Dangote Refinery to Become World’s Largest with 1.4m bpd Capacity Expansion
Dangote Refinery to Become World’s Largest with 1.4m bpd Capacity Expansion
…Projects $55bn Annual Revenue, Commends Tinubu’s Reforms, Plans NGX Listing to Empower Nigerians
In a bold move set to redefine global refining, Dangote Industries Limited has announced plans to expand its $20 billion Dangote Petroleum Refinery from 650,000 barrels per day (bpd) to 1.4 million bpd — a development that will make it the world’s largest refinery.
Speaking at a world press conference in Lagos on Sunday, President of Dangote Industries Limited, Aliko Dangote, said the expansion decision was driven by Africa’s growing energy needs, regional demand for cleaner fuels, and Nigeria’s evolving policy reforms under President Bola Ahmed Tinubu that promote local refining.
“This expansion reflects our confidence in Nigeria’s future, our belief in Africa’s potential, and our commitment to building energy independence for our continent and the world,” Dangote said. “It is the dream of President Bola Ahmed Tinubu for Nigeria to emerge as a major supplier of petroleum products globally. With his strong backing, we are taking on the challenge to make this happen.”
Dangote disclosed that the refinery’s expansion — to be executed within the next three years — would be financed through internal cash flow, a public listing, and strategic investors. Upon completion, it will surpass India’s Jamnagar Refinery, currently the largest in the world, cementing Nigeria’s position as a global refining hub.
Petrochemical and Power Expansion
Dangote also announced an increase in the refinery’s polypropylene production from 900,000 to 2.4 million metric tonnes per annum, alongside expanded production of linear alkylbenzene (used in detergents) and base oils.
“With this expansion, we’ll transition from Euro V to Euro VI fuel standards, meeting the highest global environmental benchmarks,” he explained. “We’re also expanding our power generation to 1,000 megawatts for complete self-sufficiency, with more than 85 percent of our workforce being Nigerians.”
Economic Impact and NGX Listing
The billionaire industrialist projected that the refinery could generate over $55 billion in annual revenue, significantly reducing Nigeria’s foreign exchange outflows and strengthening energy security.
He confirmed plans to list a substantial portion of the refinery’s shares on the Nigerian Exchange (NGX) within the next year, describing it as a move to democratize ownership and allow Nigerians to benefit directly.
“Our main listing will be here in Nigeria to give Nigerians value,” Dangote said. “We want the Dangote Refinery to be the golden stock of the Exchange — a true national asset.”
Confidence in Reforms and Stability
Dangote commended President Tinubu’s economic reforms — including the Nigeria First, Naira-for-Crude, and One-Stop Shop initiatives — for restoring investor confidence and enabling transformative projects.
He also praised the government’s swift intervention in resolving recent industrial disruptions and sabotage attempts, describing it as a sign of “effective public-private collaboration.”
Despite not yet recovering the initial investment in the 650,000 bpd phase, Dangote said the expansion underscores a long-term vision. “Refining is a long-term project. We are expanding because we believe in Africa,” he said.
He added that Nigeria’s fuel price remains among the lowest in the region, thanks to local refining that has curbed toxic fuel imports and stabilized supply.
“Nigerians today buy petrol at roughly half the price of what our neighbours pay — even cheaper than in Saudi Arabia — while enjoying cleaner Euro VI fuel,” Dangote noted.
No Fuel Scarcity During Festive Season
As the year-end festive season approaches, Dangote assured Nigerians of uninterrupted fuel supply despite global price hikes.
“In the last three days, global oil prices have spiked by eight percent, but we will maintain steady petrol supply throughout the festive period,” he said. “For the first time in years, Nigerians can look forward to a Christmas and New Year free of fuel anxiety.”
Building Africa’s Refining Future
Dangote expressed appreciation to the Federal and Lagos State Governments, the company’s host community in Lekki, and its financial and technical partners for their continued support.
“This expansion is not just about capacity — it’s about confidence in our people, our government, and our continent,” he said. “Together, we are building a stronger Nigeria and redefining what is possible for Africa.”
He urged other licence holders to emulate Dangote Refinery’s example and join hands in realizing President Tinubu’s vision of making Nigeria the refining capital of Africa.
“When Africa builds its own capacity, it builds its own destiny,” Dangote concluded.
No comments