Table of Contents
Key Points
- Refinery capacity to rise from 650,000 to 700,000 barrels per day by Q4 2025, following key plant modifications.
- The Residue Fluid Catalytic Cracking unit is running at 85%, supporting higher fuel yields as upgrades progress.
- Dangote Refinery purchased 19 million barrels of U.S. crude in June–July, covering over half of July’s requirements.
The Dangote Petroleum Refinery, Africa’s largest refinery owned by the continent’s richest billionaire, Aliko Dangote, is undergoing key modifications aimed at increasing its production capacity from 650,000 to 700,000 barrels per day. Once completed, the upgrade is expected to raise the refinery’s output and valuation, further cementing its standing among the world’s top refineries.
Dangote, who leads the Dangote Group—Africa’s most diversified manufacturing conglomerate—shared the update on Sunday. He said the upgrade will add another 50,000 barrels per day to the refinery’s capacity and should be completed by the fourth quarter of 2025. Due to the ongoing work, the plant will not run at full capacity this year, but he expressed confidence in the progress being made.
RFCC unit running at 85 percent
As of July, the refinery’s Residue Fluid Catalytic Cracking (RFCC) unit was operating at 85 percent capacity. The RFCC process is crucial for converting heavy oil into lighter fuels like gasoline, diesel, and liquefied petroleum gas.
“We’re currently at 85 percent because of the modifications underway. Once those are complete, we expect to hit 700,000 barrels per day—not just 650,000—because other components of the refinery are already performing at full or above capacity,” Dangote said.
He also revealed that the refinery had purchased 19 million barrels of crude oil from the United States between June and July, with 10 million barrels bought in early July alone. That supply accounted for about 55 percent of the refinery’s crude intake for the month. “This month alone, we’ve bought 10 million barrels. At the current operating level, that’s more than half of what we need,” he added.
Dangote Refinery drives fuel independence
Since its launch last year, the $19 billion refinery has steadily increased output. By mid-2024, it was processing 350,000 barrels per day, which rose to 500,000 barrels per day by January 2025. This increased capacity has reduced Nigeria’s dependence on imported fuel—a long-standing irony for Africa’s largest oil producer. As a result, South Africa has overtaken Nigeria as the continent’s largest fuel importer for the first time in over a decade.
The refinery’s influence goes beyond fuel. Dangote has launched a $467 million plan to introduce 4,000 compressed natural gas (CNG)-powered trucks to transport petrol, diesel, and aviation fuel across Nigeria. The initiative supports the country’s broader energy transition while improving logistics amid rising transportation costs.
Meanwhile, work continues at Dangote’s $3 billion fertilizer plant, which is helping reduce Africa’s dependence on imported fertilizers. With a net worth of $28.4 billion, according to the Bloomberg Billionaires Index, Dangote remains the wealthiest individual on the continent—building not only a refinery but a growing industrial legacy.
