The Dangote Refinery has announced plans to expand its production capacity from 650,000 barrels per day to 1.4 million barrels per day, a move that will make it the largest refinery in the world once completed, surpassing India’s Jamnagar Refinery.
Speaking at a press conference in Lagos on Sunday, the President of the Dangote Group, Aliko Dangote, said the expansion demonstrates the company’s confidence in Nigeria’s economic future.
“We are more than doubling the barrels… to 1.4 million from 650,000,” Dangote said in Lagos.
“This will make it the largest refinery in the world, surpassing India’s Jamnagar Refinery,” he said.
He added that “This expansion is about confidence in Nigeria, in Africa, and in our capacity to shape our own energy future.”
Dangote commends the FG
Dangote expressed appreciation to the Federal Government for its continued support, citing key policy interventions such as the Nigeria First Policy, the Naira-for-Crude Policy, and the One-Stop Shop Initiative, which he said have transformed the downstream oil sector and encouraged private investments in local refining.
He also commended government mediation efforts in resolving recent disruptions at the refinery caused by union activities and sabotage attempts, describing the intervention as “decisive and confidence-restoring.”
The business mogul revealed that the expansion project would generate about 65,000 jobs during the construction phase and open new opportunities for local industries.
In addition to refining crude oil, the project will boost polypropylene production from 900,000 metric tonnes to 2.4 million metric tonnes per annum, alongside the production of base oils and linear alkylbenzene, a key ingredient for detergents.
Addressing concerns over potential fuel shortages during the year-end festive period, Dangote assured Nigerians of an uninterrupted petrol supply despite recent fluctuations in global oil prices.
He said the refinery was fully prepared to maintain consistent product flow and stable prices throughout the ember months.
“For the first time in many years, Nigerians can look forward to a festive season free of fuel anxiety,” he assured.
What this means
- The planned expansion of the Dangote Refinery to 1.4 million barrels per day represents a transformational shift for Nigeria’s energy sector, industrial base, and overall economic outlook.
- This development positions Nigeria to become a global refining powerhouse, capable of meeting not only its domestic fuel demand but also supplying refined petroleum products to other African and international markets.
- The expansion could drastically reduce Nigeria’s dependence on imported refined fuels, saving billions of dollars annually in foreign exchange and easing pressure on the naira.
- Moreover, the refinery’s planned increase in polypropylene, base oil, and linear alkylbenzene production signifies a major boost for Nigeria’s manufacturing and industrial sectors, particularly in plastics, lubricants, and consumer goods.
