Dangote Finally Names Those Frustrating Tinubu’s Oil Sector Reforms, Unveils New Refinery

• President of the Dangote Group, Aliko Dangote, has blamed oil marketers and traders for trying to frustrate Tinubu’s reforms
• The billionaire businessman said cabals in the oil industry include major oil marketers who are determined to frustrate Tinubu’s policies
• Dangote denied reports that he was accusing the NNPC management when he mentioned that oil cartels were trying to frustrate his refinery

Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.

President of the Dangote Group, Aliko Dangote, has accused some oil marketers and traders of trying to frustrate President Bola Tinubu’s economic reforms.

The billionaire businessman disclosed this at the presidential villa after meeting Tinubu on Monday, May 5, 2025.

Dangote names those he was fighting

Dangote cited his recent fights with cabals in the oil sector and said his accusations were not directed at the leadership of the Nigerian National Petroleum Company Limited (NNPC).

According to him, the cabals he referred to were some major oil marketers who tried to frustrate Tinubu’s efforts to reform Nigeria’s economy.

Dangote had said on May 1, 2025, that he was still fighting for the survival of his $20 billion refinery, expressing gratitude to NNPC for their support in addressing the refinery’s needs.

Africa’s richest man said his visit to the President was to commend him for appointing capable hands at the NNPC, specifically, Bayo Ojulari, the new NNPC GCEO, and Ahmadu Kida as non-executive chairman.

Dangote commends Tinubu over NNPC leadership

Dangote said he is confident that the new team at the state oil firm will address the challenges at the NNPC, align with the President’s $1 trillion economy vision and reposition the company for operational excellence and long-term sustainability.

BusinessDay reports that Dangote said the new NNPC management comes with enough expertise and managerial experience to revive the country’s oil sector.

The billionaire highlighted that recent events and structural reforms by NNPC show a renewed emphasis on transparency, efficiency, and accountability.

Dangote said:

“The calibre of individuals at the helm, and their deliberate, reform-driven agenda, demonstrate a commitment to fostering a culture of performance and professionalism,” he added.

IOCs behind refinery’s woes

He expressed optimism about the ability of the new NNPC leadership to transform Nigeria’s oil industry, reaffirming his company’s commitment to supporting the vision of an energy-secure Nigeria.

Legit.ng previously reported that Dangote blamed international oil companies (IOCs) for trying to frustrate his refinery by increasing the crude oil price sold to the plant.

The vice president of Oil and Gas at Dangote Industries, Edwin Devakumar, disclosed that the IOCs preferred selling their crude in the international market rather than to local refiners.

Dangote Refinery scaling roadblocks

Aliko Dangote's $19 billion refinery was envisioned as a major turning point for Nigeria’s petroleum industry, yet its path to operation was fraught with obstacles.

Initially, the Nigerian National Petroleum Company (NNPC) expressed reluctance to supply crude to the refinery, prioritising its own ageing and inefficient refineries.

Prolonged negotiations ensued as the NNPC pushed for supply and pricing terms that delayed the refinery’s start-up.

Additional roadblocks emerged from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), where regulatory challenges, licensing delays, and compliance issues further hampered progress.

Farouk Ahmed, the head of NMDPRA, even raised concerns, claiming that locally refined products, including those from Dangote’s facility, were inferior to imported alternatives.

Meanwhile, fuel marketers voiced fears that the refinery's dominance in the market could destabilise the existing distribution network, adding to the contention.

Despite these hurdles, the Dangote Refinery eventually commenced operations, significantly reshaping Nigeria's fuel landscape.

The country, once heavily reliant on imported refined products, has seen a reduction in foreign exchange outflow for fuel imports.

Domestic fuel shortages have eased, and the local industry has gained from a more stable petroleum supply.

The refinery, now refining over 300,000 barrels per day, has moved Nigeria closer to energy self-sufficiency while creating thousands of jobs and stimulating economic growth.

Dangote moves to launch sugar refinery in Ghana

Legit.ng earlier reported that Nigerian billionaire Dangote has unveiled plans to build a massive sugar refinery in Ghana.

The project would curb the country's reliance on sugar imports and boost local agro-industrial capacity.

Dangote disclosed this in a LinkedIn post, stating that the new Dangote Sugar Refinery will be located in Kwame-Danso, Bono Region, and will become a cornerstone of the West African country’s industrial transformation.

The article was updated with additional information by the head of the business desk, Victor Enengedi.

Proofreading by Kola Muhammed, copy editor at Legit.ng.

Source: Legit.ng