Aliko Dangote, President of Dangote Group Limited said his company lost $650 million in interest payment due to delay in the approval of land by the Ogun State government for the construction of the Dangote Oil Refinery.
Dangote was speaking at a media parley and facility tour of the Dangote Oil Refinery by the and media executives of Dangote Refinery.
African’s richest man, Aliko Dangote, said it was not a tea party building the petroleum Refinery as he encountered a lot of challenges, which were not easily surmountable.
“We couldn’t buy land from the Ogun State for the construction of the refinery due to delays. The delay caused us millions of dollars in interest payments that had accrued as we had taken loans from the banks,” said Dangote.
“We got upset and bought this land from Lagos State for $100 million. All in all, we lost 650 million dollars in interest payment before we started work,” added Dangote.
Ogun State Governor, Dapo Abiodun, last year absolved himself of blame in the situation that led to the relocation of the $19bn Dangote refinery from Ogun State to Lagos.
Abiodun, who confirmed that he was Chairman, Olokola Free Trade Zone, in Ogun Waterside Local Government Area of the state during the administration of former governor Ibikunle Amosun, said he was not part of the moves that frustrated Dangote out of the state.
Dangote had initially chosen Ogun State for the site of the refinery, but discussion broke down between Ogun State government and the billionaire businessman, leading to the relocation of the project to Lagos.
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