Domestic refineries received more than 127 million barrels of Nigerian crude oil and condensate between January and September 2026, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has said.
The Commission said the figure reflects a sharp improvement in the implementation of the Domestic Crude Supply Obligation (DCSO) after commercial disagreements between producers and refiners disrupted supplies in the first quarter of the year.
NUPRC Head, Media and Corporate Communications, Eniola Akinkuotu, disclosed this in a statement on Monday.
According to the statement, the NUPRC Chief Executive, Oritsemeyiwa Eyesan, disclosed this on Monday at the OTL Africa Downstream Energy Week 2026 in Lagos.
Ms Eyesan, who was represented by the Assistant Director, Operations, Prosper Omonedo, spoke on the theme, ‘Secure Energy, Shared Prosperity’.
She said the Commission intervened after the early-year dispute and engaged both producers and refiners to restore deliveries.
“We engaged producers and refiners, and in the second and third quarters, 53.7 and 45.1 million barrels of crude oil and condensate were supplied to domestic refineries, an overall performance of 97.4 and 76.2 per cent, respectively. From Q1–Q3 of 2026, more than 127 million barrels of Nigerian crude went to Nigerian refineries,” Ms Eyesan said.
Under Section 109 of the Petroleum Industry Act (PIA) 2021, the NUPRC is required to allocate crude oil to domestic refineries before export.
Crude swap to cut costs
Ms Eyesan said the Commission is also consulting producers, refiners and other stakeholders on a domestic crude swap framework.
Under the proposed framework, she said: “A refiner could receive crude from the nearest suitable production or export point instead of moving an allocated grade over long distances, which could take an estimated three to four dollars off the cost of every barrel.”
Production rises to 1.717 million bpd
On production, Ms Eyesan said Nigeria recorded an average of 1.717 million barrels per day of crude oil and condensate in September.
She said the figure represents a 2.34 per cent increase over August.
“Crude oil production alone averaged 1.53 million barrels per day in September, marking the fifth consecutive month the industry met or exceeded its quota,” she stated.
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She attributed the improvement to better asset integrity, enhanced security of evacuation infrastructure, stronger collaboration with operators and sustained regulatory efforts to restore shut-in production.
2026 Licensing Round and drill-or-drop
On the 2026 Licensing Round, Ms Eyesan said the 40 blocks on offer would be subjected to a transparent evaluation process, with published criteria and mandatory disclosure of beneficial ownership.
She said the Commission was enforcing the drill-or-drop principle to discourage speculative holding of licences.
According to her, 22 recent awardees were expected to contribute at least 250,000 barrels per day within five years.
She reaffirmed the Commission’s commitment to meeting the Domestic Gas Delivery Obligation and working with the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to align refinery demand with crude supply planning.
She said the goal is to ensure that upstream gains translate into tangible benefits for households, industries and power generation.
