Dangote Refinery has partnered with Honeywell to enhance its operations and increase refining capacity to 1.4 million barrels per day by 2028. The agreement will enable Dangote to process a wider range of crude grades, supporting its planned output expansion, while Honeywell will supply the catalysts and equipment needed for this growth.
As part of the deal, Dangote will also boost its production of polypropylene—an industrial material used to manufacture plastic containers and car parts—to 2.4 million metric tons per year by licensing Honeywell’s Oleflex technology. Although the financial terms have not been disclosed, a source familiar with the situation estimates the contract could be valued at over $250 million.
The partnership comes as Dangote continues to invest in expanding its refinery in Lekki, Lagos, where it has already spent $20 billion. The company plans to double the plant’s capacity by adding a second single‑train unit over the next three years. When completed, the refinery will be able to process nearly all of Nigeria’s current crude production of around 1.5 million barrels per day.
This development is significant for both companies. Honeywell seeks to shore up revenues ahead of its planned carve‑out of its aerospace business, while the partnership demonstrates Dangote’s commitment to increasing refining capacity and expanding operations in the region. The refinery expansion is expected to have a positive impact on Nigeria’s energy sector, enabling more domestic processing of crude oil, and the increased polypropylene output will help meet growing regional demand for industrial materials.
Overall, the agreement highlights the growing collaboration between international firms and African businesses. As the energy sector evolves, such partnerships are likely to play a crucial role in driving growth and development in the region, positioning Dangote to become a major player in the global energy market by 2028.
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