Dangote targets world’s largest refinery by 2028

Abdullateef Fowewe

Africa’s richest man, Aliko Dangote, has unveiled plans to expand the Dangote Refinery into the world’s largest oil refinery by 2028, even as the company launches a landmark N2.15 trillion initial public offering (IPO) to deepen local ownership and fund growth, Dailyeconomy reports.

The Securities and Exchange Commission (SEC) has approved the sale of 4.1 billion ordinary shares in Dangote Petroleum Refinery and Petrochemicals FZE at N525 per share, a move that could raise about N2.15 trillion ($1.6 billion) if fully subscribed.

The order book is expected to open on September 14, 2026, marking Nigeria’s and Africa’s biggest-ever share sale.

Investors can subscribe from a minimum of 10 shares, translating to a minimum outlay of N5,250, as Dangote frames the flotation as a “people’s IPO” aimed at broadening participation across Nigeria and Africa.

Speaking at the preliminary signing ceremony for the IPO on Monday, Dangote said the 700,000 barrels-per-day facility in Lagos—already Africa’s largest refinery and the world’s largest single-train refinery is on track to become “the largest refinery by 2028 in the world’s history.”

He tied the expansion to a broader industrial agenda, stating, “Our vision 2030 mantra at the Dangote Group is accelerating Africa’s industrialisation. We cannot industrialise if we do not have energy security.”

The refinery is also positioning itself as a major global fuels supplier; its chief executive, David Bird, noted it remains the largest jet fuel supplier to Europe, underscoring the asset’s export role alongside domestic supply.

Dangote highlighted the unusual level of trust that got the project off the ground, recalling that bankers committed funds before the company had chosen a site or secured licences.

“Bankers without them even seeing which site we were going to use. Without seeing the license, we didn’t even have a license of the refinery. But the shared trust between us and our bankers made them to put money on the table without asking too many questions,” he said.

He also acknowledged years of false starts and land-related struggles, “Even though we had very false starts, several hurdles, in fact, on the land itself, we struggle for five years trying to find which land we’re going to use.”

At the N525 offer price, market calculations place the refinery’s implied valuation around $47 billion, reflecting investor expectations for Africa’s most ambitious industrial energy project.

If the expansion to 1.4 million barrels per day proceeds as planned, the Dangote Refinery would overtake India’s Jamnagar complex to claim the global top spot, aligning with Dangote’s 2028 target.