Dangote Refinery awards $368m worth of contracts to local contractors

Dangote Refinery

Dangote Refinery and Petrochemical has so far awarded $368 million to 120 local contractors at the site as part of its contribution to Nigeria content development initiative.

The Group Executive Director, Strategy, Portfolio Development and Capital Projects, Dangote Industries Limited, Mr. Devakumar Edwin, who made this disclosure during the tour of the Dangote Refinery by members of Nigerian Union of Journalists (NUJ) and Nigeria Institute of Public Relations (NIPR), yesterday in Lagos, said there are several Nigerian content opportunities in the company’s refinery and petrochemical project.

He noted that the Refinery would lead to significant skills transfer and technology acquisition opportunities in the country.

He said the Group has embarked on a landmark integrated Refinery and Petrochemical project, regarded as the largest industrial complex in the history of Africa, which is expected to take Nigeria to new heights through the transformation of the economy.

According to him, the company is already partnering with the Lagos State government and Siemens in the skills development of the local community for employment at the construction site. “We have already trained and employed 250 artisans,” he added.

He disclosed the company’s intention to train 900 Nigerian engineers in India. “The company has completed the overseas training of first and Second batches of Nigerian engineers and are being acclimatized at site. The third batch left for India for classroom training for one month, on the job training for one year and working in real time with experts in the industry every day”, he added.

He said that company has so far employed 3580 Nigerian personnel on site. “This excludes employment by the various contractors and subcontractors at the site”, he said.

Edwin disclosed that the company, in partnership with the Nigerian Content Development and Monitoring Board (NCDMB) and the National Directorate of Employment (NDE), kicked-off of training for 200 youths in its host communities, as part of its corporate social responsibility initiatives.

He disclosed that the programme is meant to prepare the selected youth with vocational skills that will make them employable or self-employed.

According to the company, the youth are currently be trained in areas of plumbing, masonry, welding, iron bending, auto mechanics and electrical works because of the instant value addition to their lives and communities.

Speaking on the progress made so far on the refinery project, Edwin disclosed that the company has imported world’s largest Reactor Regenerator and well as a Crude Column, which is equivalent to 30-storied building weighing about 100 fully loaded trucks.

He said that the Dangote Petroleum Refinery can meet 100 per cent of the Nigerian requirement of all liquid products, such as Gasoline, Diesel, Kerosene & Aviation Jet and also would have surplus of each of these products for export.

According to him, the Refinery will ensure that the security of local supply of petroleum products is guaranteed as well as the availability of petrochemical feedstock (Poly-propylene & Polyethylene), which will be enough for the Nigerian market as well as the neighboring countries.

With a fast-growing population and poor infrastructure, he said the refinery would also reposition Nigeria as an attractive investment destination and a major industrial hub in Africa.

Edwin added that the company also possess strategically located marine infrastructure for crude receipts and product trade when the refinery is fully completed.

He noted that the 650,000 barrels per day refinery has been designed to process a variety of light and medium grades of crude and produce extremely clean fuels that meet Euro V specification.

He said that company has invested in most advanced units to produce Euro V fuel due to help Nigeria meet the European Standard of gasoline.

Edwin said in addition to the refinery plant, the company is constructing the largest fertilizer Plant in West Africa. “Current consumption of Urea in Nigeria is 700,000 tonnes. There is very poor per hectare usage of fertilizer leading to very poor crop yield. By 2020, Nigerian population, which is around 207 million, would lead to increased food consumption.

“Estimates point out that around five million tonnes of fertilizers are required per year in Nigeria in next five to seven years bifurcated into 3.5 Million tonnes of Urea.

“Dangote Fertilizer Project is the largest Granulated Urea Fertilizer complex coming up in the entire fertilizer industry history in the World, with an investment of $2.0 Billion capacity of 3 Million tonnes per annum. The Dangote Fertilizer complex consists of Ammonia and Urea plants with associated facilities and infrastructure, to produce 3 MMTPA Urea,” he stated.

President/Chairman of council Nigerian Institute of Public Relations, (NIPR) Mukhtar Zubairu Sirajo, commended the President of Dangote Group, Aliko Dangote for his investment in the Nigeria’s petroleum sector.

Chairman, Nigerian Union of Journalists, (NUJ) Lagos State Council, Dr. Qasim Akinreti, thanked the company for giving the union opportunity to embark on the tour of the refinery project.