Dangote Inks $350 Million Deal with India’s EIL to Double Refinery Capacity

Nigeria’s Dangote Group has signed a US$350 million contract with India’s Engineers India Ltd (EIL) to double the capacity of its flagship Lagos refinery. The expansion aims to solidify Nigeria’s shift from fuel importer to regional exporter.

The project will add a second processing train, boosting the refinery’s output from 650,000 to 1.4 million barrels per day. All fuels will meet stringent Euro VI standards.

EIL will reprise its role as Project Management and Engineering, Procurement and Construction Management consultant, a position it held during the facility’s initial US$19 billion construction.

Commissioned in 2024, the refinery is already Africa’s largest and the world’s biggest single-train facility. It began producing diesel, aviation fuel, and gasoline in early 2024, marking a pivotal turn for Nigeria – a major crude producer long dependent on imported refined products.

Beyond fuels, the complex is expanding its petrochemical output. Polypropylene production will nearly triple to 2.4 million tonnes per annum, supported by a new oleflex unit.

The expansion is projected to position the Dangote complex among the world’s largest single-site refinery and petrochemical hubs. While operational challenges remain, the facility is central to Nigeria’s energy strategy, aiming to curb imports and supply West and Central African markets.