₦airaland Forum

Wisdomkosi:
Source : https://politicsnigeria.com/dangote-end-of-the-road-for-a-monopolist-by-soji-adekunmbi/

Wisdomkosi:
Source : https://politicsnigeria.com/dangote-end-of-the-road-for-a-monopolist-by-soji-adekunmbi/

maasoap:
You guys should stop limping all people from a particular tribe, religion or political parties together. It is a silly mentality

Babangidapikin:
You just dey write wetin we no understand ...Clumsy write up... Lagos GDP has risen due to the investments attracted by that refinery ...not to talk of the Valuation of the exchange when he list in the market ... Chochocho with incorrect Topic. Ask the writer to show us what he has contributed to the Nigeria economy.

Bizibi:
I just went through the findings of the Malta blending plant and if truly the plant belong to the tinubu family then nothing will happen to nnpc management. Fuel imports from Malta to Nigeria Rose to 2b dollars last year and fingers are pointing to the tinubu family. If Nigeria government is still paying secret subsidy then this fight between dangote and NNPCL is not over.

Freestar:
Lol. You are indeed naive if you think Tinubu is interested in anybody else but himself.

It really goes to show how self deluded you folks supporting Tinubu are.

The article below has been flying around online for sometime now. You must not have seen it.

Read and be informed:

Copied.

When I saw the Malta 🇲🇹 NNPC comment by Dangote, I suspected there was more to it. Our group decided to investigate further.

Our discovery was deeply shocking.



Firstly I will breakdown the whole Oil theft process and how Oil exporting and importing business works here in Nigeria .
NNPC grants importation licenses to a select group of oil companies, which are responsible for importing petroleum products into the country. These companies set the prices for petroleum products, and the media often refer to them as "oil marketers."

We’ve another set responsible for exporting/selling unrefined petroleum products both locally nd internationally. NNPC nd few partner companies plays a major role in this sector, along with high-ranking govt officials, military leaders, and politicians who are involved in oil theft.

To better understand this thread I will briefly explain how oil exportation and importation works in Nigeria.

Please note every point I will list, you will need them as reference as we progress, very important.

1. Extraction: Oil is extracted from the ground using drilling rigs.

2. Processing: The crude oil is exported(internationally) to refineries where it is processed into refined products

3. Transportation: The processed oil are transported from the refinery to storage tanks, blending facilities, and ports, typically via pipelines or ships.

4. Export: At the port, the oil is loaded onto tankers or other vessels and shipped to Nigeria and other countries

5. Sale: The oil is sold to buyers in Nigeria at a price set by the importer (oil marketer). The government subsidizes a significant portion of the oil price to make it more affordable for citizens, a practice known as fuel subsidy.

Now let’s link the list together.

Recently, Oando PLC announced the approval to acquire 100% of Nigerian Agip Oil Company. This effectively means that the Tinubu family now owns Agip Oil, which is part of Eni S.P.A., an Italian multinational oil and gas company.

Agip Oil operates 17 onshore oil blocks and produces 11 million barrels of oil and condensates annually, and it also manages the Bonny natural gas liquefaction plant.

One might wonder why such a successful company would divest 100% of such a critical asset.

Observing similar situations, like the case with Dangote, suggests that this sale was not made lightly.

Now, these crucial oil fields and plants in Nigeria are under the control of Tinubu through Oando PLC which is Tinubu’s family owned not even NNPC.

Stay with me please.

Continuing, with their control over substantial oil reserves in the Niger Delta and the ability to explore further through Agip Oil, their next step is refining.

Instead of building a refinery in Nigeria, they opted to construct one in Malta 🇲🇹.
This move allows them to exploit the country's resources and obscure their activities.

In early 2021, Enemed Co Ltd, the leading fuel supplier in Malta, issued a tender for the leasing of storage tanks and a blending facility at the Ras Hanzir Oil Terminal in Malta.

