Nigerian industrialist, Aliko Dangote, has shared a pivotal insight gained from his endeavor to establish Africa’s largest refinery.
After a wait spanning over eight years, the Dangote Refinery has finally been completed, with diesel production already underway.
Situated at the expansive Lekki Free Zone outside Lagos, Nigeria, the refinery commenced operations in May 2023 and is poised to produce 650,000 barrels per day once fully operational.
Spanning an area equivalent to 4,000 football fields, this $19 billion investment has encountered significant hurdles.
Dangote disclosed that a major lesson learned was the existence of a powerful cartel that wields considerable influence over Africa’s oil industry.
This entrenched cartel, operating for decades, has hindered efforts to establish local refineries and instead favored oil imports into the continent.
Speaking at the 31st Afreximbank Annual Meetings in the Bahamas, Dangote remarked candidly, “I knew there would be a fight, but I didn’t know that the mafia in the oil industry was stronger than the mafia in the drugs industry.
“I can tell you this for a fact because I knew they [oil industry mafia] existed, but not as strong as the way I have faced them. They are very strong. There’s a local one, a global one, and it’s all mixed up,” Dangote shared as the crowd burst into laughter.
Acknowledging the challenges faced, Dangote noted, “all my life, I have been fighting for what I believe, so I think it’s part of my life to fight for things I believe in.”
Despite these obstacles, Dangote reaffirmed his commitment to the project, stating, “We will win because the population and the government will be on our side because what we are doing is right.”
Oil cartels, akin to drug cartels in their operational tactics, collaborate among oil-producing nations and companies to exert control over global oil production, pricing, and distribution.