Nigeria: Dangote Refinery Gains From Europe Fuel Shortage With $1.82b Profit
[Daba Finance] Dangote Petroleum Refinery reported $1.82 billion in net profit for the first half of 2026 as disruptions to Middle East fuel exports increased demand for products from its Lagos plant. Revenue exceeded $13 billion, compared with a $476 million loss for all of 2025, according to the refinery's IPO prospectus.
Dangote Petroleum Refinery recorded a net profit of $1.82 billion for the first half of 2026, thanks to increased demand for its products due to disruptions in Middle East fuel exports, according to the refinery's IPO prospectus. European fuel imports, including 80,000 barrels of jet fuel daily, accounted for about 13% of the supply gap caused by Iran closing the Strait of Hormuz following US-Israeli attacks.
Dangote became Europe's largest jet fuel supplier during this period, while Nigeria ranked behind the US as a supplying country. The refinery also boosted diesel and gasoil exports by 23% to around 48,000 barrels a day in 2026. These exports went to West Africa and Europe, where fuel inventories fell due to Middle East supply disruptions.
Fuel stocks in Northwest Europe hit their lowest level in 12 years. Dangote has also impacted Nigeria's gasoline market, producing 270,000 to 300,000 barrels of gasoline daily annually, which helped reduce Nigeria's imports from 400,000 barrels in 2024 to about 83,000 barrels. Europe used to supply most of these imports, worth about $17 billion annually.
This comes as Dangote sells shares through its IPO, which opened on September 14, with the refinery planning to double its capacity to 1.4 million barrels a day by 2029. CEO David Bird mentioned that a new diesel hydrotreater will enable the company to produce more fuel specifications for export markets.
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