Nigerian billionaire Aliko Dangote plans to raise an additional $5 billion to expand his oil refinery in Lagos. The announcement was made on Saturday in Cairo by the new president of Afreximbank, George Elombi, during his inauguration ceremony.
The expansion is expected to double the production capacity of the refinery, the largest single-train processing unit in the world, and could significantly reduce fuel prices in Nigeria and several West African countries. The refinery, capable of processing 650,000 barrels per day, aims to reduce Nigeria’s dependence on imported refined products and strengthen regional energy security.
Afreximbank, which had already financed the initial $20 billion project, arranged a $4 billion syndicated financing in August 2025, with $1.35 billion directly from its funds. The new $5 billion raise could bolster the cash flow of Dangote Industries Limited and accelerate the commissioning of the expansion.
“Financing African industrialization, promoting raw material transformation, and supporting infrastructure conducive to intra-African trade. He has set a goal to increase the bank’s balance sheet to $250 billion within ten years, with a tangible impact on the continent’s economy,” said George Elombi.
According to analysts, the refinery expansion could reduce imports of refined products by several billion dollars per year and create thousands of direct and indirect jobs. The decrease in fuel prices would also benefit local industries and the economy as a whole.
