Nigeria’s domestic refining industry is set for a major boost in 2027, with seven modular refineries expected to begin operations, adding a combined capacity of 83,000 barrels per day.
The projection was made by George Maher-Bonnett of Argus Media during a presentation at the OTL Africa Downstream conference in Lagos.
Speaking on the outlook for Africa’s energy sector, Maher-Bonnett said Nigeria had four operational modular refineries in September, with a combined refining capacity of 32,000 barrels per day.
He disclosed that the seven proposed facilities would significantly increase the contribution of modular refineries to local petroleum production when they become operational next year.
The projected 83,000 barrels per day would be more than double the existing capacity of the four operating modular plants.
However, details of the proposed facilities, including their owners, locations and individual capacities, were not provided.
Maher-Bonnett also noted that Nigeria was making progress towards meeting its domestic fuel needs, largely due to increased production at the Dangote Petroleum Refinery, although petroleum consumption had declined this year amid higher prices.
He said the 700,000-barrel-per-day Dangote refinery was maintaining substantial operations, with petrol production remaining steady, a development that could reduce Nigeria’s dependence on imported petroleum products.
The presentation further identified Ghana’s Tema refinery, with a capacity of 45,000 barrels per day, as another facility expanding local refining output.
It added that rising domestic production and higher transportation costs were weakening the commercial appeal of shipping petroleum products from Europe to West Africa and the United States.
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