I have heard talk that the government wanted to build a seaport in the Lekki area since the 1980s. I also heard talk that the government wanted to build an airport in the Lekki area since the early 1990s (at that time some people were debating about whether the noise from planes would disturb people that lived in Lekki Phase 1. They didn't realise how big Lekki was).
However, all this talk was just that, talk. Nothing concrete was done about these ideas, in fact, the government did not even make public announcements about them, they were more like rumours among people that were close to government.
Nothing concrete was done until Bola Tinubu became governor of Lagos in 1999.
The Tinubu Administration proposed a free trade zone in the Lekki area. It would have a deep sea port, an airport, a refinery, a metro rail line, new residential estates, its own power plant, etc. Governor Tinubu travelled to China to attract investors to the project and most of the companies that were involved in building and running most of the industries and facilities at the free trade zone were from China.
Obasanjo Lauds Tinubu On Lekki Free Trade Zone
By Mansur Oladunjoye 12 May 2006
LEKKI Free Trade Zone (LFTZ), the much celebrated multi-billion dollars bilateral business venture between Lagos State and the Chinese Investors has kicked off, with President Olusegun Obasanjo describing Governor Bola Tinubu of Lagos State as "a brilliant governor with brilliant ideas".
The LFTZ cited in Ibeju-Lekki local government area of the state, according to its managers, would occupy 1,000 hectares of land employing over 300,000 as workers on completion.
A lot of the sectors that Governor Tinubu got involved in were previously thought to be no go areas for state governments. They were on the exclusive list and were the exclusive preserve of the Federal Government, so how could state governments get involved?
Governor Tinubu formulated a strategy to get around this issue.
He attracted local and foreign private investors to provide the funds for these projects, he got the Federal Government involved because they had the regulatory authority and then Lagos State acted as the promoter that brought all sides together and sometimes provided the land. The Federal Government wanted money/revenue/taxes, they wanted jobs and development, so they would agree to go along with the project.
This strategy succeeded sometimes, it partially succeeded at other times and it failed on some occasions. For example:
1) The Lagos State Government brought a Nigerian power company, Tunde Folawiyo Power (to provide the funds), an American power company, Enron (to provide the technical expertise) and NEPA (to provide the regulatory authority) together for a power project on the Lagos Lagoon. They were to bring in a power plant on a barge and moor it near the Egbin Power Plant on the shores of the Lagos Lagoon in Ikorodu. The power that was produced by the plant was supposed to be distributed in Lagos.
AES Corporation bought over Enron's shares when Enron got into financial problems.
The power plant began producing electricity, but unfortunately NEPA simply fed the electricity into the national grid, instead of distributing it exclusively in Lagos.
2) Sea ports are the exclusive preserve of the Federal Government, but the Lagos State Government brought the China Harbour Engineering Company Ltd. (CHEC) (to build the port), the Tolaram Group (to finance and run the port) and the Nigerian Port Authority (regulatory authority) to build the Lekki Deep Sea Port.
3) At the time railways were the exclusive preserve of the Federal Government, but the Lagos State Government wanted to bring together the China Civil Engineering and Construction Company (CCECC) (to build the line) and the Nigerian Railway Corporation (NRC) (right of way and regulatory authority) to build the Red Line Rail. However, the Obasanjo Administration thought that it would compete with the NRC rail service and they blocked the move.
Meanwhile, Alhaji Aliko Dangote partnered with Mr Femi Otedola, Transcorp and the Chinese to set up the Bluestar Consortium. The consortium bought over the Port-Harcourt and Kaduna refineries.
Obasanjo ally buys second Nigerian oil refinery
By Tume Ahemba August 9, 2007 Updated 17 years ago By Reuters
LAGOS, May 28 (Reuters) - Nigerian tycoon Aliko Dangote has acquired a controlling stake in Nigeria's third-largest refinery in Kaduna for an undisclosed sum, consolidating his grip on the OPEC member nation's refining sector.
It was the second major refinery purchase in a week by Dangote, who is a major financier of the ruling party and ally of outgoing President Olusegun Obasanjo, after he bought the largest refinery in Port Harcourt on May 17.
"We are handing over Port Harcourt and Kaduna refineries to Dangote today," a spokesman for the privatisation agency, the Bureau for Public Enterprises, said.
