We’ve repaid $2.4bn of $5.5bn Refinery debt – Dangote

Aliko Dangote, the chairman of the Dangote Group, disclosed that the company had repaid $2.4 billion of the $5.5 billion loan it obtained to build the $19 billion, 650,000 barrels per day refinery.

Dangote stated that the refinery would serve as Nigeria’s strategic reserve while speaking on Wednesday at the Afreximbank Annual Meetings in Nassau, the Bahamas.

Dangote stated, “We borrowed the money based on our balance sheet,” as this day newspaper reported. We borrowed, I believe, somewhat more than $5.5 billion. However, we also had to pay a lot of interest as we went along since there wasn’t enough land for the project, and the sand-filling process took a long time. For around five years, we took no action.

“We started in 2018. We borrowed that much. We have, of course, paid interest and some principal, about $2.4bn. We’ve done very well. We now have only about $2.7bn left to be paid. So we’ve done very well for a project of that magnitude.”

The richest man in Africa said that strong oil cartels attempted to sabotage his refinery project.

“Well, I was aware that a brawl would break out. However, I was unaware that the mafia in oil possesses greater power than the mafia in drugs. That’s something I can confirm. Indeed, it is true,” he said.

Remember that owing to difficulties, Dangote Refinery had to reschedule the start of the Premium Motor Spirit (fuel) supply from June 2024 to July 10-15.

The refinery was put into service in May of last year, and months later, in April, it started to deliver aviation fuel and diesel.