Dangote reveals plans to expand refinery to become the world’s largest, targeting 1.4 million bpd by 2028
Aliko Dangote has announced plans to expand the Dangote Petroleum Refinery’s capacity from 650,000 barrels per day (bpd) to 1.4 million bpd within the next three years.
Yesterday, at a Press Conference in Lagos, Dangote said the expansion is driven by growing opportunities across Africa, rising demand for cleaner fuels, and a policy environment that increasingly supports local refining. He described the move as a strategic step to solidify Nigeria’s position as a global refining hub and a key player in Africa’s industrial renaissance.
“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,” he said. “It aligns with President Bola Tinubu’s vision for Nigeria to become one of the world’s leading suppliers of refined petroleum products. With his strong backing, we are ready to make that vision a reality.”
The $20 billion Dangote Refinery, currently the largest single-train refinery in the world, will more than double its output once the new phase is completed. Dangote revealed that the expansion will be financed through a combination of internal cash flow, a public listing on the Nigerian Exchange (NGX), and strategic investments.
The expansion will also significantly increase the refinery’s petrochemical output. Polypropylene production capacity will rise from 900,000 metric tonnes to 2.4 million metric tonnes per year, alongside additional outputs of linear alkylbenzene, used in detergent manufacturing, and base oils.
Dangote added that the refinery will transition from Euro V to Euro VI fuel standards, meeting the world’s highest environmental and emissions benchmarks. “We are also scaling our power generation capacity to 1,000 megawatts to ensure full operational self-sufficiency,” he said. “Over 85% of our workforce will remain Nigerian, supported by ongoing investments in training, safety, and technology transfer.”
He projected that the refinery’s annual revenue could exceed $55 billion, positioning it as one of the most valuable industrial assets in Africa. A portion of the company’s shares will be listed on the NGX within the next year as part of efforts to democratise ownership.
“Our primary listing will be here in Nigeria,” Dangote said. “We want this to be a true national asset and the golden stock of the Exchange. Listing abroad is secondary.”
He explained that the listing would promote transparency, broaden participation, and enable Nigerians to share in the refinery’s success. “This expansion is not just about refining oil—it’s about refining opportunities,” he noted. “It will create jobs, empower SMEs, and strengthen Nigeria’s industrial backbone.”
Dangote expressed appreciation to President Tinubu and the Federal Government for policies such as Nigeria First, Naira-for-Crude, and the One-Stop Shop initiatives, which he said have boosted investor confidence.
He also acknowledged government efforts in resolving recent disruptions at the refinery, attributing them to union activity and sabotage attempts. According to him, the prompt intervention demonstrated effective public-private collaboration.
Despite not yet recovering the initial investment in the refinery’s first phase, Dangote reiterated his commitment to long-term development over immediate profits. “Refining is a long-term game,” he said. “We are expanding because we believe in Africa. Without this refinery, Nigeria would still be spending billions importing fuel and depleting its reserves.”
Dangote urged other investors with refinery licences to follow suit, emphasising that collaboration is key to realising Nigeria’s refining potential.
“When Africa builds its own capacity, it builds its own destiny,” he concluded.
