Nigeria’s upstream regulator has called on domestic refinery owners to consider acquiring oil blocks in forthcoming licensing rounds, in a bid to tackle persistent crude supply constraints and strengthen the country’s refining ecosystem.
Speaking during a meeting in Abuja with members of the Crude Oil Refinery Owners Association of Nigeria, the chief executive of the Nigerian Upstream Petroleum Regulatory Commission, Oritsemeyiwa Eyesan, said greater participation by refiners in upstream asset ownership could provide a more reliable and commercially viable source of crude.
The proposal, relayed in a statement by CORAN’s spokesperson Eche Idoko, reflects a growing policy push to integrate Nigeria’s petroleum value chain and deepen indigenous participation across exploration, production and refining.
Eyesan argued that ownership stakes in oil blocks would allow refinery operators to secure feedstock directly, reducing exposure to supply disruptions and price volatility. She added that the country’s crude reserves were sufficient to meet domestic refining demand, provided structural bottlenecks were addressed.
As a more immediate measure, the regulator urged refiners to adopt long-term supply contracts with producers, describing them as a practical mechanism for improving planning certainty and stabilising input costs.
Yet she acknowledged that infrastructure deficits continue to undermine the efficiency of crude delivery. Inadequate pipeline networks, evacuation constraints, limited storage capacity and gaps in marine logistics remain critical obstacles, requiring coordinated investment and policy alignment.
Refinery owners, for their part, welcomed ongoing regulatory reforms but stressed that implementation would be key to unlocking consistent crude access. Industry stakeholders have long argued that reliable feedstock supply is central to reducing Nigeria’s reliance on imported fuel, easing pressure on foreign exchange and expanding domestic industrial capacity.
The meeting forms part of a series of engagements between regulators and private operators aimed at accelerating the development of Nigeria’s downstream sector — a long-promised shift that has yet to fully materialise despite repeated policy interventions.
