Dangote Refinery Plans $5 Billion IPO for 2026

Professor Emeritus of Petroleum Economics, Prof. Wunmi Iledare, expressed optimism about the investment prospects of Dangote Refinery’s proposed $5 billion initial public offering (IPO), scheduled for October 2026. The refinery has secured a $1 billion underwriting program, which includes a completed $600 million private placement and an additional $400 million commitment.

Iledare stated that while the refinery's commercial prospects are favorable, potential investors will scrutinize the sustainability and cost of crude oil supply. He noted that sourcing production inputs outside Nigeria should not diminish competitiveness, provided the refinery can secure necessary crude and materials.

The refinery, located in Lagos, has an installed capacity of 650,000 barrels per day and supplies various refined products. The IPO aims to allow qualified retail and institutional investors to acquire equity, supporting the refinery's expansion and business objectives.

However, investment returns will depend on factors such as offer price, valuation, profitability, and regulatory environment.