The Dangote Petroleum Refinery and Petrochemicals has recorded a profit after tax of about N2.55 trillion ($1.82 billion) in the first half of 2026, as the 700,000-barrel-per-day facility delivered a dramatic improvement in production and profitability.
The performance was disclosed in the prospectus for the refinery’s planned Initial Public Offering (IPO), which puts its first-half revenue at approximately N19.47 trillion ($13.91 billion), using an exchange rate of N1,400 to the dollar.
Earnings before interest, tax, depreciation and amortisation stood at $2.60 billion, equivalent to about N3.64 trillion.
The refinery’s average utilisation climbed to 83.6 per cent during the six-month period, compared with roughly 45 per cent at the start of the year. It subsequently reached full crude distillation capacity in the second quarter following upgrades to its residual fluid catalytic cracker and a shift away from lower-value reduced crude oil production.
The stronger operating performance was also reflected in its refining margins. Gross refining margin increased to $24.50 per barrel, compared with $13.70 in 2025 and $10.70 in 2024.
Chief Executive Officer of Dangote Refinery, David Bird, said the improvement had fundamentally altered the financing outlook for the company’s long-term expansion plans.
“We’re at full capacity, 700,000 barrels per day, we are enjoying those upswings, and yes it has fundamentally changed the funding premise of this Vision 2030,” Bird said.
The company intends to spend about $14.3 billion to double its processing capacity to 1.4 million barrels per day by 2029. The expansion will include additional refining and petrochemical units and allow the facility to produce different specifications of diesel while deepening import substitution.
The financial results come as Dangote Refinery prepares for an IPO expected to raise about N2.26 trillion through an offer of 4.1 billion ordinary shares at N525 each.
The offer is expected to run from September 14 to October 13 and is being promoted as a “people’s IPO”, with Nigerians, Africans and members of the diaspora expected to participate.
Beyond the domestic market, the refinery is also expanding its international footprint. It exported jet fuel to the United States for the first time this year and was identified by S&P Global Energy as the world’s largest single exporter of jet fuel in April and May.
Bird said global fuel markets could remain tight as damaged Middle Eastern refineries undergo repairs and countries replenish depleted inventories.
“We went in at high refinery utilisation rates, and there’s been deferred maintenance and damages to Middle East refineries. That’s just to meet current demand. Plus inventories have to be rebuilt,” he said.
Built at an estimated cost of $20 billion, the refinery commenced operations in 2024 and has since become a major supplier of refined petroleum products to Nigeria and overseas markets.
