Dangote Eyes $46bn Africa Expansion as Congo Oil Firm Seeks Supply Partnership

The Dangote Group disclosed plans to invest an additional $46 billion between 2026 and 2028 across its refining, cement, and fertiliser businesses in Africa, as the Republic of Congo’s national oil company Societe Nationale des Petroles du Congo sent a high-level delegation to tour the Dangote Petroleum Refinery in Lagos this week to explore a strategic supply partnership for refined petroleum products.

Group Vice President for Oil and Gas Devakumar Edwin told the Congolese delegation that total refining capacity across the group’s African operations was targeted to reach 2.1 million barrels per day, comprising 1.4 million barrels per day in Nigeria and a planned 700,000 barrel-per-day complex in Kenya designed to serve East African markets. The Kenya facility, if built as planned, would make the Dangote Group the dominant refiner across both West and East Africa simultaneously.

Congo Delegation Includes Presidential Adviser

The Congolese delegation included Peggy Ndongo, adviser to the President of the Republic of the Congo, alongside SNPC advisers and technical officials. On the Dangote side, Fatima Aliko Dangote, Group Executive Director for Commercial Oil and Gas, participated in the meetings alongside her father, reflecting her increasingly prominent role in the group’s international commercial strategy.

The Republic of Congo holds its own refining capacity but has struggled to keep it fully utilised, making a supply agreement with the Dangote Refinery an attractive option for securing reliable refined product availability. Whether a formal supply agreement emerges will depend on commercial terms including pricing, volume commitments, and logistics for moving products from Lagos to Congolese ports.

IPO Valuations and Free Delivery Boost Profile

Meanwhile, the Dangote Refinery’s private placement ahead of its anticipated NGX IPO had already attracted indications of interest exceeding $2 billion against a target of $1 billion, based on a valuation of $39.1 billion cited in its information memorandum. Furthermore, the refinery’s decision to begin free petrol delivery to Lagos, Abuja, and five other states at N1,075 per litre ex-depot demonstrated growing commercial confidence. Notably, Fashola revealed that the Lagos State Government discounted land allocated to Dangote to secure the refinery project, describing it as a thinking decision that transformed the state’s industrial landscape. Consequently, the Dangote Refinery is simultaneously building its continental supply network, preparing for a landmark public offering, and reducing domestic fuel prices.