Dangote Refinery Boosts Nigeria’s Global Standing as Major Refining Hubs Raise Utilisation
By Godwin Paul
The Dangote Petroleum Refinery is strengthening Nigeria’s position in the global refining industry as major refining centres in the United States, Europe and Asia continue to ramp up operations to meet growing demand for petroleum products.
Latest refinery operations data showed that refineries across the world’s largest fuel-producing regions increased throughput in May, reflecting stronger seasonal demand and improving refining margins. The trend comes as Nigeria’s 650,000 barrels-per-day Dangote Refinery continues to expand production and exports, positioning the country as an emerging supplier of refined petroleum products to Africa and international markets.
The United States recorded the strongest monthly increase in refinery activity.
Refinery utilisation rose by 7.2 percentage points in May to 93.23 per cent, up from 86.0 per cent in April. Throughput increased by 810,000 barrels per day to 16.94 million barrels per day (mb/d), although it remained slightly below the level recorded a year earlier.
The higher utilisation reflects increased fuel production ahead of the peak summer driving season, when gasoline demand traditionally rises.
Across Europe, refinery utilisation averaged 84.23 per cent, equivalent to a throughput of 9.42 mb/d. Although utilisation eased marginally from April, it remained four percentage points higher than a year ago, indicating stronger refinery operations compared with 2025.
Germany posted one of the region’s strongest performances, operating at almost 98 per cent utilisation, while France and Italy experienced slight declines owing to maintenance and operational adjustments.
Asia, the world’s largest refining region, also recorded modest growth.
Average refinery utilisation across China, India, Japan, Singapore and South Korea increased to 83.43 per cent, with total throughput reaching 24.67 mb/d.
India remained one of the strongest performers, operating at 98.05 per cent utilisation, underscoring its role as one of the world’s leading exporters of refined petroleum products.
Japan and South Korea also increased refinery runs, while China’s utilisation fell to 77.58 per cent, reflecting weaker domestic demand and lower crude processing.
Against this backdrop, industry analysts said Dangote Refinery is well positioned to benefit from growing global demand for refined fuels.
Since commencing large-scale operations, the refinery has transformed Nigeria from one of the world’s largest importers of petrol into a growing exporter of refined petroleum products.
The refinery now supplies a significant share of Nigeria’s petrol, diesel and aviation fuel requirements while exporting products to several African countries and expanding shipments to international markets.
Its modern configuration, with the capacity to process 650,000 barrels of crude oil per day, makes it Africa’s largest refinery and one of the largest single-train refineries globally.
Analysts noted that rising refinery utilisation worldwide signals healthy demand for transportation fuels, but also intensifies competition among refiners.
For Nigeria, however, the emergence of Dangote Refinery provides a strategic advantage by reducing reliance on imported fuels, conserving foreign exchange, creating value from domestic crude oil and improving energy security.
The refinery is also expected to strengthen Nigeria’s influence in the African fuel market, particularly under the African Continental Free Trade Area (AfCFTA), where demand for refined petroleum products continues to grow.
Countries including Ghana, Togo, Benin, Cameroon, Angola and South Africa remain significant importers of refined fuels, creating opportunities for Nigerian exports.
Industry observers said sustained high refinery utilisation in the United States, Europe and Asia demonstrates that global demand for refined products remains resilient. In that environment, Dangote Refinery’s scale, advanced technology and proximity to African markets could enable Nigeria to compete more effectively with established refining centres in Europe, the Middle East and Asia while accelerating its ambition to become Africa’s leading petroleum products export hub.