He declined to give details of the Kaduna sale until after a ceremony planned for later on Monday, the eve of Obasanjo's retirement.
President-elect Umaru Yar'Adua is due to succeed him.
In the weeks leading up to Obasanjo's departure, Dangote's privately held company has also scooped up a cement plant, a telecoms licence and mining concessions in a rush of privatisations that has triggered accusations of cronyism by opposition parties.
Dangote got the 110,000 barrels-a-day Kaduna plant after the government rejected as too low a $102 million bid by China National Petroleum Corp. (CNPC) at the May 17 auction.
In that auction, a consortium led by Dangote called Bluestar paid $561 million for a controlling stake in the Port Harcourt refinery complex, which can process up to 210,000 barrels a day.
The Bluestar consortium also includes Nigerian conglomerate Transcorp , fuel retailer Zenon, and China's Sinopec <0386.HK>. Transcorp and Zenon have close ties to Obasanjo.
The government had been trying to privatise the refineries since 2002, but many potential buyers had been scared off by uncertainty over environmental and labour liabilities, and fuel prices which are fixed by the government.
In an unexpected move on Sunday, Obasanjo hiked the government-regulated pump price of fuel by 15 percent to 75 naira per litre.
None of the refineries are working because of mismanagement and sabotage, and Africa's largest producer of crude oil is entirely reliant on imports to supply its fuel needs, worth more than $6 billion a year.
Nigeria awarded CNPC four oil exploration licences last year in exchange for a promise to invest $2 billion in the Kaduna refinery, the government said at the time of the award. It was unclear whether CNPC would still be able to keep those licences.
ijogbon: I can't believe I am the first to put this on here. Or are all the usual anti-enterprises suspects sleeping? Or maybe they just wait for somebody to put up a topic and then try to tear it up?
Anyways, I was just thinking what the future might hold in Nigeria with these developments. Are there precedences in other countries (Russian Oligarchs and tiny in Mexico) ? Please only PROACTIVE discuss please. I know already that they are all thieves and it is a coverup for OBJ etc and all you ppls other unhelpful arguments.
I want to know where the opportunities are so we can start early to exploit them.
Dangote, Otedola acquire Kaduna Refinery May 28th, 2007 E-MAIL THIS PRINT THIS Most Viewed
The Bureau of Public Enterprises (BPE) yesterday formally handed over both Port-Harcourt Refinery and Kaduna Refinery and Petrochemical Company (KRPC) to Bluestar Oil services to break the jinx over the sale of the refineries since 2003. Kaduna Refinery was sold to Bluestar for $160-million (N20.5-billion), an increase of $58-million (N7.4-billion) over the offer of China National Petroleum Corporation (CNPC).
The sale of Kaduna Refinery concluded at the weekend brought to two the number of mega-enterprises sold to Bluestar Oil services, a consortium promoted by Aliko Dangote, Femi Otedola and Transcorp plc.
The sale was among the last-minute approvals of the National Council on Privatisation (NCP) at the twilight of the Obasanjo administration.
The CNPC offered $102-million (N13-billion) for 51 percent of the Kaduna Refinery at the financial bidding about a fortnight ago, but the BPE said the offer was below the reserved price of the enterprise.
Irene Chigbue, director-general, BPE, confirmed the sale of Kaduna Refinery at the handing over of the enterprises and five others in Abuja yesterday.
Other enterprises handed over by the BPE include Izom Bricks and Clay Products to Continental Project and Supplies Company Ltd, Onigbolo Cement to Dangote Industries, and Steyr Nigeria Ltd, Bauchi to Scintilla Prime Investments Ltd.
Others are Ihechiowa Oil Palm, Abia State to Omen International Ltd and Anammco Enugu to G.U Okeke and sons.
"Blue Star Oil Services Consortium also took up the challenge of buying into the KPRC with an offer price of $160-million for 51 percent equity; an amount exceeding the $102-million (N13-billion) revised offer by China National Petroleum Corporation.
"The Consortium has already paid the full financial consideration for KPRC. Let me also emphasise that Bluestar Oil Services Consortium is bound by the conditions of sale, especially with respect to the time period mutually agreed for the rehabilitation and activation of KRPC. This, of course, is in addition to other requirements that have been negotiated by both parties for both refineries."
