The Securities and Exchange Commission has approved the commencement of the Initial Public Offering of Dangote Petroleum Refinery and Petrochemicals FZE, paving the way for the company to raise approximately N2.15tn from the Nigerian capital market.

According to a statement by the Dangote Group on Friday, the approval was conveyed in a letter to the Lead Issuing House, Vetiva Advisory Services Limited, and signed by the Director of the Securities and Investment Services Department of the SEC, Abdulkadir Abbas.

According to the statement, the proposed offer comprises 4.1 billion ordinary shares at N525 per share, which could raise approximately N2.15tn if fully subscribed.

The SEC has also registered the company’s existing 120.13 billion ordinary shares. The statement said the regulatory approval had cleared the refinery’s draft offer documents and authorised the company to proceed with its completion board meeting and signing ceremony.

“The regulatory approval clears the refinery’s draft offer documents and authorises the company to proceed with its completion board meeting and signing ceremony, marking a significant milestone in the IPO process,” the statement said.

It added that the SEC clearance would create an opportunity for investors to participate in the ownership of the refinery while deepening the Nigerian capital market.

“The SEC’s clearance represents another major step in the evolution of Dangote Petroleum Refinery, opening investment opportunities in one of Africa’s most strategic industrial assets and further strengthening Nigeria’s capital market,” the statement said.

Located in Ibeju-Lekki, Lagos, the Dangote Refinery and Petrochemicals Complex occupies approximately 2,635 hectares and houses an integrated refining and petrochemicals facility.

The complex currently has a refining capacity of 700,000 barrels per day, alongside a 900,000-tonnes-per-annum polypropylene plant. It is powered by a dedicated 435-megawatt power plant.

At full production, the refinery is designed to satisfy Nigeria’s domestic demand for refined petroleum products while generating substantial volumes for export markets. The facility is also undergoing expansion expected to increase its capacity to 1.4 million barrels per day, which would make it the world’s largest refinery.

The refinery is supported by a marine facility designed to optimise logistics and freight efficiency, while its infrastructure includes five Single Point Moorings. The company said the facility incorporates advanced processing technology that meets World Bank, United States Environmental Protection Agency, European emission standards and Nigerian regulatory requirements.

Its integrated port infrastructure includes multiple quays capable of handling Panamax vessels, liquid cargo shipments and roll-on/roll-off operations. The refinery also has 177 storage tanks with a combined capacity of 4.742 billion litres.

With the SEC approval, the proposed IPO represents a major step in Dangote refinery’s plan to broaden investor participation in the company and raise fresh capital through the Nigerian capital market.

Combined finance costs across seven major listed consumer goods companies fell 14.4 per cent to N124.94bn in the first half of 2026, down from N145.94bn in the corresponding period of 2025, as they recovered from the naira devaluation shock and raced to reduce their debt.

The decline builds on a trend that emerged in the first quarter of the year, as companies that took on foreign exchange-driven debt during Nigeria’s currency devaluation in 2023 and 2024 continue to work down their obligations.

A Saturday PUNCH analysis covered Nestlé Nigeria, NASCON Allied Industries, Nigerian Breweries, Dangote Sugar Refinery, Guinness Nigeria, International Breweries and Champion Breweries. These fast-moving consumer goods companies disclosed a gross finance cost figure.

Cadbury Nigeria was excluded from the total because it did not disclose a gross finance income and expense split, though its implied net finance charge, derived from the gap between its operating profit and pre-tax profit, fell by an estimated 89.2 per cent, from about N1.74bn to about N0.19bn.

The sector-wide decline, however, masks a sharp split. Four companies posted double-digit improvements in finance costs, while three recorded increases, one of them by more than eightfold.

Analysts react

In separate interviews with Saturday PUNCH, experts, including the Senior Analyst, FMCG, at CardinalStone Securities, Oluwakemi Abiodun, said the divergence came down to different companies pursuing different debt strategies.

“The short way to summarise this is different companies, different debt strategies. The companies highlighted as having recorded lower finance costs have largely achieved this through a deliberate focus on reducing their debt balances,” Abiodun said.

