Dangote Refinery aims to begin selling petrol in August and plans to list on the Nigerian Exchange (NGX) in the first quarter of 2025.

Dangote Refinery Targets Petrol Sales in August, NGX Listing in Q1 2025

Aims for $26bn Annual Revenue

Lost $500m Due to Land Approval Delay

Billionaire businessman Aliko Dangote announced on Sunday that his $20 billion refinery will begin petrol sales next month, with plans to list on the Nigerian Exchange (NGX) in the first quarter of 2025.

During a press briefing in Lagos, Dangote disclosed that petrol sales to marketers would commence in August 2024. The refinery will begin full operations in 2024, producing intermediate products like polypropylene, naphtha, RCO, gasoline, diesel, and jet fuel. Production will ramp up to 500,000 barrels per day (bpd) with 15 crude cargoes a month by August, reaching 550,000 bpd by year-end, and 650,000 bpd by Q1 2025.

“Petrol production is to commence in July with sales from August,” Dangote stated.

He mentioned that a crude supply issue, which delayed petrol supply from the refinery, was resolved last week with federal government intervention.

Q1 2025 Listings

Dangote also revealed plans to list the refinery and fertilizer plants on the NGX by Q1 2025, aiming to expand the investor base and unlock more value for shareholders.

NNPCL Stake Now 7.2%

Dangote clarified that the Nigerian National Petroleum Company (NNPC) Limited now holds only a 7.2% stake in the refinery, contrary to the previously reported 20%. This reduction is due to NNPCL’s failure to pay the balance of their share, which was due in June.

$500 Million Loss from Land Approval Delay

Dangote disclosed a $500 million loss due to delays in securing a site for the Dangote Petrochemical Facility in Ogun State. This setback resulted from bureaucratic hurdles in acquiring Olokola land, significantly impacting project timelines and costs.

“The three years and eight months delay by the Ogun State government over Olokola land for the petrochemicals facility cost us $500 million,” Dangote explained.

He noted that the Dangote Group has invested $25 billion in the refinery and fertilizer plant over the past decade.

Global Construction Leader

The Dangote Group has become a global construction site with the launch of Africa’s largest oil refinery in Lekki, Lagos, boasting a 650,000 bpd capacity. The refinery’s massive scope required extensive infrastructure, logistics, and manpower, positioning Dangote Group as a global leader in construction.

“It is a thing of pride that a Nigerian company designed and built the world’s largest single-train refinery complex, handling its Engineering, Procurement, and Construction (EPC) contract,” Dangote remarked.

The refinery includes a self-sufficient marine facility capable of handling the world’s largest vessels and producing Euro V grade products. Dangote highlighted the sophistication, high automation, and environmental efficiency of the refinery.

“Dangote is one of the few companies in the world executing a petroleum refinery and a petrochemical complex directly as an EPC contractor,” he added.