Nigeria's Economy
Dangote and the Giant Refinery
How Aliko Dangote built Africa's largest business group and a 650,000-barrel-a-day refinery near Lagos, and what it means for Nigeria's fuel imports.
Aliko Dangote is Africa’s richest person.
The Dangote Group
- Built from trading into cement, sugar, salt, fertiliser and more.
- Dangote Cement is one of Africa’s largest cement producers.
The refinery
- The Dangote Refinery near Lagos has capacity of 650,000 barrels a day, among the world’s largest single-train refineries.
- It began producing fuel in 2024.
- It cost around 20 billion dollars.
Why it matters
- Nigeria long imported most petrol despite exporting crude.
- The refinery could cut fuel imports and save foreign currency.
- It could export fuel to other African countries.
Disputes
- Arguments with the state oil company NNPC over crude supply and pricing.
- Tensions with fuel importers.
Policy influence
Dangote’s businesses benefited from import restrictions on cement and other goods, raising debates about protection and monopoly.
The end of imports
With the Dangote Refinery producing petrol, Nigerian fuel marketers begin buying locally instead of importing from Europe.
Thinking Nigeria always refined its own oil
It imported most petrol until the Dangote Refinery.
Key takeaways
- Aliko Dangote is Africa's richest person.
- His refinery has 650,000 barrels a day capacity.
- It began producing fuel in 2024.
- It could cut Nigeria's fuel imports.
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