Ras Hanzir Oil Terminal Limited won the bidding. It is owned and operated by the Tinubu family, with Wale Tinubu, who is also the chairman of Oando PLC, serving as its chairman along with other members of the Tinubu family and their associates.

The company has already established a functioning refinery in Malta, they have now acquired the storage tanks and blending facility oil terminals, which were recently exposed to the public.

Stay with me please.

After Tinubu was sworn in as president, his first major move was to announce the removal of fuel subsidy, while the government continued to pay in secret, allowing him to increase petroleum product prices. This move was designed to benefit his own monopoly.

With the recent forced acquisition of Agip Oil by Oando PLC, Tinubu as an individual has become the largest oil exporter, explorer, and marketer in the whole country, second only to NNPC.

Here’s the pattern: Tinubu, through NNPC, will sell Nigeria’s oil to himself at a low price via his company in Malta. He will also explore, extract and export oil using his newly acquired Agip Oil Company, which operates across the Niger Delta states of Ondo, Edo, Delta, Bayelsa,
Rivers, Imo, Abia, Akwa Ibom, and Cross River.

Tinubu will then buy back the refined oil from his company in Malta through NNPC and as an oil marketer via one of his companies OVH Energy(Oando) at a higher price and export them back to Nigeria.
The refined oil is sold to the Nigerian public at a high price, while the subsidy, although officially removed, is still being paid secretly. Essentially, Tinubu is paying himself subsidy.‼️


This scheme is an extraordinary level of financial exploitation

Even after he leaves office, and Nigeria remains without a refinery which he will make sure of, his Oil Monopoly over the country will remain standing. As if that is not enough, the govt will still pay him for subsidy!

He sold Over 2 Billion Dollars worth of petroleum products to Nigeria through the Malta refinery just in 2023 alone, that’s an example of what the future of Nigeria Oil importation will look like

That’s why he will fight the Dangote refinery with everything he has because if it becomes operational, his multi-trillion-Naira oil monopoly enterprise will collapse.

FreeStuffsNG:
Go and read the article again. Slowly read that part that states that marketers import from overseas and sell in naira in Nigeria. So he has the option of using the local marketers on the fair terms they claimed he is giving to IOCs loading products from him.

Diesel has been completely deregulated so FG gives no subsidy on diesel. Wetin now concern FG? I have suggested a way for him to have more money to run the business since that seems to be a problem for this business, please suggest your own too instead of being uncouth.

EdgeUp:
Dangote being a brutal capitalist aside, NNPC is just a cesspit of corruption.

Tinubu will show Nigerians that he means well for the country if he fires the entire first (C-Suite) and second level management team of NNPC and order for their investigation as well.

That is one of the things that can be done to redeem the current socio-economic quagmire

SIRTee15:
So according to the writer, it's better for FG to be subsidising fuel from foreign countries than fuel produced locally
Whether we like it or not, FG will continue to subside fuel for a very long time to come.
If the writer believes it's better for the cash crunch FG to send our money abroad, then I won't blame people who insults Yoruba people as elenu meji.

NaughtyBrainiac:
I don't trust any of the parties. I admire Dangote a lot but Baba is just fighting for his own interest. Dangote has not helped my life or the life of an average Nigerian in anyway. He should stop sounding like he is doing the Nigerian populace a favour.

That statement he made about his friend advising him not to invest in Nigeria infuriates me till today. Dangote of all people, he is one of the biggest beneficiaries in this Nigeria. Nigeria has favoured Dangote more than Nigeria has favoured Nigeria herself. He no favour Baba one time, Baba begin dey use emotional blackmail.

