Aliko Dangote, founder of the Dangote Group, says his petroleum refinery will expand its processing capacity from 650,000 barrels per day (bpd) to 1.4 million bpd — a move that would make it the largest refinery in the world.

The billionaire industrialist announced the planned expansion at a press conference on Sunday, describing the project as a defining milestone for Africa’s industrial and energy future.

“This expansion reflects our belief in Africa,” Dangote said.
“It is also about confidence in Nigeria, in the leadership of President Bola Tinubu, in Africa, and in our capacity to shape our own energy future.”

Dangote said the expansion project, which will take three years to complete, will leverage lessons from the first phase of the refinery’s construction.

“We know now where all the dead bodies are buried, and we will try and avoid all those areas,” he said jokingly.
“Also, we already have the infrastructure, so it will take us a very short period of time.”

He said the project aligns with President Tinubu’s broader energy hub vision for Nigeria and aims to meet Africa’s growing petroleum needs while cutting dependence on imported fuel.

“It is President Bola Tinubu’s dream for Nigeria to emerge as one of the major petroleum hubs in the world,” Dangote added.

Energy security and economic impact

Dangote noted that the expansion is designed not only to meet Africa’s energy demand but also to “save and generate billions of dollars” for Nigeria, ensuring energy security and a sustainable petroleum future.

He revealed that at least 65,000 workers will be engaged during the expansion phase, with over 85 percent of the workforce being Nigerian.

“Our goal has always been to find opportunities for our people,” he said.
“We are investing heavily in skills development and technology transfer as part of this expansion.”

Refinery to list on Nigerian Exchange in 2026

The industrialist also announced that the Dangote Petroleum Refinery will be listed on the Nigerian Exchange Limited (NGX) in 2026, allowing Nigerians to own part of the company.

“We want to give all Nigerians the opportunity to own a part of the refinery,” Dangote said.
“They can buy as many shares as they need.”

He explained that the expansion will be financed primarily through cash flow, alongside contributions from one or two strategic investors.

The refinery, located in the Lekki Free Trade Zone in Lagos, began operations earlier this year and has been touted as a game changer for the continent’s oil and gas sector.

Dangote said the vision is to build legacy assets that “define generations and empower Africa’s industrial base.”

“This is not just about oil,” he said.
“It’s about transformation — creating jobs, deepening value chains, and positioning Africa as a serious global energy player.”

Some engineers recently dismissed by the Dangote Refinery have denied claims that there were 22 incidents of sabotage at the multibillion-dollar facility, including attempts to set it on fire.

The sacked workers, who spoke anonymously due to the sensitivity of the issue, insisted that the allegations were false and accused the refinery of punishing them for joining the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN).

According to them, if the refinery truly recorded several sabotage attempts, “someone would have been arrested or prosecuted by now.”

“From media reports, they said they have evidence. How can there be evidence without suspects?” one of the engineers asked.

The group said no member of the refinery’s technical team ever attempted to destroy or damage the facility, adding that many of them were part of the core professionals who built the plant.

“Some of us helped build this refinery. How could we turn around to destroy it? We love the project and want it to succeed,” a dismissed worker said.

During a media tour of the refinery last Friday, Devakumar Edwin, Vice President of the Dangote Group, had said the sacked engineers were dismissed for acts of sabotage, not union activities.

Edwin maintained that the company had documented “22 cases of sabotage,” including incidents where some workers allegedly attempted to set fire to certain sections of the refinery or tamper with key equipment.

“We have been under repeated attacks. Fortunately, it’s an ultramodern refinery. Whenever someone tries to start a fire or tamper with a system, our safety mechanisms respond automatically,” he stated.

He added that the company embarked on a massive reorganisation to protect its operations and dismissed suggestions that the exercise was linked to pressure from PENGASSAN.

However, the sacked engineers insist their dismissal was a direct response to unionisation efforts, noting that they had merely volunteered to join PENGASSAN before their contracts were abruptly terminated.

The dispute had led to a strike by oil and gas workers three weeks ago, which disrupted operations and affected national oil output and power generation.

The Federal Government later intervened, directing the Dangote Group to recall or redeploy the affected staff.

Although sources within the company hinted at plans to redeploy the engineers to other business units such as the Dangote Sugar and Dangote Cement plants, the workers told reporters they had not been contacted since their September salary was paid on October 6.

“We are still at home; no communication so far. We’re waiting for the next decision of the company,” one of them confirmed.

The Dangote Refinery, commissioned in 2023, remains one of Africa’s largest industrial projects, but recent labour tensions have renewed debates over workers’ rights and corporate accountability within the private sector.

