Dangote Group Seeks $3.5 Billion Loan to Build RefineryDulue Mbachu
Dangote Group, owner of the company with Nigeria’s biggest market value, is seeking a $3.5 billion loan to fund projects including an oil refinery
“We need constant funding from one successful project to another, a very good funding mechanism,” Vice President Sani Dangote said today in an interview from the capital, Abuja. “The loan will be for the refinery and other projects.”
Nigeria, Africa’s top oil producer, relies on fuel imports to meet more than 70 percent of domestic needs, according to the Petroleum Ministry. Four state refineries with a combined daily capacity of 445,000 barrels of oil are operating at a fraction of that because of poor maintenance and aging equipment.
Dangote plans to build a refinery in Nigeria’s southwest with a capacity of 400,000 barrels of crude oil a day, he said.
“It’s going to take a while,” the vice president said by phone. “We’re still looking at the supply chain.”
The group owns Dangote Cement Plc, the country’s biggest company by market value, Dangote Sugar Refinery Plc, Dangote Industries Ltd. and Dangote Oil Services Ltd.