Dangote Plans to Build Nigeria’s Largest Seaport in Ogun State to Boost Exports

• Aliko Dangote submitted plans to build Nigeria's largest and deepest port at the Olokola Free Trade Zone to ease congestion at Lagos ports and improve logistics for his businesses
• The Olokola port project, which was delayed for years due to regulatory and legal challenges, has been revitalized by the Nigerian government and Ogun State
• Dangote continues to spearhead major infrastructure projects, including a $20 billion refinery and a $3 billion fertilizer plant, that aim to boost Nigeria's energy independence

Legit.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.

In an effort to boost exports and sustain his growing industrial empire, Africa's richest man, Aliko Dangote, the founder and chairman of the Dangote Group, has submitted plans to build a new seaport close to Lagos.

The Olokola project, which is positioned to become Nigeria's largest seaport, intends to speed up commercial flows for West Africa and ease congestion at Lagos ports.

Olokola Port to boost trade efficiency

After making the announcement in March, Dangote submitted his application in late June to construct the biggest and deepest port in Ogun State's Olokola Free Trade Zone (OKFTZ).

“This will be the biggest, deepest port in Nigeria,” Dangote said in a recent interview in Lagos, confirming that regulatory filings were submitted.

According to Billionaires.africa, new infrastructure would improve logistics for Dangote's oil refinery and fertilizer businesses, including anticipated LNG exports. The port will compete with other Nigerian marine infrastructure, such as the 2023 opening of the Chinese-backed Lekki Deep Sea Port.

Due to regulatory obstacles, infrastructure deficiencies, and legal issues, the Olokola Free Trade Zone seaport project was delayed for years. But the project has been given fresh life by Nigeria's federal government and Ogun State Governor Dapo Abiodun.

“We had abandoned our vision for Olokola, but with investor-friendly policies, we are back on track,” Dangote told reporters in Lagos. Construction is expected to start soon, signaling a major step in Nigeria’s drive to upgrade port capacity and logistics.

Nigeria’s energy independence

Nigeria's energy industry is undergoing a gradual transformation because to Dangote's $20 billion refinery in the Lekki Free Zone, which was put into service in 2023.

The facility was processing about 350,000 barrels of crude oil per day when operations started in the middle of 2024. With intentions to reach its full capacity of 650,000 barrels per day, that number has been increased to 550,000 barrels.

The refinery plans to use only Nigerian crude by the end of 2025. A significant step in enhancing the nation's energy independence and relieving pressure on its foreign reserves, this change is anticipated to decrease fuel imports while promoting increased domestic oil output.

Aliko Dangote begins another $400m project

Legit.ng reported that Africa’s richest man, Aliko Dangote, has announced a $400 million expansion of the Mugher cement plant in Ethiopia, doubling its annual production capacity to 5 million tons.

The investment comes shortly after the completion of his multibillion-dollar refinery project in Nigeria.

Bloomberg reports that the Mugher plant, which began operations in 2015 with an initial capacity of 2.5 million tons per year, has faced challenges, including regional unrest that led to attacks on company property.

Source: Legit.ng