Dangote Group has signed a contract valued at over $350 million with India’s state-owned Engineers India Limited (EIL) for the expansion of its refinery.
Okay News reports that EIL disclosed the agreement in a recent statement, noting it will serve as Project Management Consultant (PMC) and Engineering, Procurement, and Construction Management (EPCM) consultant, replicating its role in the original 650,000 barrels-per-day refinery commissioned in 2024.
The expansion adds a second processing train focused on Euro VI-compliant fuels and scales up petrochemical output.
Polypropylene production will increase from 830,000 tonnes per annum to 2.4 million tonnes through revamping the existing unit, installing an additional 1.2 million-tonne unit, and adding a 750,000-tonne UOP Oleflex unit for propylene feedstock.
EIL stated the renewed engagement reflects confidence in its technical and project delivery capabilities.
“Once completed, this expansion will position Dangote as the world’s largest petroleum refinery, strengthening fuel production within Africa, reducing reliance on imports, and supporting regional energy security,” EIL said.
The proposed expansion to 1.4 million barrels per day is a project of global significance and will stand among the largest refinery complexes at a single location.
EIL will deploy its decades of experience and global execution model to deliver the project.
The Dangote Refinery and Petrochemicals Complex, located in the Lekki Free Zone, cost around $19 billion and is one of Africa’s most expensive industrial projects.
Inaugurated in May 2023, it began producing diesel and aviation fuel in early 2024, followed by petrol later that year.
The start of petrol production marked a milestone for Nigeria, which has historically relied on imports despite being Africa’s largest crude oil producer.
The expansion has far-reaching implications for Nigeria and Africa’s energy market, reducing import dependence, enhancing energy security, and positioning Nigeria as a global refining hub amid tightening fuel quality standards.
Aliko Dangote disclosed plans to double capacity in an interview with S&P Global, exploring new financing options and partnerships with Middle Eastern investors.
In December 2025, Dangote announced plans to list a 10% stake in the refinery on the Nigerian Exchange in 2026, with discussions ongoing for USD dividend payouts to hedge against currency volatility.
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