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PenCom Clears PFAs to Invest in Dangote Refinery’s $50bn IPO

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By Tony Obiechina, Abuja

The National Pension Commission (PenCom) has granted Pension Fund Administrators (PFAs) a special regulatory waiver permitting them to invest pension assets in the planned Initial Public Offering (IPO) of Dangote Petroleum Refinery & Petrochemicals FZE (DPRP).

A circular by the Commission on Thursday, said the approval represents a one-off regulatory dispensation designed specifically for the Dangote Refinery IPO due to its strategic economic importance, strong financial structure and potential impact on Nigeria’s industrial growth.

According to the circular signed by A.

M. Saleem Director, Surveillance Department. The move is expected to deepen institutional participation in what could become one of Africa’s largest public offerings.

The Commission, in a circular, said the approval represents a one-off regulatory dispensation designed specifically for the Dangote Refinery IPO due to its strategic economic importance, strong financial structure and potential impact on Nigeria’s industrial growth.

Under the waiver, PFAs will be allowed to participate in the IPO despite the company not fully meeting some of the conventional eligibility requirements ordinarily imposed on equity investments under pension fund regulations, including profitability track record and dividend payment history.

PenCom stressed that the decision followed a detailed assessment of the refinery’s investment fundamentals, broader economic significance and the established performance record of its majority shareholder, Dangote Industries Limited.

According to the Commission, the refinery forms part of a wider $40 billion industrial expansion initiative covering oil refining, petrochemicals, fertiliser production and related industries, all of which are expected to contribute significantly to Nigeria’s economic diversification agenda.

“The Commission has carefully evaluated the strategic investment opportunity and the economic impact of the proposed Initial Public Offering (IPO) of Dangote Petroleum Refinery & Petrochemicals FZE (DPRP) on the pension industry and the wider economy,” PenCom stated.

“In light of these considerations, the Commission has reviewed the request for a special dispensation that would permit Pension Fund Administrators (PFAs) to invest pension fund assets in the IPO.”The regulator noted that the waiver should not be interpreted as a permanent relaxation of investment rules or a precedent for future IPOs, emphasizing that the approval applies solely to the Dangote Refinery offer because of its exceptional scale and national economic significance.

The Dangote Refinery IPO, expected to open in mid-2026, will reportedly offer about 10 per cent of the company’s equity to the investing public as part of efforts by the Dangote Group to raise fresh capital for further industrial expansion and debt optimisation.

Market analysts estimate that the offering could value the refinery at approximately $50 billion, equivalent to about N70 trillion, making it one of the most valuable corporate listings ever contemplated in Africa’s capital market history.

The development is expected to attract significant interest from institutional investors, including pension fund managers, insurance firms and asset management companies seeking long-term infrastructure and industrial investment opportunities.

Nigeria’s pension industry currently manages assets valued at over N20 trillion, with a substantial portion invested in Federal Government securities due to strict regulatory safeguards designed to preserve contributors’ funds.

Industry observers believe PenCom’s approval could broaden investment diversification within the pension sector while simultaneously supporting local participation in strategic national infrastructure assets.

However, the Commission maintained that PFAs must continue to uphold strict fiduciary responsibilities in evaluating the investment. PenCom directed pension fund operators to independently assess their exposure to the IPO using their internal risk management and investment governance frameworks before committing contributors’ funds.

The regulator also warned that PFAs would remain fully accountable to pension contributors for the outcome of their investment decisions, adding that all existing capital market rules and investor protection mechanisms would remain fully applicable throughout the IPO process.

The Dangote Petroleum Refinery, located in the Lekki Free Trade Zone in Lagos, is regarded as Africa’s largest single-train refinery, with installed refining capacity of 650,000 barrels per day. The facility was established to reduce Nigeria’s dependence on imported refined petroleum products and strengthen energy security while supporting foreign exchange savings and industrial development.

Analysts say the planned listing could further deepen Nigeria’s capital market by increasing market capitalisation, boosting liquidity and providing domestic institutional investors with access to a major industrial asset prev

NEWS

Tinubu To Commission Fruit Juice Factories, BIPC Motorcycle Assembly Plant In Benue

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From Attah Ede, Makurdi 

President Ahmed Bola Tinubu is set to visit Benue State to commission the newly built ultra modern Bensono Concentrate Plant, Benva Juice Factory, and the Motorcycle Assembly Plant in Makurdi, Benue State.

