The Nigerian National Petroleum Company Limited (NNPC Ltd) has announced its intention to increase its equity stake in the $20 billion Dangote Petroleum Refinery to 20 per cent, in a strategic push to strengthen Nigeria’s domestic refining capacity and deepen its participation in the downstream oil market.
The move marks a renewed effort by the state-owned energy company to secure greater control in Africa’s largest refinery, which is expected to transform fuel supply in the country and end decades of heavy reliance on imports. NNPC currently holds a minority stake, and the proposed acquisition would consolidate its role in the nation’s refining revival under the Petroleum Industry Act framework.
According to NNPC, the partnership expansion will boost national energy security, ensure a steady supply of petroleum products, and support the federal government's ambition of achieving self-sufficiency in fuel production. Dangote Refinery, with a capacity of 650,000 barrels per day, commenced diesel and aviation fuel production earlier this year and is working toward full scale premium motor spirit (PMS) output.
Industry analysts note that increasing NNPC’s stake could provide long-term supply guarantees for crude feedstock, stabilize the domestic fuel market, and attract more investment into the downstream value chain. The development comes as Nigeria continues its push to revive public refineries in Port Harcourt, Warri, and Kaduna, with phased rehabilitation ongoing.
The collaboration between NNPC and Dangote is widely viewed as a critical pillar in Nigeria’s energy transition roadmap and a major step toward refining independence, job creation, and foreign exchange savings.
Further details on the transaction structure and timeline are expected in the coming weeks as both parties finalize discussions.
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