She cited Dangote Sugar Refinery as an example. “Dangote Sugar recently raised a rights issue specifically to deleverage, underscoring management’s commitment to reducing its debt burden. Even now that the proceeds from the rights issue haven’t been reflected in its balance sheet, the company used its strong operating cash flows to pay down existing debt in H1’26,” she said.

Abiodun said Nigerian Breweries and Guinness Nigeria had followed a similar path. “Similarly, the brewers, NB and Guinness, have both communicated clear strategies to materially reduce leverage, and we can see this play out in their recent debt numbers,” she said.

However, the analyst noted that Nestlé Nigeria stood apart from its peers. “Nestlé, however, is taking a different approach, with a greater focus on servicing interest obligations and letters of credit, rather than prioritising a rapid reduction in its outstanding debt balance,” Abiodun said.

Asked what was mainly driving the decline in finance costs across the sector, Abiodun pointed to improved earnings. “The main reason is the focus on deleveraging, especially as operating performance is picking up and is stronger,” she said.

On his part, the Investment Research Analyst, Nathanael Disu, linked the trend to the sector’s broader recovery from the naira devaluation shock. “The decline in finance cost can be linked to deleveraging of their debt obligations,” Disu said.

He said stronger balance sheets had put companies in a better position to pay down debt. “Most FMCG companies have recovered from the FX-induced bottom-line losses driven by improved macroeconomic dynamics; as such, they have better financial buffers to deleverage their debt obligations,” he said.

A ranking of the seven companies by the percentage change in finance costs shows Guinness Nigeria as the sector’s strongest improver, followed by NASCON Allied Industries, Nigerian Breweries and Dangote Sugar Refinery, all of which cut finance costs by double digits.

Nestlé Nigeria, International Breweries and Champion Breweries moved in the opposite direction, recording increases. Guinness Nigeria’s finance costs fell 64.9 per cent, from N12.44bn to N4.36bn, the sharpest improvement in the sector. NASCON Allied Industries followed with a 58.5 per cent decline, to N171.6m from N413.1m.

Nigerian Breweries cut finance costs by 50.4 per cent, to N10.16bn from N20.51bn, while Dangote Sugar Refinery’s finance costs fell 22.4 per cent, to N50.42bn from N64.97bn — the smallest percentage decline among the improvers, but the largest in naira terms.

At the other end, Nestlé Nigeria’s finance costs rose 10.9 per cent, to N47.86bn from N43.17bn. International Breweries’ finance costs rose 80.6 per cent, to N7.05bn from N3.90bn. Champion Breweries recorded the sharpest increase in the sector, with Group finance costs rising more than eightfold, to N4.91bn from N543.7m.

Guinness Nigeria posted the best-improved finance line in the sector. Gross finance expense fell 64.9 per cent to N4.36bn, while finance income surged to N1.18bn from N110.7m.

Net finance cost dropped 74.2 per cent, from N12.33bn to N3.18bn, and was the single biggest driver of the company’s 60.9 per cent growth in pre-tax profit — a bigger factor, in fact, than its 14.8 per cent growth in operating profit.

NASCON Allied Industries carries almost no debt, with non-current borrowings of just N38.6m, so finance costs were never a major line item for the company. They still fell 58.5 per cent to N171.6m, while finance income more than doubled to N5.35bn.

NASCON now runs a net finance income position rather than a cost, reflecting a cash-rich balance sheet, with cash and cash equivalents of N46.05bn at the end of the period.

Nigerian Breweries’ finance costs fell 50.4 per cent to N10.16bn. The company’s balance sheet backs up the trend as its interest-bearing loans and borrowings fell to zero, from N59.71bn at the end of December 2025.

The deleveraging shows up directly in the company’s equity position, which flipped from an accumulated deficit of N72.17bn to retained earnings of N13.65bn within six months.

Dangote Sugar Refinery’s finance costs fell 22.4 per cent to N50.42bn, a smaller percentage improvement than the brewers, but the largest naira reduction of any company in the sector.

Combined with a near-doubling of its gross margin, from 12 per cent to 23.9 per cent, the lower finance costs helped the company swing from a pre-tax loss of N22.11bn in the first half of 2025 to a pre-tax profit of N44.09bn in the first half of 2026.

Nestlé Nigeria moved against the sector trend. Its gross finance costs rose 10.9 per cent to N47.86bn. What rescued its net finance position was a jump in finance income, to N33.26bn from N1.12bn, largely reflecting a foreign exchange translation gain.

