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Dangote Refinery ‘ll generate $21bn, to employ over 100,000 youths says Aliko.

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As Buhari inaugurates $18.5bn project, describes it as game changer for Nigeria’s economy.

’Plant ‘ll come on stream in August’, It’s a dream well fulfilled – Dangote

. NNPCL announces it’s 20% equity stake in the Refinery

 It ‘ll save Nigeria $25bn to $30b forex annually- CBN gov

 . Assures inflow of $10b yearly.

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It was a defining moment in the nation’s oil and gas sector as  President Muhammadu Buhari inaugurated Dangote Petroleum Refinery in Ibeju-Lekki local government area of Lagos state which is expected to enable Nigeria to achieve self-sufficiency in refined products and even have surplus for export.


Speaking at the occasion attended by Heads of State from Ghana, Togo, Niger, Senegal and a representative of the President of Chad, the President described the feat as a significant milestone for Nigeria’s economy and a game changer for the downstream petroleum products market in the entire African region.


According to the president ‘‘This mega industry we are commissioning today is a clear example of what can be achieved when entrepreneurs are encouraged and supported and when an enabling environment is created for investments and for businesses to thrive.


‘‘I am confident that my successor, His Excellency Asiwaju Bola Ahmed Tinubu, will sustain the improvement in our economic and business environment and strengthen the framework of our public private partnership policies to accelerate the pace of our economic growth and development. I am happy to leave our economy in very competent hands,’’ he said.


The President, who commended Alhaji Aliko Dangote’s leadership in executing the 650,000 barrels per day refinery urged other entrepreneurs to emulate his example in driving economic growth and realizing Nigeria’s economic potential.


He stressed the need for African countries to come together, integrate their economies, eliminate trade barriers, and rally their populations to achieve Agenda 2063 for the continent’s prosperity.


‘‘I urge and encourage our other great entrepreneurs to emulate this iconic Nigerian industrialist and join the Government in accelerating our growth in order to realize our country’s globally recognized economic potential.

‘‘When I travel around Africa and meet and engage my brother Heads of State (and I am delighted some of their Excellences are here) I often sense a quiet expectation that our country is blessed with resources and human capacity to lead Africa’s rise to economic prosperity and the attainment of Agenda 2063 – ‘The Africa we all want.’


‘‘But to achieve the goals of Agenda 2063, Africa must come together – we must integrate our economies, eliminate barriers to trade and energize our youthful population to scale up our productive capacity.


‘‘We must create necessary conditions for our private sector to grow and partner with the public sector to accelerate economic growth across the continent. We must not allow outside powers to use some of our leaders to destabilize our economic and political trajectory,’’ he said.

Buhari acknowledged the visionary investments made by the Dangote Group, under the leadership of Dangote, in transforming Nigeria’s economy through its involvement in critical industries such as cement and fertilizer.


He noted that investment in these sectors have played a crucial role in shifting Nigeria from heavy import dependence to becoming a net exporter.

Buhari acknowledged that Nigeria’s economy has faced significant challenges over the years, including deficits in economic infrastructure, insurgency, and external crises such as the Global Financial Crisis, oil price collapses, the COVID-19 pandemic, and the Russia-Ukraine war.

‘‘The consequence of these challenges constitute a severe strain on our economy, limiting Government’s ability to provide basic infrastructure without resorting to huge borrowings.


‘‘Our Government, therefore, took the decision to focus attention on creating an enabling environment for the private sector to thrive and fill the enormous gap in investments not only in infrastructure but also in all critical sectors.

‘‘We recognize that without the active participation of the private sector and a strong commitment to public private partnership, our economy would continue to remain severely challenged and our economic growth impeded.

‘‘Government therefore, will and should continue to provide an enabling environment and encourage innovative public private partnerships in all sectors of our economy,’’ he said.


The President emphasized the administration’s commitment to this approach, citing Executive Order 007 of 2019 which facilitated the rehabilitation/construction of many roads by private sector investors using a Tax-credit scheme.


‘‘It is my hope that the succeeding Administration will continue to apply such innovative schemes in partnership with the private sector to accelerate the provision of critical infrastructure in particular roads, power and gas pipelines,’’ he said.



