Dangote Refinery Plans Major IPO for Nigerian Investors

Dangote Petroleum Refinery is preparing for an Initial Public Offering (IPO) in October, which could become the largest in Africa, according to CEO David Bird. The refinery has submitted a $5 billion IPO application to the Securities and Exchange Commission, although the final size remains undecided.

Bird emphasized that the IPO aims to allow Nigerians to participate in the company's growth, describing it as "the people’s IPO." He indicated that a foreign listing is at least three years away, with London mentioned as a potential venue. The refinery, owned by Aliko Dangote, has benefited from disruptions due to the Iran war, becoming Europe’s largest jet fuel supplier in June and July.

Bird confirmed plans to double refining capacity to 1.4 million barrels per day within three years, funded partly through the IPO and debt. The expansion is expected to cost significantly less than the original $20 billion investment.

The refinery currently meets most of Nigeria’s gasoline and diesel demand and all jet fuel needs.