Petrol prices have inched closer to the ₦1,000 mark across major Nigerian cities as supply tightens and loading disruptions persist, forcing petroleum marketers to consider importing fuel independently.

According to industry operators, production and supply issues at the Dangote Petroleum Refinery have intensified pressure on the downstream oil market, worsening scarcity and driving up pump prices nationwide.

The National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Chinedu Ukadike, confirmed the situation, noting that members of the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) are finalising plans to begin independent petrol importation to stabilise the market.

He expressed optimism that prices would soon drop once competition returns, saying, “Yes, petrol price is still going to come down because I also know that some marketers, especially DAPPMAN members, have applied and they are going to import petrol products… prices will come down once there is a struggle for the market.”

Checks by The PUNCH revealed that petrol prices rose from around ₦865 to between ₦920 and ₦955 per litre, with some stations in Abuja, Lagos and Sokoto selling as high as ₦1,000 depending on brand and location.

This spike comes despite earlier assurances from the Dangote Refinery that prices would drop to around ₦841 per litre under its new logistics-free distribution model announced in mid-September.

However, that promise has yet to materialise. Instead, prices have climbed steadily above ₦900 per litre in Lagos, Ogun, Abuja, and other cities.

In the Federal Capital Territory, NNPC outlets sold petrol for ₦955 per litre in Gwarinpa and Lugbe, while similar stations in Lagos offered it at ₦928. Across Edo, Rivers, Oyo, and Gombe, motorists paid between ₦900 and ₦1,000, with queues stretching across several filling stations.

IPMAN President Abubakar Shettima blamed depot owners for the fresh surge, saying they raised prices after the Dangote Refinery temporarily halted fuel loading. Depot prices reportedly jumped from an average of ₦830 to about ₦890, with some private depots selling above ₦900.

Data from Petroleumprice.com showed that depots such as Matrix, Fynefield, and Liquid Bulk sold petrol at ₦900, while Northwest and Pinnacle offered ₦895 and ₦885 respectively.

Following these adjustments, retail stations raised pump prices accordingly. NNPC outlets in Lagos and Ogun now sell petrol at ₦928 per litre — about ₦50 higher than previous rates.

NNPC spokesperson Andy Odeh explained that the corporation adjusted prices because depot charges had increased, saying, “The ex-depot prices have gone up… when the price goes up ex-depot, there will be an adjustment by the retailers.”

In Ogun and Lagos, Dangote’s distribution partner MRS sold petrol at ₦925 per litre on Tuesday. Meanwhile, industry sources confirmed that the Dangote Refinery recently suspended petrol sales to private marketers, leading to tighter supply.

Although no official explanation has been issued, insiders linked the disruption to internal maintenance and the recent mass layoff of engineers at the refinery.

Shettima maintained that the situation was temporary, saying, “These DAPPMAN people are the only ones selling now… if Dangote starts selling tomorrow, the price will come down.”

IPMAN’s Ukadike also attributed the hike to refinery reorganisation and the earlier NUPENG strike, which affected refining and loading operations. He noted that, “This is a reflective market whereby when suppliers increase prices, retailers have no choice but to increase them.”

He added that depot owners were exploiting the situation by inflating ex-depot prices, worsening the burden on consumers already facing record-high costs of transportation and food.

The Major Energies Marketers Association of Nigeria (MEMAN) also confirmed that the refinery had restricted gantry loading to its own trucks and MRS vehicles since last Thursday, a move that deepened shortages for independent outlets.

Jeremiah Olatide, CEO of PetroleumPrice.ng, said the refinery’s supply disruptions have distorted the downstream market, revealing that crude shortages and the layoff of about 800 staff had further strained operations.

He said, “The refinery is only loading their own trucks… depot marketers were not allowed to load products today. Private depots have stopped sales and want to raise prices again.”

In Sokoto, residents complained that petrol prices had jumped to between ₦960 and ₦1,050 per litre across both independent and major filling stations, with NNPC outlets reportedly shut for over a week.

A motorist in the state lamented, “I learnt a litre is now ₦992 from NNPC in Lagos. Only God knows how much it will sell in Sokoto… I had to borrow money from my wife just to buy fuel.”

With petrol nearing ₦1,000 per litre, economic analysts warn of fresh inflationary shocks that could worsen living costs nationwide, even as hopes for stable supply from the 650,000-barrel-per-day Dangote Refinery remain uncertain.

Efforts to reach the refinery’s spokesperson, Anthony Chiejina, were unsuccessful as calls and messages were not answered.

Credit: The Punch