At the handing over, she said the journey had been on for sometime, adding that both transactions were complex because of the emotional attachments of Nigerians to them.
"China was given oil bloc as incentive because of the difficulty in the Kaduna Refinery, which is mainly its location with no access to water and port facilities as well as vandalisation.
" China brought poor financial bid which we presented to the government and when Bluestar came forward with a bid offer of $160-million, we equally sent it to the government and it was approved to operate the Kaduna Refinery.
"Government was persuaded to sell to Bluestar because of the initial concept of integrating both refineries for synergy.
"We have to let our Chinese investors know the huge funds required to keep the refineries in good shape and so we could not just leave it like that to continue to be in their present states," Chigbue added.
She said promoters of Bluestar had assured that they would in no distant time turn the refineries around so that they would be attractive should government decide to sell its remaining 49 percent in the two refineries.
It would be recalled that as part of the bilateral cooperation with the Republic of China, President Obasanjo had directed the setting up the Technical Working Team under the Office of the Presidential Adviser on Petroleum & Energy (now Ministry of Energy) to review the investment proposal submitted by China National Petroleum Corporation (CNPC) for Kaduna refinery
Following review of CNPC’s proposals and identification of possible areas of cooperation, the president granted approval to enter into negotiation of technical and commercial terms of the integrated package with the CNPC in respect of oil blocs indicated by the CNPC and core investor ownership of the KRPC.
The president also approved that the transaction should be opened up to other prospective investors to enhance competitiveness of the process. The BPE engaged Credit Suisse First Boston (CSFB) to advise goverment on the core investor sale of the KRPC to the CNPC as part of an integrated investment package covering upstream and downstream assets, in line with the strategic co-operation between Nigeria and the Republic of China.
A Web-based data room was activated and access granted to prospective bidders after signing of non-disclosure agreement with them. They conducted site visits in December 2005 and January 2006. In June 2006, bidding documents (including information memorandum and draft Share Purchase Agreements) were circulated to prospective bidders. But none of the other bidders (PII of India and Essar of India) submitted bids.
The CNPC conducted a detailed due diligence on the KRPC between October 17 and November 4 2006, prior to submission of bid for KRPC. At the bids opening on May 17, 2007, it offered to pay a revised offer price of $102-million, which was below the reserve price.
Consideration of Dangote for the refinery, which only the Chinese bidded for as at when the financial bid was conducted, might have been in furtherance of the right of refusal granted him by the presidency.
President Obasanjo had granted Dangote right of refusal in the sale of three major government projects. They are the refineries, an energy project, and a fertiser plant.
Dangote has 55 percent controlling shares in Bluestar; Zennon Oil holds 25 percent; Rivers State has 15 percent, and Transcorp, the remaining 5 percent. Under the privatisation programme of the outgoing administration, Dangote seems to be favoured, having acquired several mega enterprises.
Some of the state enterprises acquired by Dangote under the Obasanjo administration are Benue Cement Company plc, Gboko, Markurdi, Onigbolo Cement, Obajana Cement, Save Sugar, and Bacita Sugar.
However, workers at the refineries were afraid that they would be sacked if Bluestar Consortium took over the refinery. They threatened to go on strike and there was a lot of media propaganda that President Obasanjo gave the refineries to his friends. The Yar'Adua Administration was reversing a lot of the measures that were taken by the Obasanjo Administration (NIPP, railways, etc) and so they reversed the sale of the refineries and returned Bluestar's money.
Refineries - FG Refunds $721m to Bluestar Consortium
By Chika Amanze-Nwachuku 3 August 2007
The Federal Government may have refunded the $721 million paid by Bluestar Oil Services Limited Consortium for the acquisition of 51 percent equity in the Port Harcourt and Kaduna Refineries.
Bluestar had emerged the preferred bidder/core investor for the plants at an open competitive bid which took place in Abuja in May.
Meanwhile, in Lagos, the Chinese were to build a greenfield refinery. The Lagos State Government had brought together the China State Construction Engineering Corporation (CSCEC) and the NNPC to build the refinery. The NNPC took advantage of the opportunity to convince the Chinese to also build more refineries in Bayelsa and Kogi states.
