In a groundbreaking move, Aliko Dangote, the Nigerian business magnate, has unveiled plans to list his $20 billion oil refinery on the Nigerian Exchange Limited (NGX). This announcement marks a significant milestone for Dangote Industries, Africa’s largest conglomerate.
In a recent interview with the Financial Times, Dangote revealed that the company has successfully navigated challenges related to crude oil supply, clearing the path for the refinery’s listing. This strategic decision is poised to instill confidence in investors and unlock new avenues for growth for Dangote Industries.
“We have resolved all the issues with crude oil supply. We are now ready to move forward with our plans to list the refinery on the Nigerian Exchange Limited,” stated Dangote.
The Dangote Refinery, boasting a capacity of 650,000 barrels per day, stands as Africa’s largest single-train refinery. It is anticipated to revolutionize Nigeria’s oil and gas sector, diminishing reliance on imported fuel and creating substantial export revenue.
Dangote articulated his vision for the refinery to evolve into an independent entity, solidifying its stature as a major player in the global oil and gas industry.
The listing on the NGX is expected to attract a diverse array of investors, both domestic and international. This move is projected to enhance the liquidity of the Nigerian stock market, elevating its status as a regional investment hub.
Dangote confirmed the refinery’s startup in December 2023, targeting an initial output of 350,000 barrels per day. He revealed that a deal had been sealed for the first cargo, comprising approximately 6 million barrels of crude, scheduled for delivery in December 2023.
“We are starting with 350,000 barrels a day. The challenges that we faced, I don’t know whether other people can face these challenges and even survive. It is either we sink, or we sail through. And we thank Almighty that at least we have arrived at the destination,” remarked Dangote.
Expressing confidence, Dangote affirmed his belief in the refinery’s capacity to achieve its maximum output of 650,000 barrels per day by the end of 2024. He emphasized the uniqueness of the project, asserting that such endeavors are unlikely to emerge in Nigeria for the next two decades. The visionary leader emphasized that the project was undertaken not for applause but for the sake of posterity.
