Dangote Refinery Targets 1.4m Barrels Per Day Capacity by 2029 — Dangote

The Dangote Petroleum Refinery plans to increase its refining capacity to 1.4 million barrels per day by early 2029, its President and Chief Executive, Aliko Dangote, has announced.

Dangote disclosed the target on Monday during the final virtual roadshow for the refinery’s ongoing initial public offering (IPO), organised by Financial Derivatives Company in Port Harcourt, Rivers State.

He said the expansion would raise capacity from the facility’s current 700,000 barrels per day, positioning it among the world’s largest refining operations.

“By 2029 beginning, we will be at 1.4 million barrels per day,” Dangote said, adding that the refinery’s planned output would represent about 10 per cent of total United States refining capacity.

The expansion will also increase the company’s petrochemical production. Dangote said the facility was targeting annual production of 2.5 million tonnes of polyolefin and 400,000 metric tonnes of linear alkylbenzene.

He described the planned growth as a major step for Africa’s industrial development, with the refinery expected to expand beyond fuel production into a broader range of petrochemical products.

Dangote also addressed concerns about the IPO’s share allocation, assuring small investors that they would be accommodated despite reported strong demand for the offer.

He said investors bidding for 50,000 shares or fewer would receive consideration, signalling the company’s intention to widen public participation in the refinery’s ownership.

The industrialist defended the offer price of ₦525 per share, describing it as attractive and expressing confidence in the company’s financial performance.

The IPO is expected to help fund the refinery’s expansion, which would add substantial processing capacity and strengthen its position in domestic and international petroleum markets.

The refinery’s growth plans come as Nigeria seeks to expand local refining, reduce dependence on imported petroleum products and increase the value derived from its oil and gas resources.

However, achieving the 2029 target will depend on completing the expansion works and ensuring the facility has sufficient crude oil supplies to operate at its planned capacity.