Alia disclosed this while speaking with journalists shortly after inspecting the factories and the plant ahead of the commissioning.

He expressed satisfaction with the level of completion and readiness of the facilities ahead of their official commissioning.

The governor, accompanied by the Speaker of the 10th Benue State House of Assembly, Aondoaver Emberga, described the projects as major milestones in the state’s industrialisation drive and efforts to transform Benue from a predominantly agrarian economy into a hub for agro-processing and manufacturing.

Speaking during the inspection tour, Governor Alia commended the management of the Benue Investment and Property Company (BIPC), particularly its Group Managing Director, Dr. Raymond Asemakaha, CFA, for delivering the projects within record time.

“It is exciting to hear and see that the companies are ready for commissioning. This fourth year is our year of commissioning, and I am hopeful that President Bola Ahmed Tinubu will graciously come and commission these projects for us. Very soon, we shall begin commissioning all the projects embarked upon by this administration,” the governor stated.

Governor Alia noted that the establishment of the Bensono Concentrate Plant and Benva Juice Factory would significantly reduce post-harvest losses, a challenge that has long affected fruit farmers across the state.

According to him, the factories will provide a ready market for locally produced fruits, improve farmers’ incomes, and stimulate economic activities across the agricultural value chain.

“Our farmers have suffered greatly over the years. Almost every family has an orchard farm, but buyers often come from outside the state and dictate prices that do not reflect the true value of the farmers’ hard work. These factories will change that narrative,” he said.

He urged farmers to increase production in anticipation of the factories’ operations, assuring them that the state government was committed to creating sustainable markets for their produce.

“Buyers can still purchase our oranges, but the process will now be more controlled and beneficial to our people. Whether through concentrates or juice production, the value will remain within the state. It is a win-win situation for our farmers and the economy of Benue State,” the governor added.

The governor also inspected 525 motorcycles assembled by the company under a partnership arrangement between the Benue State Government and a Chinese firm. The partnership was initiated during Governor Alia’s investment mission to the People’s Republic of China in 2024.

Earlier, the Group Managing Director of BIPC, Dr. Raymond Asemakaha, explained that the agro-processing factories were established to create value from Benue’s abundant agricultural produce, particularly oranges, mangoes, and tomatoes.

He said the projects were designed to tackle the persistent challenge of post-harvest losses while creating jobs and generating revenue for the state.

“We want to add value to what our farmers produce and drastically reduce the post-harvest losses that have been witnessed in Benue State for decades. Economic growth must be inclusive, and these projects are built around an inclusive model that directly benefits farmers,” Asemakaha said.

The BIPC GMD disclosed that both factories were fully completed and ready to commence production immediately after commissioning.

“Our factories are ready. We are only awaiting the official commissioning. Once that is done, full production will commence. We believe these facilities will change the economic landscape of Benue State,” he stated.

Asemakaha lamented that for many years Benue farmers had produced raw agricultural commodities that were transported out of the state, creating wealth and jobs elsewhere.

“For years, our mothers, fathers, brothers and sisters have laboured to grow produce that others use to build their economies and industries. We are determined to stop that trend by ensuring that value addition takes place here in Benue,” he said.

He further revealed that the orange concentrate to be produced at the Benfruits plant would target both local and international markets.

Citing raw materials council data, Asemakaha noted that Nigeria spent approximately ₦68 billion importing fruit concentrates in 2025 despite having abundant raw materials.

“The Raw Materials Research and Development Council has indicated that Nigeria imported about ₦68 billion worth of concentrates in 2025. We have the oranges here in Benue. There is no reason we should continue importing what we can produce locally. Our goal is to substitute imports and eventually export our concentrates to the international market,” he explained.

He expressed confidence that the factories would position Benue as a leading producer of fruit concentrates and processed beverages in Nigeria while creating employment opportunities for thousands of residents.

