Dangote Industries Expands Lekki Refinery Capacity with New Machines

Dangote Industries Limited has commenced the expansion of its Lekki refinery in Lagos, increasing its capacity to 1.4 million barrels per day. The company has acquired 4,000 additional pieces of construction equipment, as disclosed by Devakumar Edwin, the Group Vice President for Oil, Gas and Fertiliser, during a media tour on Friday.

This new purchase adds to the company's existing fleet, which includes 330 cranes. Initially, Dangote entered the construction equipment market after contractors like Julius Berger indicated they could not build the refinery's main processing facilities.

Consequently, Dangote purchased 2,563 pieces of equipment, positioning itself as one of the largest holders of construction machinery globally. Edwin explained that the decision to manage construction in-house was influenced by high fees quoted by international firms for engineering and procurement, which could have reached approximately $2.5 billion.

The refinery is currently operating beyond its original processing capacity, and plans are underway for a 700,000-barrel-per-day refinery in Kenya, aiming for a combined output of 2.1 million barrels per day.