International Oil Companies Ignore Dangote Refinery, Sell Crude Oil to Others, See Why
Aliko Dangote, chairman of the Dangote Group, said international oil companies are not willing to supply crude to the refinery
He said that despite efforts by the
Nigerian National Petroleum Company Ltd, the IOCs prefer to sell their products abroad He bemoaned the fact that some of the people who profited from the oil Imports were against the refinery’s success
Legit.ng journalist Zainab Iwayemi has over 3-year-experience covering the Economy, Technology, and Capital Market.
International oil companies in Nigeria, according to Aliko Dangote, Chairman of the Dangote Group, are not prepared to supply crude oil to the refinery with a capacity of 650,000 barrels.
Dangote claimed that the multinational oil corporations were accustomed to selling crude for foreign exchange. Photo Credit: Dangote
In a CNN interview, Dangote claimed that the multinational oil corporations were accustomed to selling crude for foreign exchange and were not prepared to cease.
Despite the Nigerian National Petroleum Company Ltd’s best efforts, according to Dangote, the IOCs preferred to sell their products abroad.
“The NNPC is doing its best, but some of the IOCs, they are struggling to give us crude, everybody is used to exporting and nobody wants to stop exporting,” he stated.
Why Africa is slow to grow The business magnate claimed that
Africa’s lack of growth was due to the continent’s sale of raw materials and purchase of completed items by the West.
“Africa is not goingasy it should because we export raw materials and import finished goods. It doesn’t matter what it is, even if it is gold or whatever, raw material is always priced at a ridiculous amount compared to finished goods,” Dangote said.
He lamented that some people who benefited from oil import did not want the refinery to be successful. Refinery made progress
The refinery recently inked a contract to acquire 24 million barrels of crude oil from the US.
Dangote said that the refinery wilwouldt roughly 21 million barrels of crude oil from Nigeria each month and that 21 ships would no longer be used
to import or export crude into Africa.
“If we take all the crudes from Nigeria,
it means we will take 21 million barrels per month and that will also help in terms of reducing the C02 emissions. Dangote disclosed that he would not have opted for a refinery if he had known what it entails. When asked if he had started making money from the refinery, he replied, “We will start making money soon. It is not about making money only, it also gives us a great satisfaction that
we are making Africa great.” Dangote speaks on opening the first
African refinery Legit.ng reported that no refining facility has been created in Africa in the previous 35 years, according to Aliko Dangote, the richest man in Africa and chairman of the 650,000 bpd Dangote Refinery in Lekki, Lagos state, because the continent’s enormous petroleum imports have benefited many.
In a passage taken from an interview with CNN, Dangote stated that even if he had constructed a refinery worth $19 billion, he would have changed his mind if he had realised ahead of time how challenging it would be to build a facility that scale on the continent. He maintained that Africans would need to develop the continent alone and that foreign investments and help would not be able to construct Africa.