Lagos signs oil refinery deal with Chinese
Chinese investors, the Lagos state government and the Nigerian National Petroleum Corporation, NNPC, are to build an 8-billion-dollar refinery in Lagos, in the south-west of Nigeria.
By: Ben Shemang Issued on: 06/07/2010
The joint project will be operated under the umbrella of a public-private partnership. The refinery will be at the Lekki Free Trade Zone in Lagos.
Statistics show that the Chinese investors will provide 80 per cent of the funding, leaving 20 per cent to the NNPC.
The Lagos state government will provide infrastructure such as land, electricity, roads and water for the project.
"The project is to the mutual benefits of all the parties," says Billy Agha, NCPP executive director for engineering and technology.
While the deal was being signed, Lagos state governor Babatunde Fashola said the government does not foresee the Chinese investors causing any hurdles in the project.
When completed, the refinery will produce 300,000 barrels of oil a day. It will also produce 500,000 metric tons of liquefied petroleum gas a year. Some 5,000 construction workers will be employed and 2,000 people will be gainfully employed at the end of it all.
This latest refinery deal is one of the largest of several US and Chinese investments in Nigeria.
It will be the first of three refineries under a deal signed in May between Nigeria's state oil company, NNPC, and the China State Construction Engineering Corporation (CSCEC).
The refinery will be built in the Lekki free trade zone of Lagos, Nigeria's biggest city.
The Chinese will cover 80% of the cost, and NNPC 20%, while the state of Lagos will provide land and infrastructure.
Under the $23bn framework agreement signed in May, NNPC and CSEC will also build two other refineries, in Bayelsa and Kogi, as well as a fuel complex.
Nigeria already has four refineries, but they are widely seen to be poorly maintained and only running at 40% of capacity.
As a result, the African country must currently import refined fuel, even though it is a major crude oil producer and exporter.
The Ondo and Ogun state governments had partnered to set up a free trade zone. It was to be in the Olokola area, on the border between the two states. The free trade zone was to have a deep sea port, a liquified natural gas plant (OKLNG), a refinery and various other industries. After Bluestar Consortium lost ownership of the Port-Harcourt and Kaduna refineries, Aliko Dangote decided to partner with the Ondo and Ogun state governments and build his refinery in the Olokola Free Trade Zone. It was to be the biggest refinery in Nigeria.
koruji: I pray Dangote can help get this done. He would have started on this already if Ya'radua/GEJ did not foolishly return the $800 million he and another bidder paid to take over our "dead" refineries.
Dangote To Site $8bn Refinery In Olokola FTZ
JUNE 6, 2013 BY DAYO OKETOLA 18 COMMENTS
Indications emerged on Wednesday that the $8bn refinery proposed by Africa’s richest man and President, Dangote Group, Alhaji Aliko Dangote, would be located at the Olokola Free Trade Zone, Ondo State.
A senior official of the company, who asked not to be named because he was not authorised to speak on the matter, told our correspondent that the refinery would be located in the OFTZ.
One of the factors considered for the location of the refinery, according to the source, is that it is the biggest deep seaport in the country and other big industries are located there; besides, Ondo is one of the oil producing states in the country.
The source added that stable crude oil supply was also a vital element in the choice of the location for the refinery because Chevron and a number of other oil producers had oil fields in the oil-rich region of the state.
On why Lagos was not chosen, industry analysts said though the state was a coastal state, Dangote would have to build pipelines to transfer crude from oil fields to the refinery, thereby incurring additional expenses.
The source explained that necessary approvals had been secured for the refinery, adding that the Dangote Group was just waiting for the necessary equipment with which to build the refinery to arrive.
Another source told our correspondent that Dangote, who was listed on Monday as the first African entrepreneur to lay claim to a $20bn fortune and one of the 25 richest men in the world, would put down $4bn of his personal fortune to build the refinery, while international financial institutions had raised the balance.
Dangote had in April announced plans to invest up to $8bn in building an oil refinery with capacity for around 400,000 barrels a day by late 2016.
The capacity, experts had said, would almost double Nigeria’s current refining strength.
“This will really help not only Nigeria but sub-Saharan Africa. There has not been a new refinery for a long time in sub-Saharan Africa,” Dangote had told Reuters in a telephone interview.