In his industry address The Nigeria National Petroleum Company Limited (NNPCL) expressed that the Dangote refinery will ensure a defining moment for the energy sector in Africa and world at large.


He also confirmed that NNPCL has  a 20% equity stake in the Dangote Petroleum Refinery and Petrochemicals.


According to him: “As part of this significant project, NNPC Limited is proud to confirm its 20% equity stake in the Dangote Petroleum Refinery and Petrochemicals,” Kyari announced to the audience.


It would be recalled that recently at the just concluded NOGOF, Alhaji Mele kyari announced that the NNPC would supply 300,000 barrels of crude to Dangote Refinery for the commencement of operations.


Mele Kolo Kyari said the NNPC was happy to partner Dangote Refinery because the project has potentials for smooth supply of petroleum and it would guarantee healthy competition for the benefits of the nation’s economy.

He said the NNPC Ltd. was committed to value addition to the potentials of the project noting that the new Petroleum Industry Act will provide security of supply of refined products and protect the plant. The NNPC boss added that his was happy the refinery is coming on board at a time the subsidy on imported products has become unbearable for government.

Also, the governor of the Central Bank of Nigeria (CBN), Godwin Emefiele has revealed that the Dangote Refinery Will save Nigeria between  $25b and $30b forex annually and give the economy an inflow of $10b yearly.


He also affirmed that the refinery is  expected to generate 12,000 megawatts of electricity and over 135,000 permanent jobs.



According to him,  we insisted that under the leadership of President Muhammadu Buhari, that the ongoing projects and efforts will be actively implemented to diversify the economy and make the country globally competitive but people still doubted us,” he said.


“Aside from enumerating our strategic efforts in agriculture and other critical sectors is selling projects that we highlighted to our foreign investor community was this project, the refinery. Your excellency, they doubted us.


“They doubted our willpower to succeed with this project. In hindsight, Your Excellency, I would appreciate their skepticism because they do not understand how a single individual, a man like Dangote could build a refinery capable of serving an entire nation and continent.


“I’m glad to say that this project comes with numerous economic benefits to Nigerians as in the first instance, it will generate 1000s of direct jobs of over 135,000 permanent jobs.


“I am also proud to say that electricity of about 12,000 megawatts of electricity would be generated.”


Also according to Emefiele, the project is interior with significant savings in terms of foreign exchange and in easing the fiscal body of the federal government available data.


He  commended Alhaji Dangote for the successful completion of the refinery project  and said it would not only aid that nation’s domestic petrol needs, but also help in generating export revenues for our country.

Emefiele recalled; “In September 2013, when Alhaji Aliko Dangote announced his plans for the refinery, it was estimated to cost about US$9 billion, of which US$3 billion was projected as equity investment by the Dangote Group and the balance financed through commercial loans. Due to an array of factors, the project was eventually completed with a total of US$18.5 billion with funding distributed into 50 percent equity investment and 50 percent debt finance. I am proud to state that the commercial loan component of the project was financed majorly by our domestic banks with the balance sourced from foreign banks. The Central Bank of Nigeria also partnered, as always, with the Dangote Group in ensuring the successful completion of the project by providing about N125 billion, to cover domestic currency requirements for the venture.

“What you may not be fully aware of, Your Excellencies, is that the Dangote Group has started repaying some of the commercial loans even before the commissioning of this facility. This reflects the commercial capability of the Group and its Chairman. I am pleased to inform everyone today that, following extensive repayments, outstanding debt has dropped appreciably from over US$9 billion to US$3 billion.”

The CBN Governor commended Nigerian banks saying they did not only partnered with the project through effective financing but were keenly aware of the importance of the project for our nation. “They provided immense support and exceptional understanding, even when interest payments and principal repayment had fallen due.”

He described the successful completion of the refinery to President Buhari’s astute vision to ensure that Nigeria produces what Nigerians consume and that we consume what we produce. “The refinery and petrochemical project by the Dangote Group is a testament to your vision for Nigeria. It shows that, regardless of what the world thinks, Nigeria can be self-sufficient in all products that we consume and at the same time export our excess output to the rest of the world.”



Also speaking, the Lagos State governor, Babajide Sanwo-Olu said that Dangote came to Lagos with nothing 45 years ago but has now built the biggest empire in the world for Africa.


