The world’s richest Black man, Aliko Dangote, may soon climb further higher on the world’s wealthiest person list as Nigerian National Petroleum Corporate (NNPC) firms up arrangement to raise $2.5 billion to fund 20 percent stake in Dangote Petroleum Refinery.
Dangote, who dropped to number 191 on the world’s wealthiest list from 162 lasst year despite recording increase in his wealth to $11.5 billion in 2021 from $8.3 billion the previous year could raise his fortune to more than $14 billion depending on the terms of the sale of a 20 percent share of his oil refinery.
Last week, the federal cabinet approved the proposal by the state oil firm to invest $2.5 billion in a 20 percent share of Dangote’s oil refinery.
Minister of state for Petroleum, Timipre Sylva said in a statement that NNPC will pay $2.76 billion for the 20 percent share of the 650,000 barrel capacity petroleum refinery slated for commission next year.
The NNPC had said earlier that it’s working toward safeguarding the country’s energy security while its plans to buy 20 percent stake in privately owned refineries would not affect efforts to rehabilitate the country’s four refineries.
NNPC is currently approaching banks to raise the necessary funds to finance the purchase of the 20 percent stake in the refinery.
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The deal came together as Nigeria secures crude oil supply agreements in order to cut its foreign dependence on refined oil.
Nigeria is Africa’s top exporter of crude oil, but the country also exclusively imports all its refined oil, due to faulty state refineries, thus the interest in Dangote’s refinery.
Dangote, who was born in Kano, Nigeria, is worth more than $11.5 billion according to Forbes, which usually use stock prices and exchange rates to calculate net worths may also have left some of unlisted assets of Dangote in the calculation of his wealth to arrive on his present status.
The ongoing construction of Dangote Refinery could be the world biggest and if listed would worth several billions dollar.
Once completed, the refinery is expected to produce 650,000 barrels of refined oil per day.
Dangote owns 85 percent of Dangote Cement, which produces 45.6 million metric tons of cement per year and has more than 10 locations across Africa.
Dangote also has investments in sugar and salt refineries which have largely contributed to his multi-billion dollar fortune.
