For the first time, the United States exported more crude oil to Nigeria than it imported, driven by refinery maintenance in the U.S. and increased demand from Nigeria’s Dangote refinery.
The United States became a net exporter of crude oil to Nigeria for the first time in February and March 2024, according to the U.S. Energy Information Administration (EIA). This reversal, detailed in an EIA report on Tuesday, was driven by reduced demand on the U.S. East Coast—due to maintenance at the Phillips 66 Bayway refinery—and increased crude intake by Nigeria’s Dangote refinery.
The Dangote refinery, Africa’s largest, began operations in January and is expected to hit its full 650,000 b/d capacity this year. U.S. crude exports to Nigeria rose to 111,000 b/d in February and 169,000 b/d in March, while imports fell to 54,000 b/d and 72,000 b/d respectively.
“This trend seems more a snapshot of a very fluid market,” said RJO Futures strategist Eli Tesfaye. UBS analyst Giovanni Staunovo added, “It is difficult to forecast if the volume flowing from the U.S. to Nigeria will persist.”
Nigeria ranked ninth among U.S. crude import sources last year.