“Dangote came to Lagos with nothing about 45 years ago, but he is now Africa’s richest man,” Sanwo-Olu jocularly said in his speech.


He described Dangote as a detribalised man who saw the wealth of the state, adding that the highly successful businessman is a Lagosian who has invested in the prosperity of the state and Nigeria.



Alhaji Aliko Dangote emphasised the refinery’s role in fulfilling the group’s corporate vision of promoting self-sufficiency and global competitiveness.


”We have built a Refinery with a capacity to process 650,000 barrels per day (plus 900,000 tonnes of polypropylene) in a single train – which is the largest in the world. We have selected the best plants and equipment and the latest technologies from across the world.


”Our products slate is designed to meet the highest quality standards and high-value products including Premium Motor Spirit (PMS), Automotive Gas Oil (Diesel), Aviation Turbine Kerosine (ATK); all of Euro V Standards that will enable us not only meet our Country’s demand but also to become a key player in the African and global market.


”Our coastal location and offshore loading and offloading (SPM) facilities with a capacity to receive all our crude oil supplies and evacuate up to 75% of our liquid products give us direct access to the rest of Africa and the global market for exports. In addition, 80 percent of our production can be discharged through trucks nationwide.”


He disclosed that the huge investment of over $18.5billion in this industry was prompted by the company’s desire to support and contribute its quota to the Federal Government’s sustained effort to transform the economy and reposition Nigeria as the leading nation in Africa, and a respected member among emerging economies in the world.


According to him, apart from ensuring a consistent supply of high-quality fuels for the transportation sector, the refinery will provide essential raw materials to a wide range of manufacturing sectors, including plastics, pharmaceuticals, food and beverages, packaging, construction, and more.


He further stated that the refinery’s operation and related businesses would generate a substantial number of job opportunities, while the downstream supply and distribution of its products would significantly contribute to the absorption of labor, potentially benefiting hundreds of thousands of individuals.


”Once our plant is fully on stream, we expect that at least 40% of the capacity will be available for export and this will result in significant Foreign Exchange inflows into the country.

Overall, we are committed to operating our Plant in line with international best practice requirements, recognizing the importance of protecting the environment, and putting in place stringent environmental, health and safety policies to ensure that the Refinery operates in a safe and sustainable manner,” he said.


In their respective goodwill messages, Presidents of Ghana, Senegal, Niger, Benin Republic and Chad expressed satisfaction that the Dangote Refinery will serve the West African region and that their countries would be beneficiaries saying the Dangote Refiner is an African company for Africa by an African entrepreneur.

Showunmi laments Ogun govt’s lost bid to host project

Meanwhile, a chieftain of Peoples Democratic Party (PDP) in Ogun state, Otunba Segun Showunmi has decried the inability of Ogun state government to host the newly commissioned Dangote refinery in Lagos state.

President Buhari had on Monday commissioned the 650,000 barrels per day Dangote refinery located at the Lekki free zone near Lagos.


The pipeline infrastructure at the refinery is said to be the largest in the world with 1,100 kilometres and will handle 3 billion standard cubic foot of gas per day.

The inauguration of the refinery comes with high expectations in the Nigerian energy sector amid plans by the Nigerian government to remove petrol subsidy in the second half of the year. Subsidy payments steadily rose from N351bn in 2005 to N4.39 trillion in 2022, while N3. 6trn was earmarked to fund fuel subsidy for the first six months in 2023.

The government pins its hopes of ending fuel imports largely on the completion of the Dangote refinery.

But the PDP chieftain in a congratulatory message to Lagos state government, flayed Ogun state government for not providing the needed impetus to house the refinery in the state.

Recall that, in 2018 Alhaji Aliko Dangote visited the former governor of the state, Senator Ibikunle Amosun on the need to host the refinery plant in Ogun state.

An unconfirmed report says Governor Amosun’s high tax and alleged kickback from the project chased Dangote away from the state.

The embittered PDP leader, however, maintained that a law must be enacted to review and punish any governor responsible for economic sabotage.

He said, “I cannot but wonder what explanation Ogun State has for not housing that project that sits pretty within our Ogun Development Master Plan with Olokola Free Trade Zone in Ogun Waterside!