Nigeria currently has the capacity to produce some 445,000 barrels per day in four refineries, which operate well below that owing to decades of mismanagement and corruption in Africa’s leading energy producer.
The country relies on subsidised imports for 80 per cent of its fuel needs.
Dangote said the country’s ability to import fuel would soon be challenged.
“In five years, when our population is over 200 million, we won’t have the infrastructure to receive the amount of fuel we use. It has to be done,” he said.
Past efforts to build refineries have often been delayed or cancelled, but analysts have said Dangote should be able to build a profitable Nigerian refinery, owing to his past successes in industry and his strong government connections.
Analysts have said previous attempts to get the refineries going were held back by vested interests such as fuel importers profiting from the status quo.
“The people who were supposed to invest in refineries, who understand the market, are benefiting from there being no refineries because of the fuel import business. Some are going to try to interfere,” Dangote said.
He said making a new refinery run at a profit would work even if the government failed to scrap the subsidised fuel price that has deterred others from investing.
“We’ve done our numbers and the numbers are okay,” he said.
Dangote, who spoke on the sidelines of the recent World Economic Forum on Africa in Cape Town, South Africa, said he had secured $4.25bn loans from banks to build the refinery.
He said the loan was secured from “two offshore banks and some Nigerian banks.”
Meanwhile, in Lagos, a dispute had erupted between the Lagos State Government and the NNPC on one hand and the Chinese investors. This article doesn't tell the whole story. There was a particular dispute with the Chinese and then they pulled out. (I am trying to remember what the dispute was about).I read an article back then which told the story from the Chinese point of view, but I can't find it now.
REVEALED: Why Chinese investors pulled out of NNPC’s greenfield refinery projects
by Oluwatoyin Bayagbon March 18, 2019
Mohammed Usman, head of the greenfield refineries division of the Nigerian National Petroleum Corporation (NNPC), says investor fatigue made Chinese companies pull out of agreements to build new refineries.
Usman made this known during an interview published in the February edition of NNPC News, the monthly publication of the corporation.
According to him, the federal government had terminated agreements previously held with the international oil companies (IOCs) in order to pursue a new arrangement with the Chinese investors who had shown interest in the greenfield projects in 2010.
The division manager said despite resolving the disagreements that arose during negotiations for their operating model, three of the refinery projects planned in Lagos, Bayelsa and Kogi states did not materialise even the state governments were willing to offer land for equity participation.
“Government directed that we should work with the Chinese to see how we can establish new refineries in Nigeria,” he said.
“We went into discussion with the Chinese companies and discovered that the offer they had was more or less like project financing. They said they would provide up to 80 percent of the funding while NNPC or the Nigerian Government would provide 20 percent and the money would be sourced from Chinese financial institutions.
“We were not comfortable with that because we didn’t want NNPC to do sole risk refinery, 100 percent owned by NNPC. What we wanted was equity participation of those companies in the refineries.
“They proposed 60% Chinese and 40% NNPC equity holding structure. They even agreed that NNPC could sell down its own interest to other local domestic investors.
“That was when we started work on those three refineries that became popular and got associated with the Greenfield Refineries Division.
“We carried out feasibility studies on the three refineries, the one in Lagos was found to be the most viable. The other ones were also good. But it was agreed that we should start with the most viable one and thereafter see how we can develop the other ones.
“So we went to the Chinese banks to get a loan of about $6.4 billion dollars for the first refinery. They first raised the issue of sovereign guarantee which they later waived and the loan was granted by the Industrial and Commercial Bank of China (ICBC) and guaranteed by Sinopec.
“That was the time when the federal government set up the Special Task Force on Refineries headed by Dr Kalu Idika Kalu. We made a presentation to the Task Force. We were directed to stay action on the project until a white paper is issued on the recommendations of the Task Force.
“We kept meeting with the Chinese until investor fatigue set in after waiting for a long time.”
On what could be done to encourage new refinery projects, Usman said the NNPC would be able to freely source for funds when the petroleum industry governance bill is passed since it would be operating as a commercial entity.
He said the NNPC is currently working on major refinery projects including a condensate refinery in collaboration with the corporate planning and strategy division (CP&S), and another to be built by Nigerian AGIP Oil Company (NAOC).
