Dangote sees oil refinery transforming Nigeria into a regional hub

30 May Dangote sees oil refinery transforming Nigeria into a regional hub

The president and chief executive officer (CEO) of Dangote Group, Aliko Dangote, has said his oil refinery will promote Nigeria’s prospects of transforming into a regional refining hub.

Dangote, according to a statement issued on Sunday by Tony Chiejina, chief corporate communications officer of the Group, called on the government to ensure a single-digit tax regime to encourage investment in the downstream sector.

He said the refinery being constructed in Ibeju-Lekki, Lagos, would guarantee the availability of high-quality, environmentally compliant products in Nigeria, regional markets in West Africa, Southern Africa, and inter-continental markets.

According to him, the refinery would also promote competition for local refining in Africa by encouraging existing large refineries to upscale, which would result in surplus products for exports.

“Dangote Petroleum Refinery will guarantee adequate fuel production for domestic consumption and availability of excess products for export which will help to stabilise our domestic currency,” he said.

“It will lead to upgrading and expansion of the Nigerian National Petroleum Company Ltd. refineries and promotion of prospects of Nigeria’s transformation to a regional refining hub.”

Dangote emphasised the need for the federal government to invest more in quality infrastructure to reduce the importation of refinery equipment that would ordinarily be sourced in Nigeria.

He said the development of specific, sustainable equipment manufacturing and services should be the focus of the Nigerian Content Development and Monitoring Board (NCDMB).

“Funding of a project should be to ensure that a substantial part of the product’s plant must be of Nigerian origin; the same applies to goods and services,” he added.