Dangote Industries has signed a memorandum of understanding with Japan’s Mitsui Chemicals to establish a joint petrochemical venture in Nigeria.

According to a statement from Mitsui Chemicals, the project will source feedstock from Dangote’s 650,000-barrel-per-day refinery in Lagos.

S&P Global noted that Mitsui Chemicals will provide technology for resin and fertiliser production, enabling Dangote to expand into the petrochemical sector using raw materials from its refinery. The collaboration also allows Mitsui to build on its global expertise, including its resin and PET production partnership with Siam Cement Group in Thailand.

“We will jointly explore concrete possibilities to contribute to strengthening the living foundations and developing regional industries in African countries, including Nigeria,” Mitsui Chemicals said in the statement.

The memorandum of understanding was signed at the Tokyo International Conference on African Development in Yokohama, with AAIC Holdings serving as facilitator to encourage wider Japanese corporate participation in Africa’s petrochemical sector.

The agreement represents a renewed drive by Dangote to expand its petrochemicals arm and strengthen its market share across West Africa.

The Dangote refining and petrochemicals complex, inaugurated in January 2024, is the largest in Africa. In March 2025, it commissioned a 900,000 mt/year polypropylene plant, aiming to replace about 250,000 mt/year of Nigerian imports.

In May, Dangote signed an exclusive agreement with global distributor Vinmar to market its products outside Africa. The complex now has the capacity to produce 77 polymer grades.

Dangote’s refining business has set its sights on the next phase of expansion, appointing former Shell executive David Bird as its first Chief Executive Officer and securing a $4 billion loan led by the African Export-Import Bank. The company plans to increase its oil refining capacity to 700,000 bpd and establish satellite storage hubs in countries including Namibia.