Dangote Lekki Refinery Expansion Advances with $350 Million Construction Deal

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Written by Paul Wiseman for IIR News Intelligence (Sugar Land, Texas)

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Summary

Dangote plans to more than double the capacity of its Lekki Refinery in Nigeria.

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India's EIL Lands Engineering Contract for Expansion

Dangote Industries has announced a $350 million contract with Engineers India Limited (EIL) for the latter to be project management consultant (PMC) and to provide engineering, procurement and construction management (EPCM) for an expansion that will more than double the capacity of Dangote's 650,000-barrel-per-day (BBL/d) Lekki Refinery in Lagos, Nigeria, up to 1.4 million BBL/d.

This story was reported by IIR Energy's Breaking Energy News (BEN) on Monday, January 20.

In addition to expanding the original unit to 700,000 BBL/d, it will add a second 700,000 BBL/d unit, Crude 2. IIR Energy in its tracking of the project details estimates the total investment value of the project to be nearly $995 million.

EIL also provided PMC and EPCM for the original refinery construction, completed in 2024.

The Plans

The project also will expand polypropylene production from 830,000 to 2.4 million tons per year. To do that, it will revamp existing polypropylene unit (PPU) and add a new, 1.2 million-ton-per-year unit. Additionally, it will install a 750,000-ton-per-year UOP Oleflex unit to supplement propylene feed to the PPU.

With the expansion, the Dangote facility would be among the world's largest single-site refinery-and-petrochemical complexes.

Lekki already is the world's largest single-train refinery, producing Euro-V quality gasoline, diesel, jet fuel and polypropylene.

As IIR has previously reported, Dangote expects to receive capital approval for the project by fourth-quarter 2026. While there is no specified date for starting or completing the second phase, Industrial Info's sources expect it would not be completed before 2030.

Crude Unit Update

Previously announced unit maintenance has been pushed to this month and is expected to be limited to minor maintenance and inspection work.

Key Takeaways

• Dangote plans to double the capacity of its Lekki Refinery to 1.4 million BBL/d.
• Engineers India Limited was awarded a $350 million contract for engineering-related work.
• Lekki is already the world's largest single-train refinery.

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About IIR News Intelligence
IIR News Intelligence is a trusted source of news for the industrial process and energy markets, powered by Industrial Info Resources' Global Market Intelligence (GMI).

About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).