Dangote Refinery to expand production from 650,000bpd to 1.4mbpd

Dangote Refinery to expand production from 650,000bpd to 1.4mbpd

The President of Dangote Industries Limited, Alhaji Aliko Dangote, on Sunday, announced plans to expand the production capacity of the Dangote Refinery in the Lekki Free Zone, Lagos, from 650,000 barrels per day (bpd) to 1.4 million barrels per day (mbpd).

Speaking during a media briefing in Lagos, Dangote said the expansion, which had a three-year timeline, would further position Nigeria as a global refining hub.

He added that the move would make the Dangote Refinery the largest single-train refinery in the world by capacity.

He also reiterated plans to list the refinery on the Nigerian Exchange (NGX) to give Nigerians an opportunity to invest in the multibillion-dollar facility.

“We plan to increase production from 650,000 barrels per day to 1.4 million barrels per day in the next three years. This expansion will make the refinery the largest in the world,” Dangote said.

In a recent interview with S&P Global, Dangote disclosed that the refinery intended to sell between 5% and 10% of its equity on the NGX within the next year.

He also noted that the Nigerian National Petroleum Company (NNPC) Limited, which “holds a 7.2% stake in the refinery,” could increase its shareholding as part of ongoing collaboration with the federal government.

Inaugurated in 2023 and valued at about $20 billion, the Dangote Refinery began commercial operations in 2024.

The facility is capable of processing 650,000 barrels of crude oil per day and producing a full range of refined petroleum products, including gasoline, diesel, aviation fuel, and polypropylene.

The planned expansion marks another milestone in Dangote’s efforts to boost domestic refining capacity, reduce Nigeria’s dependence on fuel imports, and strengthen the country’s position in the global oil market. [New Telegraph]