Aliko Dangote, Africa’s richest man, has expressed his willingness to sell his oil refinery to the Nigerian National Petroleum Company (NNPC) Limited. This statement comes amid ongoing disputes between the refinery and Nigerian regulatory authorities.
In an interview with Premium Times on Sunday, Dangote said, “Let them (NNPCL) buy me out and run the refinery the best way they can. They have labeled me a monopolist. That’s an incorrect and unfair allegation, but it’s okay. If they buy me out, at least their so-called monopolist would be out of the way.”
He emphasized the long-standing fuel crisis in Nigeria, which dates back to the 1970s, and mentioned that his refinery could help resolve this issue. “We have been facing fuel crisis since the 70s. This refinery can help in resolving the problem but it does appear some people are uncomfortable that I am in the picture,” Dangote added.
Dangote, who is 67 years old, mentioned his readiness to let go of the refinery. “As you probably know, I am 67 years old. In less than three years, I will be 70. I need very little to live the rest of my life. I can’t take the refinery or any other property or asset to my grave. Everything I do is in the interest of my country. So, I am ready to let go, let the NNPC buy me out, run the refinery. At least the country will have high-quality products and create jobs.”
The refinery, which was inaugurated in May 2023, has a capacity of 650,000 barrels per day and is located in the free zone area of Ibeju-Lekki, Lagos. It began producing diesel on January 12, but the supply of petrol has been delayed until August due to crude supply challenges and a fire outbreak.
Due to difficulties in accessing crude feedstock from international oil companies (IOCs) in Nigeria, Dangote’s refinery has had to import crude from countries like Brazil and the US. Despite an initial agreement for a 20 percent equity participation with the NNPC, only 7.2 percent had been fully paid for before the deadline.
Dangote also mentioned the warnings he received from friends and associates about investing heavily in Nigeria. “Four years ago, one of my very wealthy friends began to invest his money abroad. I disagreed with him and urged him to rethink his action in the interest of his country. He blamed his action on policy inconsistencies and shenanigans of interest groups. That friend has been taunting me in the past few days, saying he warned me and that he has been proven right.”
Recently, there have been conflicting statements regarding the supply of crude to the refinery. Gbenga Komolafe, CEO of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), described Dangote’s claim that IOCs were struggling to supply crude as “erroneous.” However, Dangote Industries Limited maintained that IOCs were frustrating its requests to purchase crude feedstock.
On July 18, Farouk Ahmed, CEO of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), stated that local refineries, including the Dangote refinery, were producing inferior products compared to imported ones.
