DANGOTE REFINERY OPENS HISTORIC ₦2.15TN SHARE OFFER ON NGX

The Dangote Petroleum Refinery and Petrochemicals has officially opened its Initial Public Offering on the Nigerian Exchange, giving members of the public an opportunity to acquire shares in one of Africa’s biggest industrial projects. The public offer, valued at about ₦2.15tn, commenced on Monday, September 14, with Dangote Industries Limited President, Aliko Dangote, formally marking the opening of the offer at the NGX trading floor.

The refinery is offering 4.1 billion ordinary shares at ₦525 per share, with the offer expected to raise about $1.6bn if fully subscribed. The public offer is targeted at both institutional and retail investors, with the company seeking to attract millions of Nigerians and other investors. The minimum subscription has been set at 10 shares, meaning an investor can participate with ₦5,250, with subsequent applications made in multiples of 10 shares.

The IPO represents a major development for Nigeria’s capital market because it gives the public an opportunity to own part of the privately operated refinery. Built at a cost of about $20bn, the facility began operations in 2024 and has a current production capacity of about 700,000 barrels per day. The refinery has become a major supplier of petrol and other refined petroleum products to the Nigerian market, while also exporting products to other countries.

Proceeds from the share sale are expected to support the refinery’s expansion plans, with Dangote targeting an increase in processing capacity from about 700,000 barrels per day to 1.4 million barrels per day. If achieved, the expansion would make the facility one of the largest refineries in the world. The company also plans to strengthen its wider energy and petrochemical operations as it seeks to take advantage of growing demand for refined products in Nigeria, Africa and international markets.

The offer is expected to run until October 13, after which the company will proceed with the next stages of allotment and listing. The refinery’s proposed listing is being closely watched by investors and market operators because of its potential size and its expected impact on the Nigerian Exchange. The transaction also marks a significant step in Dangote’s plan to broaden ownership of the refinery while raising additional capital for future expansion.