Prolong land tussle in Ogun state cost Dangote’s petrochemicals facility $500m
A three years and eight months delay by Ogun State government over Olokola land for petrochemicals facility costs President Dangote Group, Aliko Dangote $500 million.
The Billionaire businessman, who revealed this on a media tour during the weekend, attributed the financial setback to the protracted process of acquiring Olokola land for a petrochemical facility cost him $500 million on the $2.5 billion initial drawdown on bank loans.
“The three years and eight months delay by Ogun State govt over Olokola land for petrochemicals facility costs us $500million,” Dangote said.
He expressed disappointment over the bureaucratic hurdles encountered, which significantly impacted the project timeline and overall costs.
Dangote said a total of $25billion investments have been made in petrol refinery and fertilizer plant by the Dangote group over the past 10 years.
Data sourced from the National Bureau of Statistics (NBS) showed foreign investors shunned Ogun, Osun and 31 other states as Lagos, FCT, and Ekiti were the ones attracted to investors with each recording $2.78 billion, $593.58 million, and $12.7 million respectively.
Dangote initially designed the petrochemical and refinery plant to be domiciled in the Olokola Free Trade Zone, straddling the states of Ondo and Ogun. The plan was somehow reportedly frustrated by unseen hands within the political space.
