• 4 minutes Energy Armageddon
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 10 minutes Russia Says Europe Will Struggle To Replace Its Oil Products
  • 12 mins GREEN NEW DEAL = BLIZZARD OF LIES
  • 15 hours Reality catching up with EV forecasts
  • 9 days "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 3 days 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 8 days A Somewhat Realistic View of the Near Future for Electric Vehicles Worldwide
  • 14 days The Federal Reserve and Money...Aspects which are not widely known
How To Balance Your Energy Portfolio For 2023

How To Balance Your Energy Portfolio For 2023

2023 is increasingly looking like…

Big Oil Reports Record Profits, But There's A Catch

Big Oil Reports Record Profits, But There's A Catch

Big Oil reported record breaking…

Nigeria To End Imports Of Petroleum Products In 2023

Nigeria—a major petroleum products importer—expects to stop importing petroleum products starting in the third quarter of next year, Nigeria’s oil minister Timipre Sylva said on Tuesday, cited by Reuters.

A refurbished refinery in Port Harcourt in the Niger Delta is expected to be producing 60,000 bpd of refined crude oil per day by the end of next month, and the new Dangote refinery is expected to come online in the first quarter of next year.

Nigeria has been mostly unable to take advantage of high crude oil prices because it swaps crude oil for refined products—which also saw a huge price jump this year.

ADVERTISEMENT

Nigeria, Africa’s largest oil producer just two years ago, has been surpassed by Libya and Angola and has a considerable breakeven cost for producing crude. As crude oil prices rose, the gasoline subsidy that Nigeria kicks in ended up costing Nigeria ten times what it had originally budgeted this year--$9.6 billion.

What this means is that Nigeria swaps this high-priced crude for gasoline, which it sells at a loss. On top of that, Nigeria imports nearly all of the gasoline it consumes--$43 billion’s worth in 2020.

ADVERTISEMENT

But that could be about to change. “We’re expecting that we will actually be exiting the importation of petroleum products from maybe about third quarter next year if I was to give it a longer timeframe, but I believe that even before the third quarter next year,” Sylva said.

Nigeria’s four crude oil refineries, with a combined nameplate capacity of 445,000 barrels per day, would be enough to meet demand, but the refineries are in a state of disrepair. The Port Harcourt refurbishment, at a cost of $1.5 billion, and the new Dangote refinery—if successfully completed on schedule—will go a long way to alleviating the burden of Nigeria’s costly fuel imports.

By Julianne Geiger for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

ADVERTISEMENT


ADVERTISEMENT


Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News