TL;DR
- Dangote Refinery launched Africa’s largest-ever share sale, targeting about $1.6bn and valuing the business at roughly $47–50bn.
- Its Lagos refinery currently processes 700,000 bpd, with capacity targeted to double to 1.4 million bpd by 2029.
- Dangote is also pursuing a 700,000-bpd refinery in Kenya, extending its refining footprint beyond Nigeria.
Africa’s Biggest IPO
Dangote Petroleum Refinery launched its public IPO on September 14, offering 4.1 billion shares at ₦525 each.
For the September public offering:
- Base proceeds: ₦2.15tn, or about $1.6bn
- With a greenshoe option exercised: up to roughly $2.1bn
- Offer closes: October 13
- Minimum subscription: 10 shares
- Implied refinery valuation: around $47–50bn
The offering is heavily retail-focused, with Nigerian investors able to participate through fintech and digital investment platforms.
Separately, Dangote completed a private placement in July, which was 3.7 times oversubscribed. Dangote has cited that earlier demand as a benchmark for interest in the new public IPO.
Capacity Set to Double
Built for around $19–20bn, the Lagos refinery currently processes about 700,000 barrels per day.
Dangote plans to raise capacity to 1.4 million bpd by 2029, backed by roughly $14.3bn of further investment.
Since starting operations in 2024, the refinery has become a major source of Nigeria’s gasoline supply and helped turn the country into a net refined-fuel exporter.
Recent Middle East supply disruptions have also lifted demand for Dangote’s jet fuel exports to Africa and Europe.
Read more on why refiney capacity matters:
Jiayi ZHANG
Beyond Nigeria
Dangote is also pursuing a proposed 700,000-bpd refinery in Lamu, Kenya.
If both projects reach planned capacity, the group could eventually operate around 2.1 million bpd of refining capacity across Nigeria and Kenya.
ADNOC is also reportedly in talks to invest in Dangote’s refining business as it looks to secure crude customers and expand fuel trading.
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