•Stakeholders call for collaboration to position Nigeria products refining hub
AS part of efforts to facilitate regional trade and position Nigeria as a petroleum products trading hub, the Nigerian Midstream and Downstream Petroleum Regulatory Authority plans to establish unified specifications for petroleum products across West Africa.
The Chief Executive of NMDPRA, Rabiu Umar, disclosed this on Monday at the 49th Nigeria Annual International Conference and Exhibition organised by the Society of Petroleum Engineers Nigeria Council in Lagos.
Umar said the initiative would enable petroleum products to move more freely across West African countries by eliminating the different specifications currently adopted by individual markets.
He said the authority is working with other regulators in the region to develop a common standard for petroleum products consumed across West Africa.
“Our idea is to see how we can actually turn Nigeria into a trading hub,” Umar said.
The NMDPRA chief said the initiative is part of a broader effort to deepen regional petroleum products trade and establish a transparent pricing benchmark for the West African market.
He disclosed that the authority would hold the second West Africa Refined Fuel Market Conference the following week in collaboration with S&P Global Commodity Insights.
According to him, the conference will focus on funding infrastructure and distribution across West Africa while developing a transparent regional price benchmark.
“This is an attempt to have a benchmark pricing in West Africa for products that are consumed in West Africa. And I’ll use this opportunity to invite you all to join us at the event,” he said.
“S&P, of course, creates benchmarks across the world, and up until last year, there was no benchmark. Our idea is to see how we can actually turn Nigeria into a trading hub.”
Umar said a common specification would make petroleum products more fungible, allowing marketers to move products between countries without being restricted by different quality requirements.
The development comes as Nigeria’s refining capacity continues to expand, with the NMDPRA chief saying the country was rapidly moving towards becoming a regional refining hub.
He said the increase in domestic refining capacity would also enable Nigeria to export refined products instead of crude oil.
The NMDPRA chief executive said Nigeria would work with other West African regulators through the West Africa Regulators Forum to advance regulatory alignment, market transparency, cross-border trade and credible regional pricing benchmarks.
Umar also said Nigeria’s gas market was being prepared for a transition towards a willing-buyer, willing-seller framework as infrastructure and market access improved.
“The goal of the government is not to have gas to be regulated forever. No. The PIA is very clear, black and white. There is a transition. We haven’t reached that level of maturity, but the idea is that in the next year or two, we should be on a willing-buyer, willing-seller basis.”
Welcoming delegates, the Chairman of the Society of Petroleum Engineers (SPE) Nigeria Council, Engr. Francis Nwaochei, called for stronger collaboration among government, regulators, operators, investors and technology providers to position Nigeria as a globally competitive energy destination capable of thriving amid the rapidly evolving global energy landscape.
Nwaochei said Nigeria’s future energy success would depend not only on its abundant natural resources but also on the quality of its leadership, policy consistency, innovation, institutional strength and commitment to partnerships.
The conference brought together government officials, international and indigenous oil and gas companies, regulators, investors, academics, technology providers, development partners and thousands of industry professionals from across Nigeria and beyond.
Nwaochei described NAICE as Africa’s foremost technical and investment platform for the petroleum industry, noting that the conference has, for nearly five decades, provided a forum for executive dialogue, policy engagement, technology exchange and professional development.
“Our gathering today reflects our shared commitment to technical excellence, innovation, collaboration and sustainable energy growth,” he said.
According to Nwaochei, the global energy industry is undergoing unprecedented transformation driven by energy security concerns, affordability, decarbonisation, digitalisation, artificial intelligence, automation and operational efficiency.
The Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Mrs.
Oritsemeyiwa Eyesan, said the Commission’s monthly engagement with operators across Nigeria’s upstream petroleum industry has played a significant role in shaping policies, addressing operational challenges and driving reforms in the sector.
She explained that the Commission instituted a monthly industry parley to foster continuous dialogue with exploration and production companies, investors and other stakeholders, noting that the initiative has strengthened collaboration and enhanced regulatory responsiveness.
According to her, many of the reforms introduced by the Commission in recent years were products of constructive engagements with industry players during the monthly sessions.
“The monthly parley has become an important platform for identifying challenges, generating practical solutions and aligning regulatory actions with industry realities. It has helped us shape policies that promote investment, improve operational efficiency and support sustainable growth of the upstream sector,” she said.
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