Table of Contents
Key Points
- After a rough January, Aliko Dangote’s fortune rebounded to $27.6 billion, cutting his year-to-date loss to $461 million.
- Dangote’s 650,000-bpd refinery operates at 85% capacity, hindered by crude shortages. New storage tanks aim to boost supply security.
- Dangote exports fuel to Africa and Saudi Aramco, while exploring a new refinery project in Angola to expand regional influence.
After weeks of sell-offs in Dangote Cement shares that saw Africa’s richest man, Aliko Dangote, lose a significant chunk of his fortune in January, the Nigerian billionaire has bounced back with a $201 million gain in the past 24 hours.
According to the Bloomberg Billionaires Index, Dangote’s net worth rose from $27.4 billion to $27.6 billion, marking a partial recovery from the steep $845 million decline he suffered last month when his fortune dropped from $28.1 billion to $27.2 billion. With this latest boost, his year-to-date loss has narrowed to $461 million.
The rebound in his wealth is largely tied to the performance of his 86-percent stake in Dangote Cement. The value of his stake has climbed back above $4 billion—now standing at $4.04 billion—following a recent uptick in the company’s share price on the Nigerian Exchange (NGX).
Meanwhile, his 92.3-percent stake in Dangote Oil Refinery, which has a nameplate refining capacity of 650,000 barrels per day, remains his most valuable asset at $18.6 billion.
Dangote Refinery nears full capacity amid shortages
The Lagos-based refinery, Africa’s largest and the world’s biggest single-train facility, is currently operating at 85 percent capacity and is expected to reach full capacity within the next month. However, it continues to grapple with crude supply shortages from the state-owned NNPCL, limiting its ability to maximize domestic crude processing.
To address this, Dangote is building eight new crude storage tanks, which will boost the refinery’s storage capacity by 41.67 percent, bringing it to 3.4 billion liters. Four of the eight tanks are nearing completion, adding 6.3 million barrels—or roughly 1 billion liters—of imported crude to strengthen supply security.
Dangote ships fuel, plans Angola refinery
Despite these challenges, the refinery has already made a mark on the global market, exporting diesel and aviation fuel to countries including Cameroon, Angola, Ghana, and South Africa. Dangote’s expansion plans extend beyond Nigeria, with discussions underway to build a refinery in Angola and ramp up cement production there.
In a major milestone, the refinery recently shipped fuel to Saudi Aramco, the world’s largest oil producer with a market capitalization exceeding $1.7 trillion. Once running at full capacity, the refinery is expected to create a stable market for $21 billion worth of Nigerian crude annually, further solidifying its role as a key player in Africa’s energy sector.