There were also problems with the Dangote Refinery in Olokola. The people of Olokola and Igbokoda demanded a lot from Dangote. The name Dangote evoked visions of wealth and so they made a lot of demands from him. These demands put Dangote off. It was at this time that Governor Fashola of Lagos went to poach Dangote and convinced him to build the refinery in Lekki.
Why Dangote Relocates Refinery From Ondo State To Lagos
The Olokola Free Trade Zone in Ondo State has lost the opportunity to host the Dangote Oil refinery.
It would be recalled that Africa’s wealthiest man, Aliko Dangote, signed a multi-billion dollar deal with banks to finance the building of the oil refinery.
The refinery, Dangote told the media would be the largest in Africa, turning Nigeria into a petroleum exporter.
Authoritative sources involved with the development of the refinery informed that the refinery has now been sited at the Lekki Free Trade Zone in Lagos.
It was gathered that the relocation was informed by the inability of the Dangote Group to reach agreement with the communities in Ondo State who were described as very difficult.
According to one of our sources, who is actively involved in the project, “Alhaji Aliko Dangote initially settled for Ondo state because of the relative peace in the state compared to other oil producing states, but the Olokola and Igbokoda communities became very unreasonable in their demands.
If we are to accede to their demands, we may have to spend about fifty percent of the projected cost of the refinery on community relations. Since we are not government, we decided to move the project to a more business friendly environment.”
The projected 9 billion dollar refinery is planned to have a capacity of around 500,000 barrels a day and was to take off by late 2016.
Dangote, who made his fortune in cement, flour and sugar, is worth an estimated $16bn (£10bn) and has topped the Forbes list of Africa’s richest men for the past three years.
Dangote told the BBC’s Focus on Africa programme in September 2013 that the refinery would create “thousands” of jobs.
He signed a $3.3bn loan deal with local and foreign banks to build the refinery, as well as fertilizer and petrochemical plants. The entire venture would cost $9bn, with $3bn in equity from Dangote Industries and $6bn to be raised in loan capital.
The initial loan facility was co-ordinated globally by Standard Chartered and in Nigeria by Guaranty Trust Bank, London’s Financial Times newspaper reported.
“At least for the first time in our lifetime, we’ll see Nigeria exporting petroleum products,” Dangote told Focus on Africa on the BBC World Service.
“We’ll also see Nigeria for the first time exporting fertilizer rather than using hard-earned for
The refinery, Dangote told had said would be the largest in Africa, turning Nigeria into a petroleum exporter. The Refinery and Petrochemical Complex was initial planned to be sited in Ogun and Ondo
Dangote Group had signed $5.55bn loan deals with financiers on October 2013 for the building of a $9bn refinery and petrochemical complex to be located at the Olokola Free Trade Zone, Ondo State.
Alhaji Aliko Dangote initially had initially settled for Ondo State because of the relative peace in the state compared to other Oil producing states, but the Olokola and Igbakoda communities were said to be very unreasonable in their demands.
If Dangote had agreed to the demands from the communities, he might have to spend about fifty percent of the projected cost of the refinery on community relations it was gathered. Since, it is not government agency, Dangote was said to have decided to move the project to a more business friendly environment.
The Trace Magazine gathered authoritative from source who was involved with the development of the refinery in Ondo State informed that the state lost the project to Lagos State Government carelessly.
Governor Fashola held several meetings with the host community in Ibeju Lekki before bringing Dangote to meet them. He did this so that the project would not suffer the kind of problems that the Olokola Refinery encountered. He told the host community that they should ask for what they want, but they should not ask for too much. He made it clear that the area would benefit a lot from the refinery, a lot more than the money that they would receive, so they should ask for what they want, but they should not demand too much.
I have a very good video here, but I can't post the link because the person that posted the video has ruined it with ethnic bigotry. I'll try and explain what it's about.
It is about something that I have written about many times.
Dear diary, remember that I told you that Dangote originally planned to build his refinery in Ondo State. It was meant to be part of a free trade zone at the border of Ogun and Ondo states and it was in conjunction with the governments of those two states. However, the people of the area heard the name Dangote and they started making outrageous demands. A Dangote official said that around half the cost of the project (or more) would have had to go to the community if they went ahead with the project.
