Forex: Dangote Group projects $30bn revenue to boost value of the Naira –Aliko Dangote

*Aliko Dangote, President/Chief Executive of Dangote Industries Limited, says the projected $30 billion inflow of Foreign Exchange into Nigeria through his businesses will boost the value of the Naira in the comity of international currencies

Isola Moses | ConsumerConnect

The aim of Dangote Group is to become the leading supplier of Foreign Exchange in the Forex market, as the conglomerate targets $30 billion in revenues by the year 2025.

Alhaji Aliko Dangote, President/Chief Executive of Dangote Industries Limited (DIL), stated this Sunday, July 14, 2024, during a tour of the Dangote Petroleum Refinery & Petrochemicals and Dangote Fertiliser Limited, at Ibeju-Lekki, in Lagos State, with media executives

Dangote disclosed the plan is to attain independence from the Central Bank of Nigeria (CBN) in Forex sourcing.

The President of DIL also, highlighted a strategic shift in revenue composition within the cement business from the current 75 percent to 15 percent in the future.

He equally said that the projected significant inflow of Forex into Nigeria through his businesses, would automatically boost the value of the Naira, Nigerian currency, to regain its value in the comity of international currencies.

ConsumerConnect reports the Dangote Petroleum Refinery began full operations in 2024, initially focusing on refining intermediate products such as polypropylene, naphtha, RCO, gasoline, diesel, and jet fuel.

Dangote also explained that the refinery entered its steady-state production phase March this year.

The DIL Chief Executive anticipates production ramping up to 500,000 barrels per day (bpd) with 15 crude cargoes per month by August, increasing to 550,000 bpd by the end of the year, and aiming for 650,000 bpd by the first quarter of 2025.

He further assured Nigerian energy consumers that “petrol production is to commence in July with sales from August.”

The Dangote Group, he disclosed, intends to list both Dangote Petroleum Refinery & Petrochemicals and Dangote Fertilizer Limited on the Nigerian Exchange (NGX) Group in the First Quarter (Q1) of 2025.

According to him, this initiative will enable Nigerians to participate in the ownership of these companies.

He said: “Due to the nature of our business with both the refinery and the fertilizer, we are aiming to list them by the end of this year.

“However, depending on circumstances, worst-case scenario, we anticipate listing them before the end of the first quarter of next year.

“This will allow us to offer shares for sale and enable Nigerians to participate as shareholders.”

The Dangote Refinery, which will process 650,000 barrels per day (BPD) at full capacity, stands as Africa’s largest oil refinery and the world’s largest single-train facility, while the Dangote Fertiliser Limited operates Africa’s largest Granulated Urea Fertilizer complex.

The Group stated that the Dangote Cement is currently Nigeria’s most capitalised company.

Noting that the total storage capacity of the refinery is 4.5 billion litres, sufficient to cover 20 days of Nigeria’s crude requirement and store products equivalent to 15 days of Nigeria’s petrol consumption, Dangote further stressed that the refinery would produce 53 million litres of petrol per day and 1.1 million tonnes per day.

The refinery is equipped with dedicated loading gantries, featuring 86 loading bays, alongside specialised marine facilities for the offloading of crude and the loading of petroleum products, he noted.

Besides, Dangote explained the facility includes a 900-kilotonne per annum polypropylene plant, with production capacities of 36,000 tonnes per annum for sulphur and 585,000 tonnes per annum for carbon black.

He also averred that over the past four decades, the operations of Dangote Group have evolved significantly from a commodity trading company to a diversified conglomerate.

The President of DIL emphasised that this transformation was driven by the overarching goal of achieving self-sufficiency in key sectors and bolstering Nigeria’s economy.

He recalled that the group, which began as a trading company in 1978, has expanded into a diversified conglomerate with investments spanning cement, agriculture, fertilizer, petrochemicals, oil & gas, auto assembly, infrastructure, and other sectors.

Dangote further said the group is driven by the idea that Africa’s future prosperity hinges on its ability to harness its own resources and capabilities.

The Dangote Group Chief stressed that the African continent inadvertently imports poverty and exports jobs by exporting raw materials and importing finished goods.

In his remarks on the occasion, Devakumar Edwin, Vice-President, Oil and Gas, Dangote Industries Limited, reiterated the commitment of the company to enhancing local capacity in critical sectors of the Nigerian economy.

He noted that Dangote Industries Limited has empowered young Nigerians to assume key roles across its operations, with many even becoming expatriates in other countries.

Edwin stressed the refinery’s status as the world’s largest single train complex constructed entirely by a Nigerian company, highlighting a significant achievement in local engineering and construction capabilities.

According to him, most refineries were built by foreign companies, but it is a thing of pride that a Nigerian company, acting directly as Engineering, Procurement, and Construction (EPC) contractor, designed and built the world’s largest single train refinery complex in Lagos.

The Vice-President, Oil & Gas of DIL, also said that had enhanced the capacity of several Nigerians involved in the process, and that a Nigerian company could build a refinery anywhere in the world.

Edwin stated: “It is a thing of pride that the largest single train refinery in the world is 100% designed, engineered, and constructed by a Nigerian company as EPC contractor.”

Expressing gratitude to the media executives, Fatima Dangote, Group Executive Director of Commercial Operations at Dangote Industries Limited, restated the company’s dedication to create a positive impact on the economy.

Fatima commended Aliko Dangote’s steadfast commitment to advancing the continent’s development.

She stated: “He (Dangote) is committed to ensuring the success of Nigeria and Africa as a nation and a continent.

“Our focus extends beyond profit to solving problems and achieving self-sufficiency across all sectors in Africa.

“By meeting global standards, we have positioned ourselves to export our products to every continent in the world.”

The Dangote Group Executive Director of Commercial Operations, asserted the group is not only the largest private employer of labour but also consistently ranks as one of the top taxpayers in the country each year, adhering to all relevant tax laws and regulations.

She said: “We are known as one of the largest employers of labour. “However, we are also conscious of ensuring our workers enjoy a good living standard.

“This is reflected in our inclusion in the list of top paying firms in the country.”

Fatima also noted: “Our impact on employment generation extends to creating thousands of indirect jobs in the various communities in which we operate.”

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