Dangote opens door for NNPC stake increase, saying the firm can boost its 7.2% share in the refinery once its next growth phase proves successful

Dangote has open door for NNPC stake increase in his 650,000-barrel-per-day refinery, signalling a willingness to expand the Nigerian National Petroleum Company Limited’s (NNPC) 7.2 per cent ownership once the plant’s performance is fully demonstrated.

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Speaking in an interview with S&P Global Commodity Insights, the President of the Dangote Group, Alhaji Aliko Dangote, said the NNPC could increase its stake after the refinery’s next phase of growth takes shape.

“The door remains open for Nigerian National Petroleum Co. to boost its stake after the state oil company trimmed its interest to 7.2 per cent, but not before its next phase of growth is well underway.

I want to demonstrate what this refinery can do, then we can sit down and talk,” Dangote said.

A close aide to Dangote noted that the company intends to proceed cautiously before allowing further state participation, adding that within the next year, about 5 to 10 per cent of the refinery’s shares will be listed on the Nigerian Stock Exchange.

Dangote revealed plans to retain no more than 65 to 70 per cent of total ownership, explaining that share offerings would be made gradually based on investor demand and market stability.

The NNPC had previously reduced its stake in the refinery from 20 per cent to 7.2 per cent. Former NNPC spokesperson Olufemi Soneye explained that the reduction was aimed at freeing funds to invest in compressed natural gas (CNG) projects nationwide.

According to Soneye, CNG remains a cheaper and cleaner energy alternative for Nigerians, allowing motorists to refuel for as little as ₦10,000 and drive for up to two weeks. He said, “We realised that gas is cheaper in Nigeria; why don’t we invest in it?”

Meanwhile, the new NNPC Group Chief Executive Officer, Bayo Ojulari, recently reaffirmed the corporation’s interest in increasing its stake in the Dangote refinery, describing the partnership as central to Nigeria’s long-term energy security and industrial growth.

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With the refinery gradually moving towards full operational capacity, Dangote’s statement has reignited optimism about a stronger collaboration between the private sector and the state oil company, potentially reshaping Nigeria’s downstream energy landscape.