All of them should meet and find ways to resolve whatever issues they have. My own is that I want their resolution to benefit average Nigerians.

eagleu:
I can't stop laughing when you said Tinubu means well for Nigeria.
Buhari meant well, though criminally for his Fulani people alone, but Tinubu?
He means well for himself ONLY. Unfortunately, he found the formula to confuse Yorubas that he meant well for them.
No love for Dangote for his past monopolistic tendencies and corrupt practices under Buhari and OBJ, but this refinery issue has exposed a lot already.
How did Tinubu collect $100 million from Dangote for the land in Lagos?
How did a company controlled by Tinubu family members get involved in a refining company in Malta?
How did the Malta company's products saturate Nigeria markets and make it impossible to refine oil in Nigeria?
When will Tinubu's OANDO take over Dangote's hard earned refinery on a pretext
Note, Tinubu's oil company has already taken over Agip and other international companies.

What did they say? When a fox is made in charge of guarding the chickens?

The genius of Tinubu is that the average Yoruba thinks that he will benefit from these illegal activities.

JetStar:
Before you fall for the narrative that Dangote is trying to promote through the media I just want you to take a look at the facts. No European refineries will close simply because of Dangote. Case in point let's look at European airspace and Nigerian Airspace. When you see the map on flight radars you will see a lot of planes on the European Airspace but very few on Nigerian Airspace. What powers the planes? Oil. When you look at other industries like power and manufacturing etc. and compare it to Europe the difference is very big. Keep in mind Europeans have constant electricity, Nigerians don't. Don't let anyone decide us that European refineries will close because of a very small oil market like Nigeria.

Odin13:
Total gibberish from a ewedu soul

Nigerians are not fooled.. maybe Yoruba people .

Nigerians .. no!

Explain Tinubu and Agip and sup in Malta

Not dangote..

Yoruba people keep changing narratives and pushing theirs like say Nigerians are Yoruba people

Silly post

Next!

Odin13:
Total gibberish from a ewedu soul

Nigerians are not fooled.. maybe Yoruba people .

Nigerians .. no!

Explain Tinubu and Agip and sup in Malta

Not dangote..

Yoruba people keep changing narratives and pushing theirs like say Nigerians are Yoruba people

Silly post

Next!

Odin13:
Total gibberish from a ewedu soul

Nigerians are not fooled.. maybe Yoruba people .

Nigerians .. no!

Explain Tinubu and Agip and sup in Malta Thank you my broda. Ewedu suckers constitute
the largest number of workers there.

Not dangote..

Yoruba people keep changing narratives and pushing theirs like say Nigerians are Yoruba people

Silly post

Next!

OPICANTO2223:
Dangote is not a saint either. His plan is to monopolize and squeeze harder. Both of them is battling it out

Wisdomkosi:
Source : https://politicsnigeria.com/dangote-end-of-the-road-for-a-monopolist-by-soji-adekunmbi/

OPICANTO2223:
Wisdom in display. Dangote dangote dangote really monopolized this nation through government but currently he is sweating because Tinubu want create a level play ground for all investors.

budaatum:
I do agree with this part. I also think NNPC should be sold to us Nigerians too. And no, I don't mean to the rich and wealthy alone. Say like 10% of the shares should be allocated to every living Nigerian with provision we can't sell for 10 years. Our vested interest might make us force NNPC to operate better.

bdon123:
Oil cabals in nigeria are fighting back.Im everything u mentioned,u didnt touch on why upstream regulator accused DR of producing low quality diesel wit 1500 sulphur.
Look mr man,i hav been in oil and gas for over 12years plus i hav msc in oil and gas management....u writeup is garbage n an attempt to twist d truth.most petrol n diesel imported into naija market are rejected grade no allowed in europe.

Hogwarthtrades:
Dangote refinery is expected to be listed on NSE (Nigeria) and possibly LSE (London) vs NYSE (source is unreliable) sometime next year. The earliest time being Q2 2025 . 10% allocation is very unlikely to work. Instead, the respective sub-regional government i.e state and local government should allocate a percentage (maybe 2-5%) of their monthly FAAC allocation to purchase shares when it gets listed. SO dividend and capital appreciation can be used as the respective sub-regional government sovereign wealth fund for infrastructural development Same should go for the general public.

