In a striking development for West African energy dynamics, Senegal, an emerging oil-producing nation, finds itself heavily reliant on Nigerian crude to fuel its domestic refining operations, despite having started its own oil production recently. This intricate relationship underscores the complexities of aligning domestic resources with infrastructure capabilities in the region. Senegal’s Dakar Refinery, a critical asset for the country’s energy needs, is designed to process specific types of crude that the nation’s own output cannot meet. As a result, Nigeria has stepped into a pivotal role, providing a steady supply of suitable oil to keep the refinery operational. This dependency highlights not only the technical mismatches within Senegal’s energy sector but also the broader interdependence that characterizes the global oil market. The situation offers a compelling glimpse into how regional partnerships are shaping energy security in West Africa, raising questions about self-sufficiency and long-term sustainability for oil-producing nations in the area.
A Mismatch Between Production and Refining Needs
Senegal’s journey as an oil producer began with output from the Sangomar field, achieving a production level of approximately 100,000 barrels per day (bpd) of medium sour crude. However, this crude is incompatible with the Dakar Refinery, which has a capacity of 30,000 bpd and is engineered to handle lighter, sweeter grades of oil. To bridge this gap, Senegal imports Nigeria’s Erha crude, known for its lighter composition with a 36° API gravity and low sulfur content of 0.2%. Recent figures indicate that Nigeria supplies around 30,000 bpd of this crude to Dakar, effectively becoming a lifeline for the refinery’s operations. Meanwhile, the domestically produced Sangomar crude is largely exported to European markets such as Spain, Italy, and the Netherlands, as it requires blending to be processed locally. This structural limitation in Senegal’s energy infrastructure reveals a critical challenge: despite being an oil producer, the nation cannot fully utilize its resources domestically, necessitating reliance on external suppliers to meet refining demands.
Navigating Dual Dependencies in Energy Supply
Beyond the reliance on Nigerian crude, Senegal faces an additional layer of dependency on imported refined products to satisfy domestic fuel demand. Current data shows the country imports between 90,000 and 100,000 bpd of fuels, with a significant portion—around 50-60%—sourced from Russia, including gasoil, diesel, and fuel oil. This dual dependency on Nigeria for crude feedstock and Russia for refined products paints a complex picture of Senegal’s energy balance. Even as production from the Sangomar field is expected to remain stable at 100,000 bpd in the near future, with potential expansion through Phase 2 of the project under consideration for a 2027 start-up involving 33 new wells, there is no immediate solution to reduce import reliance. Nigeria’s role remains crucial, yet it also faces its own challenges with local refinery supply shortages. Reflecting on this intricate web of interdependence, it becomes evident that Senegal’s path to energy self-sufficiency is fraught with hurdles, yet regional partnerships offer a temporary buffer. Looking ahead, addressing these technical and infrastructural gaps through strategic investments and collaborations will be essential for Senegal to harness its oil wealth effectively.
