Otedola Backs Dangote Refinery With $100 Million Investment

Nigerian billionaire businessman Femi Otedola has announced plans to invest $100 million in the upcoming initial public offering (IPO) of the Dangote Refinery, further boosting investor confidence in Africa’s largest refinery project.

Otedola disclosed the planned investment during a visit to the refinery complex in Ibeju-Lekki, Lagos, where he led board members and senior executives of First HoldCo on an inspection tour of the facility.

According to reports, the investment forms part of a broader $2 billion private placement being arranged ahead of the refinery’s anticipated public listing. Aliko Dangote is reportedly preparing the refinery for a major IPO expected to attract both domestic and international investors.

Speaking during the visit, Otedola revealed that proceeds from the sale of his stake in Geregu Power would partly fund the investment in the refinery project. He also noted that he had visited the refinery site multiple times and expressed confidence in its long-term economic potential.

The Dangote Refinery, located in Lagos, officially began operations in 2024 and has since become a major player in Nigeria’s downstream oil sector. With a refining capacity of about 650,000 barrels per day, the facility is expected to significantly reduce Nigeria’s dependence on imported petroleum products while increasing exports across Africa.

Recent reports also indicate that investor demand ahead of the IPO has already approached $2 billion, reflecting strong market interest in the project. Analysts say Otedola’s planned investment could further strengthen confidence in the refinery’s valuation and future expansion plans.