“It is time to have a law that punishes economic sabotage occasioned by bad politics!

“No one should be allowed to set back a state on the altar of winning an election, which more than likely has queried integrity.

“No state can make a steady process if that nonsense is not punished to prevent a repeat.

“The cost of maintaining Governors is way too huge a price to pay, only for the state to now carry huge consequences of their myopic tantrums.


“A law must be enacted to review and punish this type of economic and development sabotage. Never again.


“Thank God Dangote did not take the project outside the country, which would have provoked me beyond words.


“No one must be allowed to be irresponsible at the expense of all of us.”

Facts Sheet On Dangote Petroleum Refinery


  • World Class Projects
  • The Dangote Petroleum Refinery is located in the in Ibeju-Lekki, Lagos, covering a land area of approximately 2,635 hectares (seven times the size of Victoria Island.)
  • World’s Largest Single-Train 650,000 barrels per day Petroleum Refinery with 900 KTPA Polypropylene Plant.
  • The 435 MW Power Plant in the Refinery alone will be able to meet the total power requirement of Ibadan DisCo of 860,316 MWh covering five States including Oyo, Ogun, Osun, Kwara and Ekiti.
  • Dangote Petroleum Refinery can meet 100% of the Nigerian requirement of all refined products (Gasoline, 53 million litres per day; Diesel, 34 litres per day; Kerosene, 10 million litres per day and Aviation Jet, 2 million litres per day) and also have surplus of each of these products for export.
  • Designed for 100% Nigerian Crude with flexibility to process other crudes.
  • Self-sufficient Marine facility with ability for freight optimization. Largest single order of 5 SPMs anywhere in the world.
  • Diesel & Gasoline Products from the refinery will conform to Euro V specifications.
  • The refinery design complies to World Bank, US EPA, European emission norms and Department of Petroleum Resources (DPR) emission / effluent norms.
  • State- of- the- art technology.
  • Designed to process large variety of crudes including many of the African Crudes, some of the Middle Eastern Crudes and the US Light Tight Oil.
  • Dangote Petroleum Refinery can meet 100% of the Nigerian requirement of all liquid products (Gasoline, Diesel, Kerosene & Aviation Jet) and also would have surplus of each of these products for export.
  • 65 Million Cubic Metres of Sand dredged costing approx. Euros 300 Million , using the world’s largest, the second largest and the tenth largest dredgers to elevate the height by 1.5 metres, to insure against any potential impact of increase in mean sea level due to global warming.
  • Bought over 1,209 units of various equipment to enhance the local capacity for site works since even the biggest local civil contractors are unable to handle even small portions of our construction requirement.
  • Bought 332 cranes to build up equipment installation capacity since the current capacity in Nigeria is extremely poor.
  • Built the world’s largest granite quarry to supply coarse aggregate, stone column material, stone base, stone dust & material for break water. (10 million tonnes per year production capacity).
  • Developed a port and constructed two quays with a load bearing capacity of 25 tonnes/ sq meter to bring Over Dimensional Cargoes close to the site directly.
  • Constructed two more quays in the port with a capacity to handle up to Panamax vessels to export the fertiliser and the petrochemicals and two quays to handle liquid cargoes. The port will thus have 6 quays, including a Roll-on/Roll-off quay.
  • In the course of the civil works, some days 700 piles were drilled daily, and the total number of piles came to 250,000.
  • It has 177 tanks of 4.742 billion litre capacity.
  • Total tanker loading of 2,900. This number is based on tanker capacity of 33KL.
  • Dangote is one of the few companies in the world executing a Petroleum Refinery and a Petrochemical complex directly as an Engineering, Procurement, and Construction (EPC) Contractor. Globally, apart from three companies, no individual owner has done the complete EPC Contract for a Petroleum Refinery.
  • Temporary housing units on the premises can house 33,000 persons.
  • The project utilised the coordination of various local and international suppliers and the coordination of multi-cultural work teams.
  • The Dangote Refinery Plant is a legacy project that will see Nigeria netting 21 billion dollars per annum.
  • Training of 900 young engineers in refinery operations outside the country. Another six Mechanical Engineers trained in the GE University in Italy. 50 Process engineers trained by Honeywell/UOP for six months; 50 Management Trainees; secondment for succession.





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