Africa’s richest man, Aliko Dangote, has dismissed claims that his dominance in cement and petroleum quantities to a monopoly, insisting that the Nigerian financial system wants extra gamers with the dimensions and sources to compete.
Talking in regards to the $20 billion Dangote Refinery in a video, he argued that profitability is crucial for survival in capital-intensive industries.
“If we don’t earn cash, no person will come into this enterprise. Then you find yourself with just one provider. We don’t need to be a monopoly; we would like different gamers within the enterprise. However different gamers can not come to a soccer area and need to play cricket, you’ll wound someone.”, Dangote mentioned.
Dangote additionally recalled how his foray into cement was triggered by former President Olusegun Obasanjo, who requested him to handle Nigeria’s dependence on cement imports. Though his preliminary plan to construct a manufacturing facility in Benue State was opposed by the neighborhood, he finally established the Obajana plant in Kogi State, now Africa’s largest cement facility.
On the challenges going through Nigeria’s gasoline imports, he described systemic corruption that drains sources. “Nearly all of these fuel-importing ships, after they come, don’t discharge all. The individual checking is gathering a wage of N100,000, so it’s simple for him to just accept an envelope of $10,000 and signal no matter paperwork you give him,” he revealed.
In accordance with him, NNPC’s refining mannequin is unsustainable. Whereas the Dangote Refinery produces 54% gasoline from crude, NNPC yields solely 18%, principally low-value gasoline oil. “The extra they function, the more cash they lose,” he mentioned.
Dangote additional rejected claims by the Depot and Petroleum Merchandise Entrepreneurs Affiliation of Nigeria (DAPPMAN) that his refinery lacks capability. “If we don’t have the capability, why are we exporting? It’s the identical approach they used to kill textiles that they need to use to kill us,” he added.
What you need to know
Aliko Dangote, Africa’s richest man, is the founding father of the Dangote Group and the driving power behind the $20 billion Dangote Petroleum Refinery in Lagos, the most important single-train refinery on the earth.
With a capability of 650,000 barrels per day, the refinery started operations in 2024 and was designed to drastically minimize Nigeria’s reliance on imported petroleum merchandise. The undertaking is anticipated to avoid wasting the nation as much as $25 billion yearly in overseas alternate and create 1000’s of jobs throughout the worth chain.
Nairametrics beforehand reported that the billionaire’s refinery achieved a serious milestone by exporting its first cargo of petrol to the USA. The cargo, totaling round 320,000 barrels, was transported on the tanker Gemini Pearl and discharged at Sunoco’s Linden, New Jersey facility. The cargo was bought by world dealer Vitol, which bought the cargo from Mocoh Oil, Dangote’s export companion.
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