Net finance cost still improved 65.3 per cent, from N42.05bn to N14.60bn, but the underlying cost of the company’s debt rose during the period rather than falling, in line with CardinalStone analyst Abiodun’s assessment that Nestlé has prioritised servicing its obligations over reducing its debt balance.

International Breweries also moved against the trend. Its finance costs rose 80.6 per cent to N7.05bn. Because finance income also grew by 27.6 per cent to N11.96bn, the company still posted net finance income rather than a net cost, but that net income shrank 10.3 per cent, from N5.47bn to N4.91bn.

Champion Breweries recorded the most dramatic move in the sector. Group finance costs rose more than ninefold, from N543.7m to N4.91bn, alongside a broader corporate transformation that saw the company consolidate a new subsidiary, adding N3.49bn in goodwill and a first-time non-controlling interest to its balance sheet.

Net finance cost rose 865 per cent at the Group level and 910 per cent at the standalone parent level, a jump that pushed the parent company to a pre-tax loss for the period.

Amid lamentations over rising energy costs, Nigerians spent about N11.3 trillion on Premium Motor Spirit (petrol) between January and July 2026 to power their vehicles and electricity generators, according to data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority.

The NMDPRA July 2026 midstream and downstream statistics showed that approximately 10.37 billion litres of petrol were trucked into the domestic market during the seven months.

An analysis of the monthly volumes against average prevailing petrol prices showed that Nigerians spent N11.3tn on the commodity between January and July this year.

Once subsidised, petrol is the most-used fuel in Nigeria for cars, buses, bikes, tricycles and power generators. Diesel is mainly used by trucks and industries. The removal of petrol subsidies by President Bola Tinubu in 2023 triggered a sharp rise in petrol prices from N175 to the current N1,310 per litre.

According to the NMDPRA report, spending remained above N1tn in each of the seven months, with the monthly bill rising sharply as petrol prices increased from March.

Petrol sold for an average of N830/litre in January and February, before the price rose to N1,100/litre in March, N1,250/litre in April and N1,300/litre in May. The price subsequently moderated to N1,200/litre in June and July.

The price increases, which occurred amid heightened geopolitical tensions involving the United States and Iran, meant that Nigerians continued to spend heavily on petrol even as demand weakened.

In January, about 1.87 billion litres of petrol were consumed, resulting in expenditure of approximately N1.55tn. Consumption fell to 1.59 billion litres in February, with Nigerians spending N1.32tn on the product. However, despite lower volumes, monthly spending increased significantly from March as petrol prices climbed.

About 1.47 billion litres were consumed in March, costing consumers about N1.61tn. The April bill climbed to N1.92tn, despite consumption of about 1.53 billion litres, while May expenditure stood at N1.87tn on 1.44 billion litres.

In June, Nigerians spent N1.71tn on about 1.42 billion litres, while July recorded the lowest monthly volume of the seven-month period at approximately 1.11 billion litres, with expenditure still reaching N1.33tn.

The figures highlight the impact of higher petrol prices on household and business expenditure, with the country’s total fuel bill remaining above N11tn despite consumption falling considerably from the levels recorded at the beginning of the year.

The decline in demand became particularly pronounced in July, when average daily petrol consumption fell to 35.7 million litres. This was 24.7 per cent lower than the 47.4 million litres consumed daily in June and 24.4 per cent below the 47.2 million litres recorded in July 2025.

July’s consumption was also 44 per cent below the 63.7 million litres per day recorded at the peak in December 2025. The 35.7 million litres per day recorded in July was 28.6 per cent below the 50 million litres per day benchmark for petrol demand in Nigeria.

It was also about 29.4 per cent below the 50.6 million litres per day average recorded over the 13-month period covered by the July statistics. The report shows that the sharp contraction in petrol consumption contrasted with the performance of some other petroleum products.

Diesel consumption stood at 14.7 million litres per day in July, slightly above the 14 million litres per day benchmark. This represented a five per cent increase over the stated daily demand benchmark.

Liquefied Petroleum Gas, popularly known as cooking gas, also recorded consumption above its benchmark, reaching 4.4 kilotonnes per day, compared with a benchmark of 3.9 kilotonnes per day, representing a 12.8 per cent increase.

