Nigeria: Dangote Refinery Partners With U.S. Firm Honeywell To Drive 1.4 Million BPD Expansion

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Africa’s largest petroleum refinery, the Dangote Petroleum Refinery in Lagos, Nigeria, on Tuesday announced that it has selected U.S.-based Honeywell as its strategic partner for the planned expansion of its capacity from 600,000 barrels per day to 1.4 million barrels per day by 2028.

If achieved, this milestone would make the Dangote Refinery the world’s largest single-location refining complex.

This latest development comes just a month after the founder and Chairman, Aliko Dangote, unveiled the refinery’s expansion programme.

According to the refinery’s management, Honeywell will supply catalysts, specialist equipment, and technology solutions to enable the facility to process a broader slate of crude grades. The collaboration is expected to significantly enhance operational efficiency and support the projected ramp-up in output.

“Dangote Group is pleased to announce that it has entered a strategic partnership with Honeywell International Inc. to support the next phase of expansion of the Dangote Petroleum Refinery. This collaboration will provide advanced technology and services that will enable the refinery to increase its processing capacity to 1.4 million barrels per day by 2028, marking a major milestone in our long-term vision to build the world’s largest petroleum refining complex.

“Through this agreement, Honeywell will supply specialised catalysts, equipment, and process technologies that will allow the refinery to process a broader slate of crude grades efficiently, while further enhancing product quality and operational reliability,” the statement said.

Under the deal, Dangote will also deploy Honeywell UOP’s Oleflex technology to boost its polypropylene capacity to 2.4 million metric tonnes per year, strengthening Nigeria’s position in the global petrochemicals market.

Although the financial terms were not disclosed, a source familiar with the transaction indicated that the agreement could exceed US$250 million, depending on the final configuration of the expansion.

“Dangote Group is also advancing its petrochemical footprint. As part of the wider collaboration, we are scaling our polypropylene capacity to 2.4 million metric tonnes annually using Honeywell’s Oleflex technology. Polypropylene is a key industrial material widely used across packaging, manufacturing, and automotive applications.

“While contracts of such nature tend to vary based on project complexity, a source familiar with the situation said it could be valued at over US$250 million,” it noted.

Honeywell, a global Fortune 100 industrial and technology company, offers a broad portfolio of solutions across aviation, automotive, industrial automation, and advanced materials.

Honeywell’s UOP division has been a technology partner to Dangote since 2017, providing proprietary refining systems, catalyst regeneration equipment, high-performance column trays, and heat-exchanger technologies that support the refinery’s operations.

In addition to the refinery expansion, the statement noted that the group is also progressing with the next phase of its fertiliser growth plan in Nigeria.

 

 


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