Aliko Dangote, Africa’s richest man and Chairman of the Dangote Group, has reached a remarkable new milestone by becoming the 65th richest person globally.
According to the Bloomberg Billionaires Index, Dangote’s net worth surged to an impressive $27.8 billion following the completion of his $20 billion oil refinery project in Lagos, Nigeria. This marks a significant increase from his previous wealth, estimated at $13 billion earlier in 2024.
Dangote’s wealth doubled after the launch of his state-of-the-art refinery, located in the Lekki Free Trade Zone. The refinery, touted as the world’s largest single-train oil refinery, has a production capacity of 650,000 barrels per day, making it a game-changer in Nigeria’s energy sector. The project’s success positions Nigeria to become self-reliant in fuel production, potentially saving billions in fuel imports and enhancing the country’s economic stability.
For Dangote, who built his initial fortune in commodities such as cement, sugar, and flour, the refinery was his most ambitious undertaking yet. It took over 11 years to complete and cost three times the original estimate. “I didn’t know what we were building was a monster,” Dangote said during a recent visit to New York, referencing the significant challenges and pressures the project faced.
While the refinery project is now fully operational, it wasn’t without its struggles. Dangote revealed that he faced intense opposition, describing the oil industry as being controlled by forces more powerful than he had anticipated. “I wouldn’t wish the experience on my worst enemy,” he admitted, reflecting on the political and business challenges during the refinery’s construction.
Despite the hurdles, the refinery’s launch has transformed Dangote’s business empire. It not only secures Nigeria’s place as a key player in global oil markets but also provides substantial foreign exchange income. Dangote highlighted that 80% of his business is dollarized, a strategic move to shield his operations from the volatile naira, which has devalued significantly since President Bola Tinubu lifted foreign exchange restrictions.
With the refinery now fully operational, Dangote is poised to become Nigeria’s largest supplier of US dollars, further stabilizing his wealth amid the country’s economic turmoil. The refinery is expected to provide significant revenue streams through direct sales of petroleum products to marketers, now that it has begun disengaging from agreements with the Nigerian National Petroleum Company (NNPC).
