Dangote Group has signed a $400 million construction equipment agreement with XCMG Construction Machinery Co., Ltd., one of China’s leading manufacturers of construction machinery, to accelerate the expansion of the Dangote Petroleum Refinery & Petrochemicals from 650,000 barrels per day to 1.4 million barrels per day.
The expansion is expected to position the refinery as the largest in the world. Under the agreement, the Group will acquire a wide range of advanced construction equipment to support ongoing and upcoming projects across refining, petrochemicals, agriculture and large-scale infrastructure development.
The newly acquired equipment will complement existing assets already deployed for the refinery expansion, which is projected to be completed within three years.
Beyond refining, the expansion programme will significantly increase production capacity across several business lines. Polypropylene production will rise from 900,000 metric tonnes per annum to 2.4 million metric tonnes per annum. Urea capacity in Nigeria will be tripled from 3 million to 9 million metric tonnes per annum, in addition to the existing 3 million metric tonnes per annum capacity in Ethiopia. This move will strengthen the Group’s position as the largest urea producer globally.
Production capacity for Linear Alkyl Benzene (LAB) will increase to 400,000 metric tonnes per annum, positioning the Group as the largest producer in Africa and boosting supply to the detergent and cleaning agents manufacturing industry. The broader expansion programme also includes additional base oil production capacity.
In a statement, the Group described the agreement as a strategic investment aimed at deepening its construction footprint and accelerating its ambition to build a $100 billion enterprise by 2030.
“The additional equipment we are acquiring under this partnership will significantly enhance execution across our projects. With this investment, we are positioning ourselves to become the number one construction company in the world,” the statement said.
Dangote Group is currently accelerating expansion and regional market development as it advances toward its long-term vision of building a $100 billion enterprise by 2030.
