23 Refineries near completion as Tinubu pushes to end Nigeria’s fuel import dependence

Nigeria’s decades-long dependence on imported petroleum products may be nearing a major turning point as no fewer than 23 new refineries approach completion across the country, according to the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN).

The development, industry stakeholders say, reflects the growing impact of President Bola Ahmed Tinubu’s energy and economic reforms, particularly the deregulation of the downstream petroleum sector and policies aimed at attracting private investment into domestic refining.

For years, Nigeria—Africa’s largest crude oil producer—relied heavily on imported fuel due to limited local refining capacity and the poor performance of state-owned refineries. Under the Tinubu administration, that paradox is being addressed through a shift toward private-sector-led refining, clearer policies, and accelerated support for modular refinery projects.

Mix of Mega and Modular Refineries

Data from industry disclosures indicate that the 23 refineries referenced by PETROAN include a combination of large-scale projects and modular facilities spread across key oil-producing and industrial states.

Among the major projects are the Dangote Petroleum Refinery in Lekki, Lagos State, and the BUA Refinery in Akwa Ibom State. Both are expected to significantly boost national refining capacity.

Several modular and mid-scale refineries are already operational, expanding, or nearing completion. These include the Waltersmith Modular Refinery in Imo State, Duport Midstream Refinery and the Edo Refinery and Petrochemical Company in Edo State, OPAC Refinery in Delta State, Aradel (Niger Delta Petroleum) Refinery in Rivers State, and the Ikpoba Modular Refinery, also in Edo State.

Others listed include private modular units around the Port Harcourt area, the Ibigwe Modular Refinery in Imo State, MRO Energy Refinery in Delta State, and the Process Design and Development Limited (PDDL) Refinery in Gombe State. Additional licensed modular refineries across the Niger Delta and North-Central regions are also contributing to the overall count.

Tinubu’s Energy Reform Strategy

President Tinubu’s refining strategy has focused on full deregulation of the downstream sector, restoring market-driven pricing and commercial viability to refining operations. The administration has also prioritized policy clarity to attract both local and foreign investors while fast-tracking modular refineries, which require lower capital outlay and shorter construction timelines.

Industry analysts note that the reforms have transformed refining from a government burden into a competitive investment opportunity.

Economic and Energy Security Impact

Once fully operational, the refineries are expected to add hundreds of thousands of barrels per day to Nigeria’s domestic refining capacity. PETROAN said the development could significantly reduce fuel importation, ease pressure on foreign exchange, improve fuel availability, and enhance price stability.

Other anticipated benefits include job creation, improved energy security, and the potential for refined product exports to regional markets.

PETROAN’s confirmation is seen as particularly significant, given its role as a key stakeholder in fuel distribution nationwide.

Although challenges such as infrastructure gaps and financing remain, observers say the scale and geographic spread of refinery projects nearing completion mark a clear break from decades of stalled promises.

Supporters of the reforms argue that while the policy choices have been politically difficult, they are economically necessary and could lay the foundation for a self-sufficient downstream petroleum sector if sustained.