Nigeria shores up fuel needs with BP deal ahead of election
Africa’s leading oil producer is almost wholly reliant on fuel imports as its refineries barely function
London — Nigerian state oil firm NNPC said on Thursday that it had signed a crude-for-product deal with BP for the next six months to help meet the country’s petrol needs over the holidays and ahead of its general election early next year. Despite being Africa’s biggest oil producer and an Opec member, Nigeria is almost wholly reliant on fuel imports as its refineries barely function after years of neglect and infrastructure sabotage. Periodic fuel shortages are common, with cars lining up at the pump sometimes for days, especially during the Christmas period. President Muhammadu Buhari, whose popularity is already sagging, cannot afford to be seen as unable to meet the needs of Nigeria’s 190-million population. It was not immediately clear what volume would be allocated to BP. The NNPC already has 10 similar deals for a total of just over 300,000 barrels per day of crude out its close to 1.9-million bpd production in October.
The NNPC imports about 70% of Nigeria’s fuel needs...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.