Refinery and Petrochemical Project to go public on NSE

shakirudeen taiwo

April 11, 2017 11:54 AM

Dangote has promised to grow its shareholders to fill a stadium, which shows his commitment to Nigerian Stock exchange. The refinery project is expected to become operation in 2019.

The African richest man, Alhaji Aliko Dangote, on Monday, April 10, 2017 promised to ensure listing of all companies under the Dangote Group of companies on the Nigerian Stock Exchange. He disclosed this while speaking with Journalists after beating the closing gong at the NSE in Lagos as part of activities to mark his diamond jubilee, 60th, birthday.

Among these companies is the Dangote Refinery and Petrochemical Limited.

He further stated that when the refinery is completed in 2019, it would enhancing local refining capacity of Nigeria, and save the country of huge forex being spent on importation of refined petroleum products.

“Refining business is not a business that you make 50 percent margin from; the margin is low but what you depend on is the volume of business that you have there, and that is the reason why we are building a 650,000 barrel/day refinery. It is a very large.”

The commencement of operation of the refinery would greater impact on operation of petrol stations across the country, especially the northern part of the country. “When you travel around, you see that, especially in the northern part, more than 50 per cent of the filling stations are not operational, he stated.

Dangote refinery project is an integrated petroleum refining complex, which activities are not limited to refining but also other petrochemical production such as fertilizers and others. The project is expected to gulp over $9 billion, with a refining capacity of over 650,000 barrel/day.

Currently, there are four companies of Dangote Group Limited listed on the NSE with a total market capitalization of N2.9 trillion as at Monday April 10, 2017. This value represents 32.7 percent of total capitalisation of the Nigerian bourse.

shakirudeen taiwo