The projects form part of Governor Alia’s industrialisation and investment agenda aimed at boosting local production, creating jobs, increasing internally generated revenue, and unlocking the state’s vast agricultural potential.

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NEWS

Dangote Refinery Surpasses Capacity Target, Eyes 1.4m bpd Expansion

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By David Torough, Abuja

Dangote Petroleum Refinery and Petrochemicals has achieved a major operational milestone by increasing its crude oil processing capacity to 700,000 barrels per day (bpd), exceeding its official nameplate capacity of 650,000 bpd.

The breakthrough was confirmed during a performance test conducted by the refinery’s process licensors, further reinforcing the facility’s status as the world’s largest single-train petroleum refinery.

According to a statement issued in Lagos by the refinery’s Head of Corporate Communications, Anthony Chiejina, the achievement reflects the strength of the refinery’s engineering design and operational efficiency.

Speaking on the development, the Vice President of Oil and Gas at Dangote Industries Limited, Devakumar Edwin, revealed that plans are underway to expand the refinery’s processing capacity to 1.4 million bpd within the next 30 months, with the ambition of ranking among the world’s largest refining complexes.

Edwin said the planned expansion would significantly enhance Nigeria’s energy security, end dependence on imported petroleum products, and strengthen the country’s position as a leading exporter of refined petroleum products. He added that the refinery’s long-term vision is to serve not only domestic demand but also become a major refining hub for Africa and international markets.

Owned by Aliko Dangote, the refinery commenced fuel production in 2024 and has steadily increased output of petrol, diesel, aviation fuel, and other petroleum products. Its products are supplied to both local and international markets, with exports reaching several African countries and European destinations including the United Kingdom, France, Spain, Italy, and the Netherlands. The refinery has also exported gasoline to the United States and jet fuel to Saudi Arabia.

The facility has become a critical stabilising force in global energy markets, particularly during periods of supply disruptions linked to geopolitical tensions in the Middle East. As a result, several African nations now rely on its output to support their energy needs.

In April, S&P Global Commodities ranked Dangote Petroleum Refinery as the world’s largest exporter of jet fuel, highlighting its growing influence in the international energy sector.

Beyond strengthening fuel availability in Nigeria, the refinery has helped reduce the nation’s dependence on imported petroleum products and eased pressure on foreign exchange reserves. Its continued growth aligns with national efforts to increase local refining capacity and maximise value from Nigeria’s crude oil resources.

The refinery’s rising production levels have attracted growing interest from international crude suppliers and commodity traders, with feedstock sourced from both local and foreign producers.

Looking ahead, Aliko Dangote has reaffirmed plans to increase the refinery’s capacity to 1.4 million bpd by 2028. The expansion is expected to generate substantial economic benefits, including job creation, increased industrial activity, and improved trade performance.

The refinery is also expected to boost downstream manufacturing through the supply of liquefied petroleum gas (LPG), polypropylene, and other industrial feedstocks used in producing packaging materials and consumer goods. Future projects include the production of Linear Alkylbenzene (LAB), a key raw material widely used in detergent manufacturing.

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Foreign News

Poland Bans Smartphones in Primary Schools

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Poland plans to ban mobile phones in all primary schools from next academic year under draft legislation approved by the government on Tuesday.

The proposal, which will now be submitted to parliament, would take effect on September 1, 2026.

In Poland, primary school education runs through the eighth grade.

The planned law would prohibit the use of mobile phones and other devices capable of recording audio or video during lessons and breaks.

The ban would apply to both public and private schools, the Education Ministry said.

Exceptions would be permitted when the use of a phone is required for teaching purposes, educational support, or for health and safety reasons.

Education Minister Barbara Nowacka said the measure is a response to calls from teachers for stricter rules on smartphone use in schools.

She said that more than half of Poland’s schools have already introduced similar restrictions on a voluntary basis.

The government also approved a package of measures aimed at strengthening child protection online, which must likewise be approved by parliament.

The proposals include tighter restrictions on minors’ access to websites containing pornography and measures designed to speed up the removal of illegal online material.

Under the plans, operators of adult-content websites would be required to verify users’ ages anonymously, without collecting browser data or personal information.

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