Nigeria’s Dangote Refinery, the largest in Africa, is creating new opportunities for businesses across the continent. With a 650,000 barrels-per-day capacity, the refinery is expected to boost local refining, reduce fuel imports, and strengthen partnerships for petroleum products and fertilisers across Africa.
At the 9th Sub-Saharan African International Petroleum Exhibition and Conference (SAIPEC) in Lagos, the Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB), Felix Omatsola Ogbe, highlighted how the refinery will open up collaboration opportunities for African businesses.
A Game-Changer for Africa’s Oil and Gas Industry
Ogbe noted that major infrastructure projects like Kenya’s Konza Technology City, the Grand Ethiopian Dam, and Nigeria’s Lekki Free Trade Zone have leveraged strategic partnerships to drive industrial growth. He explained that the Dangote Refinery will play a similar role in strengthening Africa’s energy security.
He also pointed out that the NCDMB’s Nigerian Oil and Gas Parks Scheme (NOGAPS), which is being developed in seven locations across Nigeria, is another opportunity for investors looking to manufacture industry-related equipment and spare parts.
With the African Continental Free Trade Agreement (AfCFTA) now in place, he emphasised that African nations must work together to strengthen local content development, promote industrialisation, and create a sustainable energy sector.
Africa Needs Collaboration, Not Competition
Ogbe stressed that countries like Nigeria, Angola, and Ghana have made progress in local content development, but the lack of a unified strategy has slowed down collective growth.
“Each country is doing its own thing separately, but if we work together, we can build a strong oil and gas industry that benefits all Africans,” he said.
He called for:
- Harmonised policies across oil-producing nations.
- Better funding and incentives for local companies.
- Technology transfer and innovation to boost Africa’s refining capacity.
- More investments in infrastructure to support the oil and gas sector.
He urged African governments to learn from global best practices and use collaboration as a tool to drive industrial growth.
Youth and Technology Are Key to the Future
With 60% of Africa’s population under the age of 25, Ogbe believes that investing in young people is crucial for the future of the oil and gas sector.
“We have a young, energetic workforce that can transform the industry through innovation and technology,” he said.
He also emphasised the need for stronger research collaborations between universities, oil companies, and technology firms to develop homegrown solutions for Africa’s energy challenges.
Funding for African Oil and Gas Businesses
Financing has always been a challenge for African businesses in the oil and gas sector. To address this, Ogbe revealed that the African Energy Bank, established by the African Petroleum Producers Organisation (APPO) with support from NCDMB, will soon become operational.
This bank will provide:
- Credit facilities to support indigenous oil and gas firms.
- Investment incentives for companies focusing on local refining.
- Guarantees for investors looking to partner in the African energy sector.
Technology Transfer and Innovation
One of the biggest challenges in Africa’s oil and gas industry is reliance on foreign expertise and technology. Ogbe called for:
- More joint ventures between African and international firms.
- Research partnerships that develop homegrown solutions.
- Technology-sharing agreements to strengthen local capacity.
“If we invest in our own people and technology, we won’t need to rely on foreign companies to refine our crude oil,” he said.
The Road Ahead for Africa’s Petroleum Industry
Ogbe concluded by saying that a united Africa can build a strong, self-reliant petroleum sector that benefits the entire continent.
“By working together, we can create a formidable oil and gas industry that supports our economies, businesses, and people for generations to come,” he added.
With the Dangote Refinery now operational and new funding opportunities on the way, Africa has a chance to break free from dependence on imported petroleum products and become a global energy powerhouse.