Aviation fuel, however, recorded a substantial shortfall, with consumption standing at 1.7 million litres per day, 43.3 per cent below its three million-litre daily benchmark.

The figures point to a divergence in the downstream market, with petrol and aviation fuel consumption significantly below their stated benchmarks, while diesel and LPG remained above theirs.

For petrol, the July decline also represented the lowest daily consumption recorded on the July 2025-July 2026 chart. The development came as consumers faced substantially higher petrol prices than at the beginning of the year, increasing the amount paid for every litre even as the quantity purchased declined.

Overall, the January-July figures show that the country’s petrol expenditure remained exceptionally high, with Nigerians spending N11.3tn on 10.37 billion litres in seven months, while daily consumption had fallen well below both the 50-million-litre benchmark and the average recorded over the preceding 13 months.

Recently, energy experts and economists backed the proposal by former Vice President Atiku Abubakar for a review of the Federal Government’s petrol subsidy policy, urging President Bola Tinubu to introduce targeted measures to cushion the hardship caused by the removal of the subsidy.

The experts, who spoke separately on the development, however, warned against a blanket return to the old subsidy regime, stressing the need for transparency, accountability and proper implementation of any intervention.

They argued that while the removal of the subsidy was necessary, the Federal Government had not adequately managed its consequences, particularly the rising cost of petrol, transportation, food and other essential goods.

The Chief Executive Officer of Petroleumprice.ng Olatide Jeremiah argued that the current petrol price was too high for a country where a large proportion of the population is struggling with extreme poverty and hunger.

“It is quite unfortunate that in a country like Nigeria where 80 per cent of its citizens are poor, you allow the masses to pay N1,300 for petrol at the pump. So, you need to understand that without any government intervention, the citizens will not be able to survive N1300 at the pump.

The Petroleumprice.ng boss said the government could consider directing part of the revenue from crude oil sales towards intervention in the prices of petroleum products.

“All over the world, during this crisis between Iran and the US, most countries of the world intervened in the prices of petroleum products. Some have adopted Atiku’s model, and that helps the countries to cap and control prices, pending when it will be resolved,” he added.

Meanwhile, an energy economist, Prof. Adeola Adenikinju, said production subsidy was preferable in principle to consumption subsidy but warned that Nigeria’s history of special interests could undermine such a system.

The Central Bank of Nigeria has lowered the stop rate on the one-year Nigerian treasury bill to 16.84 per cent, extending the recent decline in yields despite another wave of strong demand from investors.

At Wednesday’s primary market auction, investors submitted N3.35tn worth of bids for T-bills valued at N700bn, representing demand nearly five times the amount initially offered. The CBN ultimately allotted N865.71bn.

The latest reduction takes the 364-day bill’s stop rate 31 basis points below the 17.15 per cent recorded at the previous auction on 26 August.

It also means the rate has declined by 75 basis points across the last two auctions, from 17.59 per cent on 12 August to 16.84 per cent.

The investor interest remained at the long end of the market.

The 364-day instrument attracted N3.238tn in subscriptions for N500bn on offer. The CBN allotted N762.17bn, exceeding the advertised amount by N262.17bn.

By contrast, demand for shorter maturities was considerably weaker. The 91-day bill received N76.82bn in bids against N100bn offered, with N76.28bn allotted at an unchanged stop rate of 16.30 per cent.

The 182-day bill attracted only N33.51bn against N100bn on offer, while N27.27bn was allotted at 16.50 per cent.

The bills will mature on 3 December, 2026, 4 March, 2027 and 2 September, 2027, respectively.

The latest auction reinforces a pattern that has dominated the T-bills market in recent months, with investors showing a strong preference for the 364-day instrument while demand for shorter tenors remains subdued.

The one-year rate has now moved substantially below the levels recorded in July and August. It had risen from 16.35 per cent on 3 June to 17.34 per cent on 17 June and 17.70 per cent on 8 July before reaching 17.59 per cent on 12 August.

The subsequent reversal suggests that the CBN is becoming more willing to accept lower borrowing costs as demand for government securities remains strong.

Wednesday’s 16.84 per cent stop rate was only marginally above the prevailing secondary market yield of 16.74 per cent.

