- Aliko Dangote plans a 2,650-kilometre petroleum pipeline across Namibia, Botswana and South Africa as part of a wider 4,000-kilometre fuel distribution network.
- The project forms part of a broader $46 billion -$50 billion capital deployment strategy focused on refining, storage and pipeline infrastructure across Africa.
Nigerian industrialist Aliko Dangote plans to invest more than $3.5 billion in a 2,650-kilometre petroleum pipeline connecting Namibia, Botswana and South Africa, expanding his group’s refined-fuel distribution infrastructure across Southern Africa.
Dangote disclosed the plan during an interview with Bloomberg TV anchor Francine Lacqua following the launch of the public share offer for his group’s energy business. The proposed pipeline will form part of a broader 4,000-kilometre cross-border network designed to move refined petroleum products into landlocked markets across Sub-Saharan Africa.
The planned infrastructure targets transportation and distribution challenges that increase fuel costs in inland African markets. Dangote said consumers in landlocked countries such as Zimbabwe face gasoline prices of nearly $6 per gallon, partly because distributors rely heavily on road transportation and encounter border-clearance delays.
The group also plans additional pipeline infrastructure in East Africa. Dangote said the company will develop a pipeline linking Djibouti with Ethiopia and establish fuel-storage tank farms, with construction expected to begin within two months. Another planned route will connect Lamu in Kenya with inland markets across the Horn of Africa.
The expansion reflects Dangote’s strategy of combining refining capacity with dedicated transportation infrastructure. The group expects to deploy between $46 billion and $50 billion across its industrial operations, with internal refining and pipeline systems forming a major part of its capital allocation.
The strategy aims to reduce dependence on long-distance imports of refined petroleum products while creating direct distribution routes between refineries, storage facilities and regional markets. The proposed network could also improve fuel movement into countries without direct access to seaports.
Dangote is funding the expansion through a combination of equity-market offerings and private placements. The refinery’s public share offer seeks to attract 10 million individual African investors, following a private placement that generated $3.7 billion in demand.
The company plans to list the refinery business primarily on the Nigerian Exchange and pursue a dual listing in New York by 2030. Bloomberg previously reported that Dangote planned to open the refinery’s initial public offering in September, following preparations for the landmark listing.
The pipeline expansion therefore links Dangote’s refining operations with a wider African energy infrastructure strategy, while the proposed routes target fuel distribution gaps across Southern and Eastern Africa.