Refinery: “If We Knew What We Were Getting Into, We Wouldn’t Have Tried It” – Dangote

In a candid interview on CNN’s “Connecting Africa,” Aliko Dangote, President and CEO of Dangote Industries Limited, and Africa’s richest man, revealed the immense challenges faced in constructing the world’s largest single-train refinery. Reflecting on the project, Dangote admitted, “If we knew what we were getting into, we wouldn’t have tried it. It was very, very tough.”

The Dangote Refinery, located in Ibeju-Lekki, Lagos, spans 2,635 hectares and boasts a capacity of 650,000 barrels per day, making it the largest in the world. The project began in 2016 and has involved massive infrastructure, including 126 km of roads, 54,000 storm columns, and over 200 buildings. At its peak, the construction site employed over 70,000 workers.

Dangote detailed the logistical feats accomplished, such as drilling 700 piles daily to a total of 250,000 piles, and constructing 177 tanks with a 4.742 billion-litre capacity. To overcome local capacity limitations, Dangote imported 2,262 high-duty equipment units and 308 cranes, including one of only two 5,000-ton capacity cranes in the world. Additionally, 65 million cubic meters of sand were dredged at a cost of 300 million euros to raise the site’s height, mitigating the impact of rising sea levels due to global warming.

The refinery, with its 435 MW power plant, can meet the total power requirement of Ibadan DisCo, covering five states. It is designed to fulfill Nigeria’s entire demand for refined petroleum products and even has surplus for export. “We spent about $19 billion on this refinery. It’s going to change the game in terms of environmental improvement and economic self-sufficiency in West and Central Africa,” Dangote emphasized.

Looking forward, Dangote expressed optimism about the African Continental Free Trade Area (AfCFTA) agreement, which he believes could significantly boost intra-African trade. However, he voiced concerns about current trade barriers, such as visa restrictions, which hamper seamless business operations across the continent.

During a recent visit by the Nigerian Senate leadership, Dangote addressed the pressing question of when Premium Motor Spirit (PMS) would start flowing from the refinery. He assured that PMS would be ready for the market by the third week of July, following thorough testing and quality assurance processes.

Dangote also shared insights from the Afreximbank Annual Meetings, comparing the oil cartel’s resistance to that of a formidable mafia. Despite these challenges, he remains undeterred, stating, “I’ve been fighting battles all my life, so I don’t get scared of anything.” He revealed that he has already paid off $2.4 billion of the $5.5 billion borrowed for the refinery.

In conclusion, Dangote’s resilience and vision have not only brought the refinery to fruition but also set a precedent for industrial achievements in Africa. As the refinery begins operations, it promises to drive economic growth, environmental benefits, and regional trade integration.