Alhaji Aliko Dangote, President of Dangote Group, has expressed openness to the Nigerian National Petroleum Company Limited (NNPC) increasing its 7.2% stake in the 650,000-barrel-per-day Dangote Refinery, but only after demonstrating the refinery’s capabilities. In an interview with S&P Global Commodity Insights, Dangote stated, “I want to demonstrate what this refinery can do, then we can sit down and talk.”
The NNPC reduced its stake from 20% to 7.2% to invest in compressed natural gas (CNG) infrastructure, as explained by former NNPC spokesperson Olufemi Soneye in August 2024. He highlighted CNG’s affordability, noting that N10,000 could fuel vehicles for two weeks. However, NNPC’s new Group CEO, Bayo Ojulari, recently affirmed the company’s interest in increasing its refinery stake.
Dangote plans to list 5-10% of the refinery’s shares on the Nigerian stock exchange within the next year, aiming to retain 65-70% ownership based on investor interest and market conditions. A close aide indicated caution in expanding NNPC’s participation until the refinery’s next growth phase is underway.