Governor Fashola saw what was happening and quickly poached Dangote. He had several meetings with the chiefs and indigenes of the communities in Ibeju Lekki and told them how important the project was. He told them to ask for what they want, but that they should not ask for too much because they could lose the project if they asked for too much. Finally, he brought Dangote to meet with the chiefs and indigenes and agreements were reached.
This video is of one of those meetings between Fashola and the chiefs and indigenes. It is very funny.
Fashola was speaking in Yoruba and he reminded them that he came there before and asked them whether they wanted the refinery and they said that they wanted it. The audience replied that they wanted it. Fashola asked whether they were sure that they still wanted it, they replied that they wanted it.
Fashola said that they could move the refinery to Badagry, because he wants the Ibeju Lekki community to know that there's a lot of oil in Badagry. The audience said no and that they wanted the refinery. However, some people at the back now said that they didn't want the refinery (you might remember that I told you that I knew some people who were based abroad and they were trying to incite some members of the community to reject the refinery).
Fashola asked those that wanted the refinery to put up their hands (the majority put up their hands). Fashola then asked those that did not want the refinery to get up and go. Nobody left. Fashola then shouted that those that did not want the refinery should get up and leave, let's know who is left. Nobody left. (I can hear someone in the back saying, "They are in the minority. They are not much" ).
Fashola then said that there's nothing left for him to do than to bring Dangote and hand him over to the chiefs and people. Fashola said that he was going to hand Dangote over to the community. He will put Dangote in the hands of the young and the old, the chiefs and the people and everybody in the community.
Fashola said that he has handed Dangote over to them and Dangote is now one of them. They responded that he has handed Dangote to God. Fashola said no and he insisted that Dangote was in the hands of the community.
Fashola said that we (meaning the government) are the people that the community should do deals with. He said that they should tell the government if they needed or wanted anything. He said that all the obas and chiefs have access to him. There's nothing they want that they cannot tell him. He said that Justice Oguntade (a retired supreme court judge who is from the area) is his father. He listed other prominent members of the community who he said are his fathers. He said that the community should go to them if they have any grievance. He said that they should not go to the project site to cause any problems. He said that's the only thing that would annoy him.
After several meetings with the community, Fashola then took Dangote to meet with them.
naptu2: Dangote used the same tactic that had worked in Gboko to win over the chiefs and community leaders.
What happened in Gboko? Dangote had bought the Benue Cement Company (BCC) in Gboko, but the people of Gboko were opposed to the purchase. BCC was the pride of Gboko, a lot of the residents worked in the company and the football team was fanatically supported by the people of Gboko. They had expected that the Benue State Government would buy the Federal Government's shares in the company, in order to protect their interests and they were alarmed when Dangote bought it. However, Dangote won them over by setting up a training academy for people from Gboko, providing lots of scholarship programmes for them and employing a lot of people from Gboko into the Dangote Group. The people of Gboko now love Dangote. The only grievance they have with him is that he has still not revived their football team.
So Dangote promised to employ a lot of people from the communities in Ibeju Lekki into the Dangote Group and to provide scholarships for them. It is also rumoured that he bought cars for the chiefs. I personally know some people that wanted to cause trouble, but they were outnumbered by people who accepted the deal with Dangote.
GOV. FASHOLA OFFICIALLY INTRODUCES DANGOTE TO THE LEKKI FREE ZONE HOST COMMUNITIES
by lfzdc Feb 09, 2014
On Sunday 9th February, 2014, the Ibeju-Lekki people and its environs welcome a new beginning as His Excellency, the Executive Governor of Lagos State, Mr. Babatunde Raji Fashola (SAN) formally introduced the Business Mogul and the President Dangote Group, Alhaji Aliko Dangote to the Traditional Rulers, Chiefs and people of Ibeju-Lekki /Epe division of Lagos State.
In his speech, Governor Fashola reiterated the commitment of Lagos State Government to improve the standard of living of its people through the introduction of a massive project like that of Dangote Refinery and Fertilizer Plant which will provide job opportunities for thousands of people and also boost economic activities in the area.
