The Dangote Refinery, a flagship project of Africa’s richest man, Aliko Dangote, is set to explore a dual listing on both the London and Lagos stock exchanges, according to a senior executive at the firm, Devakumar Edwin.
This move follows Dangote’s previous statements indicating an intention to list the company in Nigeria exclusively by the end of the year. The refinery, a subsidiary of the Dangote Group, is Africa’s largest and was constructed on the outskirts of Lagos at a staggering cost of $20 billion. Despite initial delays, the project is now complete and poised to refine up to 650,000 barrels per day, making it the largest refinery in Africa and Europe upon reaching full capacity.
Dangote’s decision to pursue a dual listing stems from concerns about the capacity of the Nigerian bourse to handle the refinery exclusively. Edwin emphasized the need to approach the London Stock Exchange (LSE) in addition to listing on the Nigerian Stock Exchange (NSE) to ensure adequate depth for trading.
The refinery’s completion comes after Dangote’s efforts to secure crude oil supplies, with recent supply deals inked with TotalEnergies. The company has been refining diesel and jet fuel since earlier this year and is expected to commence petrol production in June.
However, amidst these developments, the Nigerian National Petroleum Company Limited (NNPC) has reported a concerning surge in crude oil theft. According to the NNPC’s weekly update, 310 cases of crude oil theft were recorded across the Niger Delta region between May 18 and May 24. Additionally, several instances of illegal refining and storage facilities were uncovered in states like Bayelsa, Rivers, and Akwa Ibom.
The NNPC’s efforts to combat oil theft have led to multiple arrests and seizures of illegal goods and vessels involved in illicit activities. Despite these challenges, the Dangote Refinery remains a beacon of hope for Nigeria’s energy sector, poised to drive economic growth and reduce dependence on imported petroleum products.
