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Justina Otio
Guest
The President of Dangote Group, Aliko Dangote has advised the Federal Government to put an end to all crude oil for loan deals.
He stated this on Wednesday at the ongoing Crude Oil Refinery-owners Association of Nigeria Summit in Lagos.
The Nigerian billionaire, who was represented by the Executive Director of Dangote Group, Engr Mansur Ahmed said the country must refrain from mortgaging its future wealth through crude-for-loan deals.
“To ensure sufficient feedstock availability, we will need to stop mortgaging crude. It is unfortunate that while countries like Norway are putting oil proceeds into a future fund through their national wealth funds, in Africa, we are spending oil proceeds from the future today,” he stated.
In June 2024, African Export-Import Bank, Afreximbank disbursed a total of $3,175 billion to the Nigerian government, of a $3.3 billion crude-for-loan syndicated facility through the Nigerian National Petroleum Company Limited (NNPCL).
Dangote Speaks On Building $20 Billion Refinery, Says It Was Done Without Govt Funding
Meanwhile, Dangote has stated that his 650,000 barrels per day capacity refinery was built without a single penny from the Nigeria government.
The President of Dangote Group stated this at the ongoing Crude Oil Refinery Owners Association of Nigeria Summit in Lagos.
Dangote, who was represented by the Executive Director, Dangote Group, Engr Mansur Ahmed, said it is worth noting that the Dangote Refinery already produces sufficient diesel and jet fuel to meet Nigeria’s demand.
Naija News reports that the $20 billion refinery came on stream on January 12, 2024, with a refining capacity of 300,000 barrels but increased to 400,000 barrels by the end of September 2024.
On September 15, the refinery began distribution of its petrol with the Nigerian National Petroleum Company Limited as the sole off-taker.
Dangote said despite being the largest producer of crude oil in Africa, Nigeria has for decades largely depended on imports to meet its refined petroleum product needs.
The post We Must Stop Mortgaging Crude Oil – Dangote To FG appeared first on Naija News.