Nigeria’s Dangote oil refinery swings to net profit ahead of IPO

Nigeria's Dangote Petroleum Refinery, which is seeking to raise $1.6 billion in what would be Africa's biggest IPO, swung to a net profit in the first nine months of 2026 as ​revenue more than doubled, according to unaudited results released on Tuesday.

The company ​posted a net profit of $4.73 billion for January to September, compared ⁠with a $117.2 million loss a year earlier.

The refinery has benefited from rising demand for its products amid supply disruptions linked to the war in Iran, helping it sell jet fuel into Western Europe.

"Our third-quarter performance demonstrates the successful transition from commissioning and ramp-up activities to sustainable commercial operations," Chief Executive Officer David Bird said in a statement.

Revenue ​rose to $22.48 billion from $9.19 billion, while core earnings (EBITDA) jumped to $5.52 billion from $627.6 million, ​as higher crude processing rates, stronger refining margins and improved operations boosted profits.

The 700,000-barrel-per-day refinery ‌generated ⁠operating cash flow of $3.68 billion, up from $364.7 million a year earlier, and ended September with cash holdings of $6.69 billion.

It also moved from a net debt position of $1.73 billion a year ago to net cash of $650.8 million.

The application period for the initial public offering, originally due to close on October 13, has been extended by two weeks to October 27 amid strong investor demand.

Built at a cost of about $20 billion on the outskirts of Lagos, the refinery has reshaped Nigeria's fuel market since it began operations in 2024.

It aims to double refining capacity to 1.4 million bpd by 2029. The refinery has helped reduce Nigeria's reliance on imported petroleum products and has emerged as a major supplier of refined fuels to domestic and regional markets.

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