The Nigerian Upstream Petroleum Regulatory Commission is consulting on a domestic crude and gas swap to cut costs and improve supply to local refineries.
The Nigerian Upstream Petroleum Regulatory Commission is consulting on a domestic crude and gas swap to cut costs and improve supply to local refineries.
· Updated
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has begun consultations on a domestic crude oil and gas swap arrangement. The initiative aims to reduce supply costs and increase crude availability for Nigerian refineries.
NUPRC Chief Executive Oritsemeyiwa Eyesan stated the swap would allow producers with export facilities to meet obligations of those closer to domestic refiners. This would eliminate unnecessary crude transportation across the country.
The proposal follows improved crude deliveries to domestic refiners, with 53.7 million barrels supplied between April and June 2026. Despite this, some refiners still rely on imported crude due to pricing issues.
Discussions on the swap are in early stages, and all modalities must be agreed before implementation. The NUPRC also pledged stronger collaboration with the midstream and downstream regulator to address challenges in the petroleum value chain.
FAQ
What is the goal of the crude swap arrangement?
The swap aims to cut supply costs and ensure more crude is available to Nigerian refineries by optimizing logistics.
How much crude was supplied to local refiners recently?
NUPRC data shows 53.7 million barrels were supplied to domestic refiners between April and June 2026.