In his remarks, the President of Dangote Group thanked the Lagos State Government and its officials for the relentless effort to achieve this stride and also appreciate the host communities for the acceptance of the project. He promised that this project will mark the beginning of better things to come.
He added that the his company will train over 8000 Engineers and also provide uninterrupted power supply that will enhance investment drive and attract other viable investments towards this axis of the State.
The Alara of Ilara on behalf of other Royal Fathers showered royal blessings on the proposed project and also expressed gratitude to the Government of Lagos State for considering Ibeju-Lekki and Epe for such privilege.
In attendance were the Royal Fathers from Ilara, Epe, Ise, Lekki, Inaforija, Orimedu and other villages around.
Among the Lagos State Government Executive Council members present were the Honourable Commissioner for Commerce & Industry, Mrs. Sola Oworu, the Special Adviser, Honourable Seye Oladejo and the PS Commerce, Mr. Wale Raji.
Among other dignitaries in attendance were the Retired Judge of the Supreme Court, Hon. Justice Oguntade, Member House of Representative representing Ibeju-Lekki /Epe, Honourable Yomi Ayeola, Chairman Lekki Free Zone Development Company, Otunba Segun Jawando, MD, DMD Lekki Worldwide Investment Limited, T.A.B Disu, Ope George and MD Lekki Free Zone Development Company, Mr. Chen Xiaoxing.
It wasn't all smooth sailing in Lekki. Th Dangote Group and the Lagos State Government promised a lot of things to the people of Ibeju Lekki in order to get them to agree to give up the land. Many of the people agreed to the proposals, but some did not.
Furthermore, there were people who, for various reasons, were interested in persuading the people of Ibeju Lekki not to give up the land. Some of these people were not even based in Nigeria, but they encouraged the people of Ibeju Lekki not to accede to the government's request.
Lastly, there was a group of people who would be disadvantaged, no matter what happened. The Dangote Group paid a lot of money to the traditional rulers and land owners in Ibeju Lekki in exchange for the land, but what about people that were tenants and what about squatters? They got nothing.
So, while the chiefs and landowners agreed to Dangote's deal, the tenants and squatters protested. The government sent in policemen to remove them from the land.
Some people encouraged the people of Ibeju Lekki to continue to protest (I know some of those people). Sahara Reporters also ran a massive campaign against the project. These people claimed that the traditional rulers and land owners were bribed with money and cars by the Lagos State Government and the Dangote Group. I wondered, if someone is buying you land, or taking it over in anyway, shouldn't the person pay you for it? So how is that a bribe?
Eventually, the Dangote Group paid the landowners a lot of money (but not nearly as much as the people of Olokola and Igbokoda in Ondo State had demanded) and the tenants and squatters were removed from the land and the refinery was built.
The progress of Lagos State has been a long journey, if your state governor has been redundant and you are now attracted to the development of Lagos State to claim it belongs to all then you are on a long thing.
What you'll fail to know is that we will colonised you, compel to to speak our language, change your culture, and reduce it to inferiority, you will abandon Isiala for gbegiri and ewedu, and you will get possessed that you won't be able to travel home for the festival.
But note that your dead won't be bury in our cementry, we would ensure your place is turned to burial ground for those who spend their lives in Lagos
Before you know what hits you, you are already an adopted son of Lagos.
The choice is yours, that is what we wanted, and will judiciously execute it as a Lagoisian from generation to generation. We don't shout we use our brain
There were also problems with the Dangote Refinery in Olokola. The people of Olokola and Igbokoda demanded a lot from Dangote. The name Dangote evoked visions of wealth and so they made a lot of demands from him. These demands put Dangote off. It was at this time that Governor Fashola of Lagos went to poach Dangote and convinced him to build the refinery in Lekki.
The people of Olokola failed their generation for not grabbing the great opportunity. Their generation yet unborn will be cursing them forever.
OP, how on earth will you talk about the origin of Dangote refinery without you talking about the amount that was used to purchase the land? Oh so, you don't want the omoniles in Ibeju-Lekki to know the real amount that was paid for their lands?
Well, I will help you do that:
Let me use this opportunity to loud it that, Dangote paid the sum of $100m for the lands he built his refinery and fertilizer plants.
Fortunately, I was part of the fertilizer project from 2017 to early 2020.
