By Bashiru Ayuba
Dangote Group has signed a $400 million construction equipment agreement with XCMG Construction Machinery Co., Ltd., one of China’s leading manufacturers of construction machinery, in a move set to accelerate the expansion of the Dangote Petroleum Refinery & Petrochemicals from 650,000 barrels per day to 1.4 million barrels per day, positioning it to become the largest refinery in the world.
The agreement will enable the Group to acquire an additional wide range of advanced construction equipment to support ongoing and forthcoming projects across refining, petrochemicals, agriculture and large-scale infrastructure development.
The new equipment will complement existing assets deployed for the refinery expansion, which is expected to be completed within three years.
Beyond refining, the expansion programme will see polypropylene production increase from 900,000 metric tonnes per annum to 2.4 million metric tonnes per annum.
Urea capacity in Nigeria will be tripled from 3 million to 9 million metric tonnes per annum, in addition to the 3 million metric tonnes per annum capacity in Ethiopia, strengthening the Group’s position as the largest urea producer globally.
Production capacity for Linear Alkyl Benzene (LAB) will also be increased to 400,000 metric tonnes per annum, positioning the Group as the largest producer in Africa and strengthening supply to the detergent and cleaning agents manufacturing industry.
Additional base oil production capacity also forms part of the broader expansion programme.
In a statement, the Group described the agreement as a strategic investment aimed at deepening its construction footprint and accelerating its ambition to build a $100 billion enterprise by 2030.
“The additional equipment we are acquiring under this partnership will significantly enhance execution across our projects. With this investment, we are positioning ourselves to become the number one construction company in the world,” the statement said.
Dangote Group is currently accelerating expansion and regional market development as it advances toward its long-term vision of building a $100 billion enterprise by 2030.
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Dangote Group has signed a $400 million agreement with XCMG Construction Machinery Co., Ltd., a top Chinese construction machinery manufacturer. The deal aims to accelerate the expansion of the Dangote Petroleum Refinery & Petrochemicals, from 650,000 to 1.4 million barrels per day, making it the largest refinery globally.
With this agreement, Dangote will acquire advanced construction equipment to support its various projects in refining, petrochemicals, agriculture, and infrastructure development. The refinery expansion is expected to be completed in three years and will significantly increase production capacity for polypropylene, urea, Linear Alkyl Benzene (LAB), and base oil.
The Group sees this investment as a strategic move to deepen its construction footprint and achieve its goal of becoming a $100 billion enterprise by 2030. Currently, Dangote is focused on accelerating expansion and market development to achieve its long-term vision.
Original Source: Vanguard News