Dangote Refinery Signs $350m Contract for 1.4m bpd Expansion

Dangote Group has signed a contract valued at over $350 million with India’s state-owned Engineers India Limited (EIL) for the expansion of its Lekki-based refinery.

Under the agreement, EIL will serve as Project Management Consultant as well as Engineering, Procurement and Construction Management consultant for the upgrade, replicating the role it played during the delivery of the existing 650,000 barrels-per-day facility commissioned in 2024.

The expansion will involve the installation of a second processing train, raising total refining capacity to 1.4 million barrels per day. The project is also designed to support the production of Euro VI–compliant fuels.

In addition to refining capacity, the expansion includes a major scale-up of petrochemical output. Plans are underway to increase polypropylene production from 830,000 tonnes per annum to 2.4 million tonnes through the revamp of existing units, the installation of a new 1.2 million-tonne facility, and the addition of a 750,000-tonne UOP Oleflex unit to boost propylene supply.

Once completed, the refinery is expected to become the largest single-site refinery in the world, strengthening fuel supply across Africa and reducing Nigeria’s dependence on imported petroleum products.