Aliko Dangote, Africa’s wealthiest individual and chairman of the Dangote Group, has raised concerns over Nigeria’s investment environment, describing it as unsuitable for potential buyers of the Nigerian National Petroleum Corporation (NNPC) Limited’s refineries.
Speaking at a press briefing in Lagos on Sunday, Dangote expressed skepticism that anyone would be willing to invest in the country’s refinery sector, even if the government were to offer the facilities for sale. According to him, the prevailing operating and regulatory conditions make the sector unattractive to investors.
“The reality is that no investor would be willing to step into this kind of project. Even if NNPC decided to sell its refineries today, there would likely be no takers. The environment simply does not support such investments,” Dangote said.
He also criticized past policy decisions, particularly during the administration of former President Muhammadu Buhari. Dangote highlighted a significant regulatory misstep, pointing out that appointing a trader as the regulator in the oil sector created a misalignment that hindered effective oversight and discouraged investor confidence.
“During the last administration, a fundamental error was made by placing a trader in a regulatory position. Traders are not suited to be regulators, and this mismatch has had lasting consequences,” Dangote remarked.
The industrialist further emphasized that the current challenges in Nigeria’s refinery sector have resulted in a difficult investment climate, deterring both domestic and international investors. “The crisis we are experiencing stems from these structural issues, and what concerns me the most is the high cost the country is paying as a result,” he added.
Nigeria’s refineries, located in Port Harcourt, Warri, and Kaduna, have a combined processing capacity of 445,000 barrels per day (bpd). Despite their strategic importance, these facilities continue to struggle with underperformance, reinforcing Dangote’s concerns about the sector’s attractiveness to investors.
If you want, I can also create an even more expanded, in-depth version that adds context about Nigeria’s oil sector, Dangote’s own refinery operations, and potential solutions to attract investors. This could make it more feature-article style. Do you want me to do that?
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