The development could also strengthen expectations of a broader easing in monetary conditions, particularly ahead of the CBN’s September Monetary Policy Committee meeting.

Dangote Cement Plc has announced plans to host a Capital Markets Day in London on 21 September 2026, as part of preparations for its secondary listing on the London Stock Exchange.

The company disclosed this in a regulatory filing submitted to the Nigerian Exchange Limited on Wednesday, signed by its Company Secretary, Edward Imoedemhe.

The upcoming London event builds on a corporate update issued on 12 May 2026, following formal shareholder approval for the proposed dual-listing on the UK bourse.

According to the firm, the briefing will offer international investors, market analysts and key stakeholders insights into its operational performance, strategic roadmap and core business priorities, while enabling direct engagement with senior executives

The company stated: “Further to the Company’s announcement of 12 May 2026 and the subsequent approval by its shareholders of the proposed secondary listing of the Company’s shares on the London Stock Exchange, the Company is pleased to announce that it will be hosting a Capital Markets Day in London on 21 September 2026

“The CMD will provide investors and other stakeholders with an update on the Company’s strategy, operations and business priorities, as well as an opportunity to engage with the Company’s senior management. Further details including the agenda and logistics will be shared in due course.

Presentation materials for the CMD will also be made available to the market in accordance with applicable disclosure requirements.”

The decision to seek a listing on the London bourse marks the culmination of a decade-long ambition championed by founder Aliko Dangote.

Earlier plans for an LSE debut were put on hold due to regulatory hurdles and heavy capital commitments towards major infrastructure projects, including the $20bn Dangote Petroleum Refinery.

However, the initiative gained fresh momentum after the UK’s Financial Conduct Authority relaxed listing rules for overseas issuers. Shareholders ratified the move during the company’s annual general meeting in July 2026, empowering the board to sell up to a 10 per cent equity stake to global institutional investors.

Market analysts note that a secondary listing in London will give foreign institutional investors direct exposure to Sub-Saharan Africa’s largest cement manufacturer in major foreign currencies, bypassing foreign exchange constraints common in frontier markets. London was selected over alternative financial centres such as Dubai due to its deeper liquidity pools and compatible reporting frameworks for global fund managers.

Dangote Cement operates integrated manufacturing plants and grinding facilities across 10 African nations, including Nigeria, South Africa, Ethiopia, Tanzania, Senegal and Ivory Coast.

With an installed production capacity exceeding 55 million metric tonnes per annum, the manufacturer is targeting an expanded capacity of 80 to 100 Mta by 2030 to serve continental export markets. It remains the most capitalised stock on the NGX.

The global roadshow also coincides with recent boardroom changes within the conglomerate. Following Aliko Dangote’s exit from the cement board, his daughter, Mariya Dangote, was appointed as a director as part of broader executive leadership transitions.

Upon completion of the transaction, Dangote Cement will join other major Nigerian-linked corporations with dual listings in London, including Seplat Energy Plc, Airtel Africa Plc and Guaranty Trust Holding Company Plc.

The Nigerian National Petroleum Company Limited has said the Obiafu-Obrikom-Oben gas pipeline is ready for first gas, while the Ajaokuta-Kaduna-Kano gas pipeline has reached 95 per cent completion.

NNPC disclosed this in its July 2026 monthly report, stating that pre-commissioning activities at the OB3 River Niger Crossing had been completed in August in preparation for first gas.

In the NNPC report, OB3 was put at 100 per cent, while AKK remains 95 per cent complete. “OB3 River Niger Crossing: Pipeline pre-commissioning activities completed in readiness for First Gas in August 2026,” the report stated.

On the AKK project, the national oil company said construction and installation works had reached an advanced stage, with the pipeline expected to deliver early gas to Abuja in 2026.

“AKK (Early Gas): Construction and installation works are at an advanced stage to deliver early gas to Abuja in 2026,” NNPC stated.

The two projects form part of NNPC’s gas infrastructure development programme aimed at expanding gas transportation infrastructure.

The OB3 pipeline is designed to connect gas supplies across the eastern and western parts of the country, while the AKK pipeline is being developed to transport gas to Abuja and onwards to northern parts of Nigeria.

