₦airaland Forum

Aliko Dangote, chairman of Dangote Group and Africa’s richest person, is in talks with some of the world’s biggest oil traders to help finance his mega refinery project, Reuters is reporting.

The 650,000 barrel-per-day Dangote Refinery, currently under construction in the Lekki Free Zone, Lagos, is expected to be Africa’s biggest oil refinery upon completion.

In its report, the news agency quoted three sources with direct knowledge of the matter as saying the billionaire businessman has held talks as recently as a month ago with executives from the world’s top two oil traders – Trafigura and Vitol.

But the management of Dangote industries limited denied the talks.

“The company is not in any talks with the aforementioned oil traders to seek a loan to finance our project,” the management of Dangote Industries Ltd said in a statement sent to the news agency.

Trafigura and Vitol also declined to comment on the matter.

The newspaper also quoted sources with direct knowledge to have said the option of raising another $500 million from a trade house or consortium was being actively explored.

The details of a potential loan from a trading firm have not been finalised, but the trader could receive a long-term contract to supply crude and receive cargoes of refined products as repayment.

Construction at the site was said to have been delayed due to COVID-19 outbreaks, hitches in getting materials, two sources with knowledge of the project said.

The project cost was also said to have hit $19 billion from Dangote’s earlier estimates of $12-14 billion.

Quoting industry sources, Reuters said they do not expect any products before the second half of next year.

TheCable had earlier reported that the Nigerian National Petroleum Corporation (NNPC) placed a 20 percent minority equity stake in the Dangote Refinery for $2.76 billion.

Dangote had disclosed that only one-third of the $2.76 billion deal with the NNPC would be paid in cash.

He said the second payment would be through crude sales, and the last payment would be through profits made by the corporation.

The report said Swiss traders like Vitol along with Nigerian firms, have cashed-in for years in gasoline-short Nigeria by supplying mega tenders and being part of lucrative crude-for-fuel swap deals for over a decade.

The Nigerian government owns four refineries but imports refined petroleum products. As a result, scarce forex is spent to ensure that there is no scarcity in the country. Government officials have expressed hopes that the Dangote Refinery being constructed will end the era of petroleum products importation in Nigeria.

https://www.thecable.ng/report-dangote-seeks-loan-for-refinery-as-construction-costs-hit-19bn


Lalasticlala

The rich don't actually use their money to invest. They use their influence.

dareyking:
.

You too .

Ok, I have nothing to say

Somebody tell this mumu, he is wasting his money.

Fast approaching electric innovations will render that nonsense useless.

Him no hire Quantity Surveyor to tellam how far the project go be, Abi na inflation reach him side so?n

goatandyam:
Somebody tell this mumu, he is wasting his money.

Fast approaching electric innovations will render that nonsense useless.

True, my guy.

A man told me Dangote is not a good business man, that he can't stand competition.

He is only enjoying the monopoly that the FG (Fulani Government) have mapped for him.

A good business man should have an hindsight on the future of the kind of business he does or is planning to do.

Oil will be minimally important in the future. Green energy is the future. Otedola had this hindsight that was why he cashed out.

#Wisdom

illmatic101:
You too .

dre11:
https://www.thecable.ng/report-dangote-seeks-loan-for-refinery-as-construction-costs-hit-19bn


Lalasticlala

I pray this project is not abandoned. If FG is wise, invest in modular refineries as being done in Saudi and other saner clime..

Make him tell borrohari,,, he go help am borrow

The richest man that can buy the whole of the south



Our own



North2023

lol
ignorance, why na?!
but bros, Google is ur friend o.
just exposing urself anyhow.
chai![quote author=Blackfire post=105875636][/quote]

Got USD from CBN at a ridiculously concessioned rate, project delivery date have been shifted 3x, Government again intervened by as much as $2.76 billion in cash and feedstock yet, project is still looking at them with corner eyes. analysts are of the view that project will not meet completion even by 2023. A smooth sea never made a skilled sailor. Business monopoly will not help you grow.

In few decades, oil will be a thing of the past

Dangote came out plainly and said he is reallocating his family fortune abroad. What else would you want to know?

MANY African businessmen go into business foremost to launder money outside like foreign businesses have been doing for ages in Africa.

Even in war torn Afghanistan, European and American businesses get all the contracts. So all the trillions spent hardly leave America or Europe.

Dangote is no dummy, nobody invests in a dying industry in the 20s knowing full well that they are not going to get returns.

This is mainly Other People's Money from coconspirator banks to launder money holding a country as collateral.

If you think drug money is the only way to buy your land and properties, think again. This and the next generation will curse you in your rotten graves.

Dangote and your business men and women laugh:

who cares, they are dead!

Forget the hype, dangote is not the richest man in Africa.

Men dey wey get money

Will the refinery ever be completed?

Blackfire:
The richest man that can buy the whole of the south



Our own



North2023

True talk

goatandyam:
Somebody tell this mumu, he is wasting his money.

Fast approaching electric innovations will render that nonsense useless.

The plan is to keep Nigeria in the dark ages through reliance on fossil fuels. After all, you can't run electric cars without electricity. Understand ?

If you go to borrow 1% of that money now with your big business idea they will send you away. Even with your existing business they still won't give u nothing.

Doubleoh7:
Got USD from CBN at a ridiculously concessioned rate, project delivery date have been shifted 3x, Government again intervened by as much as $2.76 billion in cash and feedstock yet, project is still looking at them with corner eyes. analysts are of the view that project will not meet completion even by 2023. A smooth sea never made a skilled sailor. Busines monopoly will not help you grow.

Here is the summary.

I just this thing doesn't turn Dangote into a pauper

Covid 19 lockdown fvcked him up badly

He shouldn't have permitted the fvcking Indians to go back, as if it were to be African workers in India, contract won't change even if they all die

Blackfire:
The richest man that can buy the whole of the south



Our own



North2023

Southern kano u mean... Cos even southern kaduna his money no go reach
Mallam cheap now, with 50k u can buy as many as 1000mallams

Yet some naive Nigerians believe someone taking huge loans in USD currency would be offer cheaper fuel compared to the cost they are paying now.

Na avenue to loot be all this one

Who knows whether it's not the same loans the Terrorist mannequin have been begging for to give Dangote for his private business that we should bankroll

poiZon:
Southern kano u mean... Cos even southern kaduna his money no go reach
Mallam cheap now, with 50k u can buy as many as 1000mallams

lol you just smashed that abokey

Na him skull i dey use plastic kettle pack so

chariisGRACE:


Him no hire Quantity Surveyor to tellam how far the project go be, Abi na inflation reach him side so?n



True, my guy.

A man told me Dangote is not a good business man, that he can't stand competition.

He is only enjoying the monopoly that the FG (Fulani Government) have mapped for him.

A good business man should have an hindsight on the future of the kind of business he does or is planning to do.

Oil will be minimally important in the future. Green energy is the future. Otedola had this hindsight that was why he cashed out.

#Wisdom

Only if you know how much otedola invested into that refinery

Truthissupreme:
lol you just smashed that abokey

Na him skull i dey use plastic kettle pack so

U for allow make those bush dogs feed on am, why mess d poor kettle...

Several Nigerian banks might go down because of this refinery...

He should seek funds from the Nigerian public... some sort of crowdfunding.