose fell from 40.2 per cent to 34.3 per cent. We need to ensure that credit builds productive capacity and does not produce distress.”

Formal credit use increased from six per cent of adults in 2023 to 10 per cent in 2026, with about 11.9 million Nigerians borrowing from regulated providers. When informal sources were included, 36 per cent of adults had access to some form of credit.

Credit use among informally employed Nigerians tripled from five per cent to 15 per cent, while borrowing among people aged 18 to 35 rose from four per cent to 10 per cent. Business owners recorded an increase from four per cent to 10 per cent, while farmers rose from two per cent to six per cent.

However, the report found significant distress among borrowers. About 45.8 per cent of formal-credit users reported some or serious repayment stress, while 83.8 per cent experienced ongoing financial stress.

Source: punchng.com

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NAFDAC seizes N300m banned drinks in Lagos

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The National Agency for Food and Drug Administration and Control has seized alcoholic beverages worth an estimated N300m packaged in sachets and PET bottles below 200ml during enforcement operations in Lagos State.

NAFDAC disclosed this in a statement shared on its Facebook page on Sunday, adding that some distributors and retailers involved in the sale of the prohibited products were arrested.

The agency said the enforcement operations were carried out at Ile-Epo Market, Ojuwoye Market in Mushin and Oke-Arin Market on Lagos Island.

“Officials evacuated several cartons of alcoholic beverages packaged in sachets and PET bottles below 200ml from these locations.

“Distributors and retailers were arrested during operations at Ile-Epo Market, while raids were also conducted at Ojuwoye Market, Mushin, and Oke-Arin Market, Lagos Island,” the statement said.

NAFDAC said investigations revealed that some distributors and retailers were hoarding the prohibited products amid increased demand and rising prices.

The agency said the enforcement was part of efforts to ensure compliance with the ban on the sale and distribution of alcoholic beverages packaged in sachets and PET bottles below 200ml.

It warned distributors, retailers and other operators against selling, distributing or hoarding the prohibited products.

“NAFDAC emphasises that the ban remains in force and warns distributors, retailers and other operators against the sale, distribution or hoarding of the prohibited products.

“The value of the seized products is estimated at N300m,” it stated.

PUNCH Metro reported on August 25 that NAFDAC ordered manufacturers of banned alcoholic beverages packaged in sachets and polyethylene terephthalate bottles below 200ml to recall the products nationwide or risk closure of their facilities.

See also  NUPENG suspends strike as Dangote accepts union’s demands

NAFDAC had also vowed to fully enforce the Federal Government-approved prohibition of alcoholic beverages packaged in sachets and PET or plastic bottles below 200ml, warning that the ban was irrevocable.

The agency had stated that the years of grace given to manufacturers by the Federal Government to stop producing the products had expired.

Source: punchng.com

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