Dangote: Nigeria Will Cut Fuel Importation by 2016

Africa’s richest man and President of Dangote Industries Limited (DIL), Alhaji Aliko Dangote

Africa’s richest man and President of Dangote Industries Limited (DIL), Alhaji Aliko Dangote, yesterday promised to reduce by 50 per cent the importation of refined petroleum products for local consumption by 2016.

This he hinged on the takeoff of his refinery, petrochemical and fertilizer complex in Nigeria, which will be financed with a $3.3 billion credit facility from a consortium of banks. Dangote and the banks yesterday signed the agreement for the project, which is expected to be Africa’s largest refinery, petrochemicals and fertilizer manufacturing complex.

Guaranty Trust Bank Plc (GTBank) and Standard Chartered Bank led nine other banks for the $3.3 billion syndicated facility. GTBank was the local coordinator, while Standard Chartered Bank was the global coordinator for the deal.

The other banks involved in the transaction are Access Bank Plc, Zenith Bank Plc, Ecobank Nigeria Plc, Fidelity Bank Plc, First Bank of Nigeria Limited, Standard Bank of South Africa Limited, United Bank for Africa Plc (UBA), FirstRand Bank, First City Monument Bank Plc and Diamond Bank Plc.

The project, which will cost a total of $9 billion, is expected to create about 9,500 direct and 25,000 indirect jobs, in addition to reducing the current volumes of refined fuel imports by about 50 per cent and effectively stopping the importation of fertilizer.