Africa’s richest man, Aliko Dangote, has dismissed suggestions that he should acquire one of Nigeria’s moribund state-owned refineries, saying he would rather expand the capacity of his privately owned refinery in Lagos. Speaking during the announcement of the expansion of the $20 billion Dangote Refinery from 650,000 to 1.4 million barrels per day, Dangote said his goal is to make the facility the world’s largest within the next three years.
Responding to questions about why he opted to expand rather than buy one of the Nigerian National Petroleum Company Limited (NNPC) refineries, Dangote said he would avoid such a move to prevent accusations of creating a monopoly. He urged other wealthy Nigerian investors and groups like the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) to purchase or build their own refineries to support the federal government’s industrial goals.
“Buying those refineries? Once we touch them, there will be too much noise,” Dangote quipped. “Others with deep pockets should also take on the challenge, so it won’t look like only one person is supporting the President’s policy. We already have our own infrastructure, and instead of going elsewhere, we’re doubling our capacity to 1.4 million barrels per day.”
Dangote also revealed that President Bola Tinubu had assured private refiners of full support in crude supply, emphasizing that the sector must collectively contribute to Nigeria’s $1 trillion economic target. He explained that the expansion aligns with his company’s design plan and vision for self-sufficiency in refined petroleum products, stressing that the move will create jobs and stabilize local fuel supply.
The remarks reignited debate over the fate of Nigeria’s long-troubled state refineries in Port Harcourt, Warri, and Kaduna. Despite billions of dollars spent on rehabilitation, the facilities remain inactive. The NNPC, now led by Group Chief Executive Officer Bayo Ojulari, said it is conducting technical and commercial reviews to decide whether to overhaul or repurpose the refineries for sustainability. The Dangote expansion, analysts say, could mark a turning point for Nigeria’s refining future and its long-standing dependence on imported fuel.
source: punch