In a significant move to democratize ownership of Africa’s largest oil refinery, Aliko Dangote, President of the Dangote Group, has announced that his $20 billion refinery located in Lekki, Lagos, will soon be listed for public investment, allowing Nigerians the opportunity to own shares.
The announcement was made at the Global Commodity Insights Conference on West African Refined Fuel Markets, co-hosted by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and S&P Global Insights, held in Abuja.
Dangote emphasized that this strategic decision aligns with his broader vision of making Africa self-sufficient in refined petroleum products. “Very soon, the refinery will be listed to give all Nigerians the opportunity to become shareholders,” he said. “We are open to partnerships with African governments, private investors, and regional institutions. Our vision is simple but ambitious — Africa should refine all the petroleum products it consumes right here on the soil of Africa.”
The refinery, which began operations earlier in 2024, is one of the largest single-train refineries in the world, with a daily refining capacity of 650,000 barrels of crude oil. It is expected to reduce Nigeria’s dependence on fuel imports, strengthen the naira, and stimulate industrial development.
Beyond fuel refining, Dangote highlighted the refinery’s investment in liquefied petroleum gas (LPG), positioning it as part of the nation’s clean energy solution. “With our LPG production of 2,500 tonnes per day, we’re working to encourage more homes to increase LPG consumption or utilisation, and we’re just getting started,” he added.
This move aligns with Nigeria’s National Gas Expansion Programme, which promotes LPG as a cleaner alternative for household cooking.
Addressing criticisms about monopolistic intentions, Dangote took a firm stance. “Let me take this opportunity to address concerns around monopoly and dominance. The reality is that too many people who have the means and the opportunity to contribute meaningfully to our nation’s growth choose instead to criticise from the sidelines while investing their wealth abroad,” he said.
He called for encouragement of local industry rather than undermining it, warning against the dangers of allowing Nigeria and Africa to become dumping grounds for substandard foreign products. “We have chosen to bet on Nigeria and will continue to do so. So, we should not allow dumping to destroy our manufacturing base like what it did in so many other industries like textiles,” he warned.
Dangote also urged both the NMDPRA and the Nigerian government to encourage more investors to build domestic refineries. “Others should be encouraged to build refineries if they are serious. I think encouraging other people to build refineries is the job of the NMDPRA and also the government,” he stated.
Analysts view the planned public listing of the Dangote refinery as a potential game-changer for Nigeria’s capital market. It may emerge as one of the most capitalized listings on the Nigerian Exchange, offering Nigerians direct financial participation in the downstream sector.
The announcement also comes at a time when Nigeria is pushing to revitalize its local refining capacity, including efforts to rehabilitate the Port Harcourt and Warri refineries. With the Dangote refinery leading the charge, the prospect of achieving fuel self-sufficiency in the coming years is becoming more tangible.
As Nigeria navigates the complex terrain of energy reforms, Dangote’s move marks a pivotal step in aligning private enterprise with national interest—creating shared prosperity and ensuring energy security for Africa’s most populous nation.