LAGOS, Nigeria — Africa’s richest man, Aliko Dangote, has announced plans to sell between 5 and 10 P.c of his flagship Dangote Oil Refinery on the Nigerian Exchange (NGX) within the next year, marking a major shift in the ownership structure of the multi-billion-dollar project.
In an interview with S&P Global, Dangote said the move is aimed at attracting new investors and unlocking additional capital as part of a broader expansion plan that could elevate the Lagos-based facility into the world’s largest oil refinery by capacity, with output projected to reach 1.4 million barrels per day.
The $20 billion refinery, which began commercial production in 2024 after nearly a decade of construction, currently processes 650,000 barrels of crude oil per day.
Designed to meet Nigeria’s domestic fuel demand and export to international markets, the refinery produces petrol, diesel, and jet fuel.
Dangote also disclosed that Nigeria’s state-owned oil company, the Nigerian National Petroleum Company (NNPC) Limited, may increase its stake in the refinery from 7.2 P.c, further consolidating the partnership between the two entities.
“We’re looking to replicate the model we used in cement and sugar — inviting other investors to participate. We don’t intend to keep more than 65 to 70 P.c ownership,” Dangote said.
The sale, he added, will open the door for strategic investors, including Middle Eastern companies, to acquire equity in the refinery as part of wider efforts to deepen regional partnerships.
Dangote also hinted at plans to develop a new petrochemicals project in China, signaling the company’s ambitions to diversify and expand beyond Africa.
Since its commissioning, the refinery has reshaped Nigeria’s energy landscape — reducing the country’s dependence on imported fuel and exporting refined products to the U.S. and Asia. However, operations have not been without hurdles.
The refinery has faced crude supply shortages and disputes with industry stakeholders over pricing and logistics. In recent months, it also clashed with trade unions after firing hundreds of workers over what the company termed “sabotage,” before later agreeing to reinstate and redeploy them to other Dangote Group divisions.
Analysts say the planned listing of the refinery’s shares represents a key milestone for Nigeria’s capital market and could enhance investor confidence in Africa’s largest economy.
“Dangote’s move will not only diversify the refinery’s ownership but also deepen the liquidity of the Nigerian Exchange,” said a Lagos-based economist.
The Dangote refinery is already being hailed as a continental game-changer, expected to transform West Africa’s energy trade and potentially save Nigeria billions in annual fuel imports.
If successful, the upcoming partial sale could cement Dangote’s refinery as a globally competitive energy hub, while positioning the billionaire to lead Africa’s next wave of industrial and capital market reforms.
