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Dangote Signs $400 Mln Equipment Deal with China's XCMG to Speed up Refinery Expansion

The expansion will double refinery capacity to 1.4 million barrels per day, making it the world’s largest, with urea output tripling to 9 million metric tonnes.

  • Dangote Group signed a $400 million agreement with XCMG Construction Machinery Co., Ltd. to buy equipment supporting the refinery's expansion from 650,000 to 1.4 million barrels per day.
  • To support multiple projects, the agreement secures advanced machinery for refining, petrochemicals, agriculture and infrastructure, letting Dangote Group deepen industrial capacity and align with XCMG's expansion.
  • Urea and polypropylene output will surge, tripling from 3 million to 9 million and raising polypropylene from 900,000 to 2.4 million metric tonnes per annum.
  • The refinery processed record crude volumes in January 2026 despite prior gasoline setbacks and now supplies 62% of Nigeria's premium motor fuel, expected to meet 100% of demand.
  • The expansion is expected to be completed within three years, accelerating project timelines; Dangote will export polypropylene globally under an exclusive Vinmar International partnership and add base oil production capacity.
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Billionaires.Africa broke the news in on Monday, February 16, 2026.
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