Dangote Industries Limited is set to expand its petroleum refinery from 650,000 barrels per day (bpd) to 1.4 million bpd, driven by emerging opportunities across Africa and growing regional demand for cleaner fuels. The $20 billion facility, already the largest single-train refinery in the world, will more than double its capacity within the next three years.
According to Aliko Dangote, President of Dangote Industries Limited, the expansion reflects the company’s confidence in Nigeria’s future and its commitment to building energy independence for the continent. The project is expected to be financed through a mix of cash flow, public listing, and strategic investors.
The refinery will also expand its polypropylene production capacity and increase the output of linear alkylbenzene, a key ingredient in detergent manufacturing. The expansion will enable the refinery to produce Euro VI fuel standards, meeting the highest global environmental benchmarks. Additionally, the company will expand its power generation capacity to 1,000 megawatts, ensuring complete operational self-sufficiency.
The economic impact of the project is significant, with the potential to strengthen Nigeria’s energy security, reduce foreign exchange outflows, and save the country billions of dollars annually. The refinery’s revenue could exceed $55 billion annually, making it one of the most valuable industrial assets on the African continent.
Dangote reaffirmed plans to list a significant portion of the refinery’s shares on the Nigerian Exchange (NGX) within the next year, describing it as part of efforts to democratize ownership and allow Nigerians to share in the value creation. The company’s strong cash flow, profitability prospects, and strategic positioning are expected to make it attractive to both local and global investors.
The expansion will create additional jobs, support thousands of SMEs, and deepen the country’s industrial base. Dangote expressed gratitude to President Bola Ahmed Tinubu and the Federal Government for supporting industrialization policies, which have emboldened investors to take on transformative projects.
As Nigeria approaches the festive season, Dangote assured the public that there would be no fuel scarcity or price hike during the ember months, despite recent global price increases. The company is committed to maintaining uninterrupted supply of petrol throughout the festive period.
The expansion of the Dangote Refinery is a significant development for Nigeria and the African continent, demonstrating confidence in the country’s future and its potential to become a major player in the global energy market. With its increased capacity and commitment to producing high-quality, cleaner fuels, the refinery is set to play a key role in shaping the continent’s energy future.