However, the July report did not provide further details on the expected capacity or commissioning date of the AKK pipeline beyond stating that early gas would be delivered to Abuja in 2026.

Earlier in April, the NNPC announced that it had completed the long-anticipated River Niger crossing of the Obiafu-Obrikom-Oben gas pipeline, unlocking a critical segment of the country’s gas transmission network and paving the way for increased supply to power plants and industries.

The feat, delivered by the NNPC Gas Infrastructure Company, a subsidiary of NNPC Ltd, involved drilling approximately two kilometres beneath the River Niger using advanced horizontal directional drilling technology, a method deployed in complex engineering terrains.

Announcing the development in a statement by the Chief Corporate Communications Officer of NNPC, Andy Odeh, the company said the milestone effectively activates the full capacity of the 130-kilometre OB3 pipeline, designed to transport up to 2 billion standard cubic feet of gas per day.

The pipeline is to significantly strengthen energy availability, enhance supply reliability, and accelerate national economic development.

The company noted that the completion would, in the near term, unlock over 500 million standard cubic feet per day of additional gas supply for the domestic market, with positive implications for electricity generation, manufacturing, and exports.

The Group Chief Executive Officer of NNPC, Bayo Ojulari, noted that the OB3 pipeline remains central to Nigeria’s ambition of building an integrated and resilient gas network.

“I commend everyone involved for their doggedness and for staying the course to deliver this strategic national asset,” he said.

Ojulari also linked the project to the Federal Government’s broader energy targets, including plans to increase crude oil production to 3 million barrels per day and gas output to 12 billion standard cubic feet per day by 2030.

Started in 2016, the $700m OB3 pipeline has missed several completion deadlines before this latest announcement.

Trading on the Nigerian Exchange Limited opened the month of September on a bullish note on Wednesday, as capital appreciation in key mid-cap and blue-chip equities lifted total market capitalisation by N1.22tn.

The benchmark NGX All-Share Index appreciated by 1,883.24 basis points, or 0.77 per cent, to settle at 246,082.63, while the market capitalisation of equities expanded to close at N158.96tn from N157.74tn recorded in the previous session.

This broad-based rally pushed the year-to-date market return higher to 58.14 per cent as buying sentiment extended across multiple sectors on the local bourse.

The sustained positive momentum was primarily anchored by price appreciation in energy, consumer goods and financial heavyweights, including Aradel Holdings, Nestlé Nigeria, HBM Nigeria, May & Baker Nigeria and First HoldCo.

Market breadth closed overwhelmingly positive, with 40 advancing stocks outpacing 19 decliners. Heavyweight gains in Aradel Holdings, which surged  8.83 per cent, alongside Nestlé Nigeria’s 5.83 per cent rise, provided substantial upward leverage to offset moderate profit-taking observed in select large-cap counters.

Activity levels on the trading floor reflected mixed engagement, as total volume traded rose 7.44 per cent to 651.32 million shares, while total transaction value increased 5.35 per cent to N40.77bn. However, total executed deals contracted 18.16 per cent to settle at 43,760.

Access Holdings Plc topped the activity chart by volume, accounting for 129.89 million units valued at N4.16bn, while MTN Nigeria Communications Plc led the market in turnover value with deals worth N4.69bn.

Sectoral performance showed broad investor optimism across major industry groups. The NGX Oil & Gas Index posted the strongest performance with a 3.87 per cent surge, closely followed by the Insurance Index, which rose 3.34 per cent.

The Banking and Consumer Goods indexes both registered gains of 0.87 per cent, while the Industrial Goods sector recorded a 0.71 per cent uptick by the close of business.

Percentage price movements showed FTN Cocoa Processors Plc and McNichols Plc leading the gainers’ chart after soaring 10.00 per cent each to close at N8.25 and N4.95, respectively, followed by SUNU Assurances Nigeria Plc with a 9.94 per cent gain.

Conversely, Tripple Gee & Company Plc fell 9.72 per cent to lead the decliners, while ABC Transport Plc and Nigerian Aviation Handling Company Plc dropped 9.52 per cent and 9.22 per cent, respectively.

Capital market analysts attribute the sustained buying pressure to continued portfolio realignment by institutional and retail investors positioning for third-quarter value opportunities.