The Crude Oil Refineries Association of Nigeria says modular refineries have the capacity to supply over 10 per cent of the nation’s diesel needs but identified inadequate feedstock as a key constraint.
CORAN’s Publicity Secretary, Eche Idoko, made this observation in an interview with our correspondent while reacting to a report from the Nigerian Midstream and Downstream Petroleum Regulatory Authority. The report indicated that modular refineries supplied approximately two per cent of the nation’s diesel consumption over a three-month period.
While expressing reservations about fully accepting the NMDPRA’s data, Mr Idoko explained that modular refineries are hindered by insufficient crude supply.
“Any percentage at this moment is very, very important. When they said two per cent, I would contend with that figure. Our capacity is more than two per cent. We have the capacity to produce up to 10 per cent of our current diesel need, or 15 per cent, if we have enough crude supply. As I mentioned, refineries like OPAC are not even operating near their capacity yet. The reason the percentage is so low is the lack of crude feedstock,” he stated.
Consequently, Mr Idoko revealed that the association has persistently requested that the naira-for-crude deal be extended to modular refineries, but without success.
He submitted, “We have argued; we have contended that the naira-for-crude deal be extended to modular refineries. Up until now, nothing has been done. Let modular refineries enjoy the incentives that come with the naira-for-crude policy.
“We want to use this opportunity to advocate for the government to expand the naira-for-crude deal to modular refineries as well. The likes of OPAC, Aradel, Waltersmith, and the Edo Refinery need it to help increase their production, and this would help make diesel more available. It is our contention that diesel is actually a more important fuel and that it essentially powers the industrial and agricultural sectors in Nigeria.”
Data compiled from NMDPRA monthly fact sheets revealed that Nigeria’s modular refineries supplied an average of 2.37 per cent of the country’s diesel demand during the three months spanning November 2025 to January 2026.
According to the data, only three modular facilities—Waltersmith, Edo Refinery, and Aradel—were operational during this period, while OPAC and Duport remained shut down.
Their combined average daily Automotive Gas Oil supply stood at approximately 393,000 litres per day across the period, derived from varying monthly outputs: 489,000 litres per day in November 2025, 392,000 litres per day in December 2025, and 297,000 litres per day in January 2026.
This modest contribution contrasted with national diesel consumption trends, which averaged around 17.0 million litres per day based on actual truck-out volumes into the domestic market. Monthly breakdowns showed consumption at 15.4 million litres per day in November, 16.4 million litres per day in December, and 19.2 million litres per day in January.
Against these figures, modular refineries met roughly 3.18 per cent of demand in November, 2.39 per cent in December, and 1.55 per cent in January, resulting in the three-month average of 2.37 per cent.
However, larger facilities, such as the Dangote refinery, which supplied significantly higher volumes of diesel and other products, along with a persistent reliance on imports, continue to dominate the market in meeting national needs. The Dangote refinery supplied 5.6 million litres of diesel per day in November, 5.8 million litres per day in December, and 10.9 million litres per day in January 2026.
