The Dangote Petroleum Refinery in Nigeria has disclosed plans to invest $14.3bn (N18.9tn) to expand its processing capacity, coinciding with the signing of documents for an initial public offering (IPO).
The IPO is expected to be the largest in Africa, reported Reuters.
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The expansion aims to increase the refinery’s processing capacity from the current 700,000 barrels per day (bpd) to 1.4 million barrels per day (mbbl/d).
According to the IPO prospectus, the upgraded facility is scheduled for completion in 2029.
The complex, which began operations in 2024 in the Lekki Free Zone in Lagos, is part of the Dangote Group, led by founder and president/CEO Aliko Dangote.
Constructed at an estimated cost of $20bn, the refinery has altered Nigeria’s fuel market dynamics and exports products such as jet fuel to both Africa and Europe.
The facility’s IPO is expected to raise approximately N2.15tn, primarily targeting retail investors.
The offering will run from 14 September to 13 October, with shares expected to debut on Nigeria’s main stock exchange late in November, based on the indicative timetable.
Aliko Dangote mentioned at the signing event that, despite profits resulting from supply disruptions related to conflicts in the Middle East and Ukraine, the refinery’s investments are intended for long-term sustainability.
He also stated that United Arab Emirates-based ADNOC had expressed interest in investing in the refinery, although details were not disclosed due to non-disclosure agreements.
Dangote also has plans to establish a refinery on Kenya’s coast in cooperation with East African governments.
The Dangote refinery reported an after-tax profit of $1.82bn in the first half of 2026, compared to a $476m loss during the whole of 2025, as stated in the IPO documentation.
The initial share offering consists of 4.1 billion ordinary shares at a price of N525 each, with a “greenshoe option” to sell up to 30% more if demand warrants.
Dangote refinery CEO David Bird was quoted by Reuters as saying: “The intent is very much the people’s IPO, drive wide participation, enable Nigerians and the Nigerian diaspora, and Africans more broadly, the opportunity to participate in this wealth creation that comes from such an iconic industrial asset, like the Dangote refinery.”