NNPCL is expected to be listed as well. sub regional government should allocate some funds for acquisition of shares as well. like you rightly said, NNPCL may be a thorn in the flesh of the president if he doesn't cleanse it once and for all like he did with Emefiele's CBN.

** To avoid knee-jerk reaction, start investigation of the oil upstream and downstream regulators as well as NNPC. Work hand-in -glove with the report of the senate adhoc committee report in about 2-3 weeks , this will be a base to get EFCC to work. \

**replace the heads and subordinates of the regulatory agencies and NNPC found as accomplice in mismanagement or illegality. As for Civil servants accomplice, Nigerian Civil service commission will be needed to ratify any termination of those found guilty and hand them over for further prosecution.

** Anything short of the AGF prosecuting for Death penalty or life imprisonment of the offenders means we are not ready to move forward

If i was a civil servant in NNPC, Whistle blowing in this three institution (NNPC, upstream and downstream regulatory ) is enough as my side hustle to root out the illegality going on there. 1 or 2 Ethical hackers will do the online crawling while i do the manual labour. FG go tire to pay me Ransom Downside: You may not be residing in Nigeria for the rest of your life though.

TEYA:
With absolutely no remorse, I must say this is a very stupid take! I am not a Dangote fan and even when he was having squabbles with BUA, I took the side of BUA and yes, you may accuse Dangote of trying to kick BUA out of the cement business to enjoy a monopoly but how can you even bring the issue of monopoly into this issue of petroleum refining? Monopoly against who? Marketers? How many refineries do they have in Nigeria to regard themselves as competitors against Dangote? For the records, Dangote refinery, upon completion will have a refining capacity of 650,000 barrels a day., the 3 NNPC refineries have a combined capacity of 445,000 barrels a day and is not even operating at up to a quarter of that capacity today. Did the clown responsible for the silly post here even for a second consider what effect that will have on the Nigerian Job market? I mean does he care how many jobs the new refinery will create? How can these marketers even be considered as Dangote's competitors? Which sane country will destroy an indigenous refinery so as to give a competitive edge to importers of a product which can be produced from a raw material that can be locally sourced? Kai Nigeria? How can that be justified? Nigeria! the wicked mother that eats her babies!

flokii:
Setting up a business in a Free Zone is a different ball game entirely from producing locally.. Free Zones are exempted from all the necessary checks, regulations, taxes, fines, etc. from the Government of Nigeria unlike those outside the Free Zones (within Nigerian Customs territory).
Don't worry, let Mobil complete their refinery, then you'd understand the difference in classification.

As it stands now, we consider petroleum products coming from Dangote Refinery as imported products that attract import duty and levy, unless the Customs guys decide to do otherwise

CorrectionFLuid:
Find the GDP for past periods, and the GDP of this one. Then divide it by the dollar rate of each period to actually determine if the GDP actually rose, or dropped.

For example 18k minimum wage in 2014 is about $83, but 70k minimum wage now is about $42.

Note our economy is practically dollar denominated. So it's appropriate to do this.

Omalicious1:
After reading this, I ask "Is NNPC government owned or private owned?"

OkCornel:
What narrative?

Why are the government owned refineries not working despite spending over $40 billion on maintenance since 1999? But Dangote is the monopolist and the only private owned refinery in Nigeria abi?

Una well done.

Gboss247:
That the question APC supporters keep avoiding. The Petroleum Industry Acts (PIA) was supposed to commercialized NNPC by removing the last subsidy (petrol) by June 30th, 2023 which Tinubu removed on 29th May 2023 and continue paying subsidy through the back door. This commercialization was supposed to reduce government stakes in NNPC and increase private investors stakes but right now, NNPC is 50% CBN and 50% Federal Ministry of Finance making it 100% government owned yet parading itself as a private company (NNPCL).