Nigeria continued to be one of Africa’s top exporters of crude oil in 2024, providing its premium petroleum to numerous nations worldwide.
Nigeria’s crude oil continued to be in high demand despite changes in global energy policies and volatility in oil prices.
Based on recent trade data from the National Bureau of Statistics (NBS), these are the top 10 purchasers of Nigerian crude oil this year.
The United States – N3.64trn
The dynamics of Nigeria’s energy exports have changed, with the United States surpassing the Netherlands as the country’s largest importer of crude oil in the first nine months of 2024.
Between January and September 2024, the US bought N3.64 trillion worth of Nigerian crude, demonstrating its importance as a trading partner.
Results indicated that because of improved domestic production, the US is now less dependent on imported oil. Despite this, it continues to be one of the biggest consumers of Nigerian crude, especially for its light-crude processing refineries along the Gulf Coast.
France – N3.34trn
In 2024, Nigerian crude continued to find a steady demand in French refineries. Because Nigerian oil is compatible with the nation’s current refining infrastructure and has a comparatively smaller carbon impact than heavier crude grades, it was given priority.
Nigerian crude oil imports to France totalled N3.34 trillion, demonstrating the two countries’ close energy relations.
Spain – N3.02trn
Spain’s refining sector likewise relies significantly on Nigerian oil. As part of the European Union’s energy diversification policy, Spain expanded its imports from Nigeria to minimise dependency on Middle East supply.
Spain continues to be a crucial European market for Nigeria’s oil exports, with imports of N3.02 trillion.
Netherlands – N2.77trn
As a significant hub for oil refining and redistribution in Europe, the Netherlands purchased substantial volumes of Nigerian crude in 2024. Most of this oil was either reexported to other European countries or processed locally.
The Netherlands was Nigeria’s largest crude oil buyer last year. With a market value of N2.77 trillion in 2024, the Netherlands continued to be a major purchaser in the EU.
Italy – N2.64trn
In order to manufacture higher-value refined products like petrol and diesel for European markets, Italian refiners also expanded their intake of Nigerian crude, taking advantage of its quality.
Italy solidified its position as one of the top five purchasers of Nigerian crude by importing N2.64 trillion worth of it.
Canada – N2.56trn
Canada, which bought N2.56 trillion worth of crude oil, came in sixth place, indicating strong demand in North America.
Indonesia – N2.02trn
South Korea emerged as a major consumer, bringing in substantial amounts to satisfy its energy and industrial needs. Nigeria’s sophisticated refineries found Nigerian crude oil to be a desirable alternative due to its light properties.
In the first nine months of 2024, Indonesia imported crude from Nigeria valued at N2.02 trillion.
India – N1.57trn
India, which has historically been a significant buyer of Nigerian crude, bought N1.57 trillion worth of oil in the first nine months of 2024, driven by its growing industrial sector and rising energy demands. Nigeria’s light, sweet crude is preferred by the nation’s refineries due to its low sulphur content.
Ivory Coast – N1.57trn
In 2024, Turkey became one of Nigeria’s expanding markets for crude. Ivory Coast matched India with N1.57 trillion in crude oil imports, showcasing west regional trade significance.
The UK – N1.07trn
The UK rounded out the top 10 buyers with imports valued at N1.07 trillion, reaffirming its economic ties with Nigeria.
Why nations purchase crude oil from Nigeria
According to the News Chronicles, nations buy Nigerian crude oil mainly for its excellent quality and processing suitability.
According to data from S&P Global, Nigerian crude is primarily categorized as “light” and “sweet,” indicating that it has little sulfur, a crucial property for contemporary refining procedures.
Refineries that want to adhere to strict environmental regulations prefer to use low-sulfur crude oils since they are simpler and less expensive to process.
Why nations purchase crude oil from Nigeria
The News Chronicles’ findings indicated that the main reasons why nations buy Nigerian crude oil are its high quality and refining suitability.
According to data from S&P Global, Nigerian crude is primarily categorized as “light” and “sweet,” indicating that it has little sulfur, a crucial property for contemporary refining procedures.
Refineries that want to adhere to strict environmental regulations prefer to use low-sulfur crude oils since they are simpler and less expensive to process.
Nigeria produces light sweet crude, which is quite valued on international markets due to its low sulfur level. Compared to heavier, sour crude oils, it takes substantially less energy and capital investment to process, reducing overall production costs. According to analysts, this makes it a competitive choice for purchasers looking to maximize revenue in refining operations.
Nigerian crude oil effectively produces valuable refined goods. Because of its composition, it can produce desired products like jet fuel, diesel, and petrol more quickly than heavier crude grades.
This effectiveness, along with its cost-effectiveness and environmental benefits, guarantees that Nigerian oil will continue to be in high demand globally.
Nigeria’s recent crude grade
Nigeria added “Utapate,” another low-sulfur crude grade, in August of last year as the nation seeks to increase daily oil production.
According to data obtained from Bloomberg, the new terminal produced nearly 19,000 barrels per day in June, with 50,000 barrels expected to be produced by the end of 2024.
According to those with knowledge of the situation, Utapate, a division of the state-owned Nigerian National Petroleum Company (NNPC) Limited, and its venture partner, Natural Oilfield Services Limited, loaded the first export shipment last July.
