Dangote Group has entered into a strategic partnership with Honeywell International to upgrade the capacity of the Dangote Petroleum Refinery in Lekki to 1.4 million barrels per day (bpd) by 2028 more than double its current output.
Under the deal, Honeywell will supply advanced refining technologies, specialised catalysts, equipment and processing capabilities to allow the refinery to handle a broader slate of crude grades. This enhancement is expected to significantly improve operational efficiency, product quality, and flexibility in crude sourcing.
In addition to boosting crude-oil processing, the agreement will further expand Dangote’s petrochemical footprint. Specifically:
- Polypropylene production is slated to reach 2.4 million metric tons annually using Honeywell’s “Oleflex” technology.
- As part of a broader growth plan, Dangote also intends to expand its fertiliser output increasing urea production capacity from 3 million to 9 million metric tons per year by adding additional production “trains.”
Dangote’s management framed the deal as “a major milestone” in their vision to build the world’s largest petroleum-refining complex. Once complete, the upgraded refinery will not only meet domestic fuel demand but also position Nigeria as a leading exporter of refined products, a shift that could meaningfully reduce reliance on imported fuel.
Beyond energy: the expanded petrochemical and fertiliser capacity is expected to stimulate industrial growth across manufacturing, agriculture, and packaging sectors potentially creating thousands of jobs and boosting local industries.
The expansion plan comes at a time when Nigeria historically reliant on imports of refined petroleum products despite being a major crude producer is seeking energy independence and economic transformation. Analysts are watching closely to see whether the upgrade will deliver on its promise of lower fuel costs, improved supply security, and broader industrial growth.
