Dangote Refinery Signals Strong Interest in South African Stock Market After Planned Nigerian IPO
Africa’s largest oil refinery, owned by billionaire industrialist Aliko Dangote, could soon expand its presence on the continent’s capital markets, with the Johannesburg Stock Exchange (JSE) confirming that the Dangote Group has expressed a strong intention to pursue a South African listing after completing its planned initial public offering (IPO) in Nigeria.
According to a spokesperson for the JSE, discussions have already taken place with the Dangote Group regarding the possibility of listing the Dangote Petroleum Refinery in South Africa once its Nigerian IPO is concluded.
“They will list in Nigeria first but with strong intent to hopefully bring the listing to South Africa,” the JSE said in an emailed response to Reuters.
The development follows reports that the Dangote Group is preparing to raise approximately $5 billion through what is expected to become one of Africa’s biggest public offerings. Reuters reported that the company has already submitted a preliminary filing to Nigeria’s securities regulator, with plans to list the refinery on the Nigerian Exchange as early as October.
Sources familiar with the matter also revealed that the group is seeking to broaden investor participation across Africa rather than limiting the offering to Nigeria alone. Kenya has reportedly emerged as one of the markets being considered, with expectations that investors there could contribute up to $500 million to the fundraising exercise.
A future listing on the Johannesburg Stock Exchange would represent another significant milestone for the Dangote Group, providing South African and international investors with greater access to one of the continent’s most strategic energy assets. It would also strengthen financial ties between Africa’s two largest economies, Nigeria and South Africa, while promoting greater integration of African capital markets.
The Dangote Petroleum Refinery stands as one of the most ambitious industrial projects ever undertaken in Africa. Built at an estimated cost of $20 billion, the refinery commenced fuel production in 2024 before reaching its full operational capacity earlier this year.
With the ability to process 650,000 barrels of crude oil per day, it is the largest refinery on the African continent and among the biggest single-train refineries in the world. The facility is expected to significantly reduce Nigeria’s dependence on imported refined petroleum products while increasing fuel supplies across Africa.
Nigeria’s state-owned oil company, the Nigerian National Petroleum Company (NNPC), also holds a stake of just over 7% in the refinery, reflecting the project’s national importance.
If the Nigerian IPO proceeds as planned and a South African listing follows, the Dangote Refinery could become one of the few major African companies to trade on multiple stock exchanges, offering investors across the continent an opportunity to participate in one of Africa’s most valuable industrial assets while reinforcing the vision of a more integrated African financial market.
