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    Nigeria’s Digital TV switch begins June 17, says minister Idris

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    Soldiers announce dissolution of government in Republic of Benin

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    Nigeria risks missing oil windfall as Navy uncovers 17,500 Litres of stolen crude

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Home Africa

Africa edges toward end of fuel import dependence with five refineries in the pipeline

by Segun Otokiti
March 24, 2026
in Africa, Energy
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Dangote contracts Honeywell International for major refinery capacity upgrade to 1.4mbpd

Dangote Petroleum Refinery

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WorldStage– Africa is steadily reducing its heavy reliance on imported fuel going by a wave of new refinery projects being built across the continent, most notably the 650,000 bpd Dangote Refinery in Nigeria. This shift is transforming Nigeria into a net exporter, with regional neighbors like South Africa and Ghana turning to it for supply. Major projects in Angola and Uganda further signal a move toward continental energy self-reliance by 2030.

A report by the African Energy Chamber highlights at least five major refinery developments aimed at saving billions in fuel import costs, strengthening domestic supply, and driving industrial growth. While some projects are nearing completion, others remain under construction with timelines stretching toward 2030.

The shift from exporting low-value crude to refining it locally is being led by private and public-private initiatives across several key nations.

The Dangote Petroleum Refinery in Nigeria reached its full nameplate capacity of 650,000 barrels per day (bpd) in February 2026. It is now the world’s largest single-train refinery and is already exporting petrol, diesel, and jet fuel to countries like Ghana, Togo, and Cameroon.

Again in Nigeria, attention is increasingly turning to the 200,000 bpd refinery being developed by BUA Group, led by Abdul Samad Rabiu. The project, located in Akwa Ibom State, remains under active construction, with the company confirming that work is progressing steadily, although it is not yet near completion.

Once delivered, it is expected to complement the already operational Dangote Refinery, which is producing up to 650,000 barrels per day and reshaping fuel supply dynamics across West Africa.  Together, both facilities could significantly reduce Nigeria’s historical dependence on imported refined products and position the country as a net exporter.

In Angola, the Cabinda Refinery is already making an early impact. Its first phase began operations in September 2025, helping to reduce the country’s dependence on imported refined fuels despite being a major crude exporter.

Also in Uganda, Hoima Refinery currently under construction is expected to transform East Africa’s energy landscape when it comes online by 2028. Backed by a UAE-led consortium, the project is tied to upstream developments in the Lake Albert basin and regional pipeline infrastructure.

Mozambique is also positioning itself as a future refining hub, following a 2025 agreement with Aiteo to develop a 200,000 barrels-per-day refinery and export pipeline network targeting Southern Africa.

Further east, Djibouti is pursuing one of the continent’s most ambitious refining projects, a planned 300,000 bpd facility backed by Ajyal Refinery. Though still at an early stage, the project is expected to leverage the country’s strategic Red Sea location to serve regional and international markets.

Across the continent, these developments reflect a broader structural shift, from exporting crude oil to refining it locally. While challenges such as financing constraints, infrastructure gaps, and competition from imported fuels remain, the direction is increasingly clear.

With projects like the BUA Refinery still ongoing and others advancing steadily, Africa’s long-standing fuel import dependency may gradually give way to a more self-sufficient and industrialised energy future.

In terms of economic and regional impact, the development is sure to result in foreign exchange savings, with Nigeria alone expected to save up to $10 billion annually by reducing its petrol import bill, which dropped by 54% year-on-year in early 2025.

The surge in local production is already forcing some European refineries to consider closures as their exports to West Africa decline.Despite this progress, analysts note that infrastructure gaps and high domestic demand mean the continent will likely remain a net importer of some products until at least 2027.

Tags: African Energy ChamberDangote Petroleum Refinery
Segun Otokiti

Segun Otokiti

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