₦airaland Forum

“US-Israel-Iran War on Oil Prices: “ We purchase Nigerian crude from the Nigerian government at international benchmark related prices, we then pay international insurance rates in order to bring that crude from the terminal to the refinery. What's Worse Than $120 Oil is No Oil”

- David Bird, MD, Dangote Refinery

8 key talking points from a Media Chat with the Managing Director/CEO, Dangote Petroleum Refinery, David Bird

Dangote Refinery will continue to meet Nigeria’s fuel demand despite global supply disruptions and market volatility.

Domestic refining gives Nigeria supply security, ensuring the country avoids fuel shortages and queues even when global markets are disrupted.

Even under the crude-for-naira arrangement, Nigerian crude is purchased at international benchmark prices, meaning the refinery does not receive discounted crude.

Import dependent countries are worst hit as the global oil crisis escalate.

Global oil markets are experiencing extreme volatility, with crude prices rising from the mid-$60 range to nearly $120 per barrel within a week.

The refinery is fully exposed to international commodity markets, including crude oil prices, freight rates, insurance, and financing costs.

Freight costs have surged dramatically, with tanker costs rising from about $800,000 to roughly $3.5 million per shipment in the current market environment.

Dangote Refinery operates at its full nameplate capacity of about 650,000 barrels per day, with potential to increase production to around 700,000 barrels per day.

“US-Israel-Iran W@r on Oil Prices: “ We purchase Nigerian crude from the Nigerian government at international benchmark related prices, we then pay international insurance rates in order to bring that crude from the terminal to the refinery. What's Worse Than $120 Oil is No Oil”… pic.twitter.com/qEp0YHSeaM

— Oyindamola🙄 (@dammiedammie35) March 9, 2026

Day169:
We've heard you, and granted, oil prices have shot up.
But the federal government should be able to provide some form of subsidy to cushion the effect of the price hike on the masses.
That should be a part of the welfare obligation of our government for the people!

Ayomid3h:
when Canada and other countries are selling their own higher prices

Continue blaming tinubu

yesloaded:
What's the price of Petrol in Canada now?

What's the minimum wage after tax in Canada?

What's the minimum wage after tax in Nigeria?

Ayomid3h:
when Canada and other countries are selling their own higher prices

Continue blaming tinubu

Ayomid3h:
ask mamagee who is a nairalander that based USA

She'll tell you how hard USA is right now

You'll reach there to understand what I'm saying

jmoore:
Dude, REST!

USA, Canada has stable power supply. Households over there don't depend on generators to power their homes.

You probably charged your phone with a generator and you are posting this.

Petrol runs almost everything in Nigeria, so ripple effects will be worse compared to USA or Canada.

Ayomid3h:
ask mamagee who is a nairalander that based USA

She'll tell you how hard USA is right now

You'll reach there to understand what I'm saying

Ayomid3h:
how much are you paying for tax in Nigeria

How much are they paying for tax in USA and Canada

jmoore:
Dude, REST!

USA, Canada has stable power supply. Households over there don't depend on generators to power their homes.

You probably charged your phone with a generator and you are posting this.

Petrol runs almost everything in Nigeria, so ripple effects will be worse compared to USA or Canada.

Ayomid3h:
when Canada and other countries are selling their own higher prices

Continue blaming tinubu

Ayomid3h:
how much are you paying for tax in Nigeria

How much are they paying for tax in USA and Canada

Ayomid3h:
when Canada and other countries are selling their own higher prices

Continue blaming tinubu

Ayomid3h:
when Canada and other countries are selling their own higher prices

Continue blaming tinubu

Ayomid3h:
how much are you paying for tax in Nigeria

How much are they paying for tax in USA and Canada

Ayomid3h:
how much are you paying for tax in Nigeria

How much are they paying for tax in USA and Canada

Ayomid3h:
when Canada and other countries are selling their own higher prices

Continue blaming tinubu

omoredia:
Dangote monopoly is dangerous and exploitative. The real benefit to Nigerians is to bring in more players to compete on pricing.

Day169:
We've heard you, and granted, oil prices have shot up.
But the federal government should be able to provide some form of subsidy to cushion the effect of the price hike on the masses.
That should be a part of the welfare obligation of our government for the people!

yesloaded:
What's the price of Petrol in Canada now?

What's the minimum wage after tax in Canada?

What's the minimum wage after tax in Nigeria?

Day169:
We've heard you, and granted, oil prices have shot up.
But the federal government should be able to provide some form of subsidy to cushion the effect of the price hike on the masses.
That should be a part of the welfare obligation of our government for the people!