Dangote Sets New Terms for NNPCL Expansion in $20bn Mega Refinery

|By Babatunji Wusu

Africa’s richest man, Aliko Dangote, says the Nigerian National Petroleum Company Limited (NNPCL) will only be allowed to increase its stake in the $20 billion, 650,000bpd Dangote Refinery after the plant proves its full operational capacity.

Dangote, who currently controls the majority stake, told S&P Global Commodity Insights that while the “door remains open” for NNPCL to boost its shareholding, such talks will only happen after the next phase of refinery growth is well underway.

NNPCL had earlier cut its stake from 20 percent to 7.2 percent in 2024, saying it needed to free up cash to invest in compressed natural gas. Dangote made it clear he intends to retain only 65–70 percent ownership and wants the refinery listed publicly on the Nigerian Exchange in the near future.

The refinery has faced an operational disruption in recent weeks, resulting in a temporary fuel supply hitch. Petroleum marketers complained of non-delivery of petrol despite advance multibillion-naira payments, according to Bloomberg.

Dangote did not address the glitch directly but maintained confidence in the refinery’s performance and investor positioning.