Project General Description
This operation is a loan of USD 300 million to Dangote Industries Limited (DIL) for the construction and operation of a new greenfield crude oil refinery and a greenfield fertilizer manufacturing plant. The Dangote Group was established in the late 1970s and started with importing sugar, milk, flour, fish, rice, cement and iron rods. The Group is now a diversified conglomerate with business interests in cement, sugar, salt, port operations, packaging material production and real estate. This project, which has a great potential for transformation, is aligned with the Ten-Year Strategy. In particular, it will complement the bank’s ongoing effort to support the federal government for the implementation of the Agriculture Transformation Agenda (ATA). This project demonstrates the role that the Bank should play in supporting the emergence of African entrepreneurship.
The project would allow Nigeria, which currently relies on imported petroleum products and fertiliser, to progressively become self-sufficient and transformed into a major exporter while supporting job creation. It is also expected to add value to local natural resources, double the country’s refining capacity and reduce the current imports of fuel into Nigeria by about 80 per cent, contributing a large share to the Gross Domestic Product and accounts for the country’s revenue and foreign exchange earnings.
The project will primarily benefit the Dangote Group, the Federal Government of Nigeria, and ultimately the people of the country.