Key Highlights

  • A 750,000 b/d CDU is slated for mechanical completion by December 2028, which would bring overall capacity to 1.45 million b/d.
  • At 1.45 million b/d, the Lekki complex would edge ahead of Reliance Industries’ 1.4 million b/d Jamnagar refinery as the world’s largest.
  • This rise coincides with a roughly 25% decline in clean‑product imports to the region, indicating a shift toward locally produced fuel.

This rise coincides with a roughly 25% decline in clean‑product imports to the region, indicating a shift toward locally produced fuel. Regular crude purchases began in March 2024, and the company now targets to finish a 750,000 b/d crude distillation unit by the end of 2028. The project sits within a wider strategy that includes additional storage and distribution infrastructure across the continent.

Market Impact

With the added CDU and the upcoming capacity of 1.45 million b/d, the Lekki refinery is poised to dominate West African fuel trade, as external clean‑product imports fell by nearly a quarter in the second quarter. This scale would make the complex the largest globally, just ahead of Reliance Industries’ Jamnagar refinery, which operates at 1.4 million b/d. By comparison, Nigeria’s three refineries together handle about 445,000 b/d, underscoring Dangote’s substantial advantage.

What’s Next

If the 750,000 b/d CDU is completed on schedule, Dangote could broaden its downstream portfolio, adding units such as vacuum distillation, polypropylene, base‑oil, and linear alkyl benzene production. The approach aligns with a regional move toward self‑sufficiency, reinforced by the IMF’s latest forecast that nudges global growth to 3%, prompting African producers to secure domestic demand. The CDU’s completion will serve as a catalyst for the broader African refining environment in the coming years.

This article is for informational purposes only and does not constitute financial advice. Please consult a licensed financial adviser before making investment decisions.