South Africa is in talks to procure fuel from Nigeria's massive Dangote Petroleum Refinery, according to a Bloomberg report. The move comes as several African nations seek to diversify their energy supplies amid ongoing global market volatility.
The Dangote refinery, located in Lagos, Nigeria, is Africa's largest with a capacity of 650,000 barrels per day. It began production of diesel and aviation fuel in early 2024 and has since been supplying the Nigerian domestic market while ramping up exports.
Global fuel supply chains have faced recent disruptions, including refinery outages in Europe and geopolitical tensions. These factors have increased demand for alternative sources, making the Dangote facility a strategic regional supplier.
Officials from South Africa's Central Energy Fund have confirmed engaging with the Dangote group, though no long-term supply agreement has been finalized. The negotiations highlight a shift towards greater intra-African energy trade.
