MossadAgent:


Dangote refinery is a future "too big to fail" enterprise that will definitely see to future bailouts by the FG.

There was no reason for it other than Dangote hoping on being granted certain privelages and concessions.

Any bail out by the federal government will likely come with conditions that Mr Dangote will find painful but he will have no choice than to agree.

Government may demand:

1. that he sells some of his stake in the refinery - perhaps reducing his stake to 60% or less. This can be achieved through private placement or through the Nigerian stock exchange.

Another question is, does the Nigerian government have the financial capacity to bail out a company if that company needs $3 or $4 billion dollars?

Nigeria is broke and needs a bail out of its own, so it may not be able to bail out Dangote refinery.

givedemwotowoto:
Tinubu supporters will praise you for 8 years while you’re destroying the economy, only to start trashing you once their man gets into power

Tueh!

If label you as the 0su/0hu that you are, one IPOB mod will ban his father.

In other words when the FG returns the loans it’s borrowed, that’s capital flight and we should urge the FG to take loans from WB and IMF or China in Naira. If I follow your logic.

My questions;
When Dangote got the loans and repatriated it into Nigeria, was he not taxed on it?

When he imported equipment was he not taxed?

When he bought the land of $100 million was it not to state government?

When he buys crude even at a questionable subsidized rate, will he not pay? (Honestly I think if the allotted crude is subsidized FG then has the rights to fix local prices both at the tank farm and pump).

The sundry vendors, local and international that were contracted to provide services to the refinery were they not paid in local and foreign currencies?

Did our economy not benefit from the inflow?

Lastly, when his future customers who will be paying in USD or Naira, would it not be paid into a Nigerian company account? Would customs not charge export duty/waybill etc on the ships that would lift the products?

Cash flow is what’s important in economics, large volume in large volume out, people benefit in between the exchange of cash.

Respectfully your logic is flawed and the attempted skewer of the refinery is flawed.

DeLaRue:


Any bail out by the federal government will likely come with conditions that Mr Dangote will find painful but he will have no choice than to agree.

Government may demand:

1. that he sells some of his stake in the refinery - perhaps reducing his stake to 60% or less. This can be achieved through private placement or through the Nigerian stock exchange.

Another question is, does the Nigerian government have the financial capacity to bail out a company if that company needs $3 or $4 billion dollars?

Nigeria needs its own bail out, so it may not be able to bail out Dangote refinery.

Dangote ranting all over the place shows his business model was based on federal concessions .

Don't complain in future when the FG begins to bail Dangote refinery.

Baxilexi:
In other words when the FG returns the loans it’s borrowed, that’s capital flight and we should urge the FG to take loans from WB and IMF or China in Naira. If I follow your logic.

My questions;
When Dangote got the loans and repatriated it into Nigeria, was he not taxed on it?

When he imported equipment was he not taxed?

When he bought the land of $100 million was it not to state government?

When he buys crude even at a questionable subsidized rate, will he not pay? (Honestly I think if the allotted crude is subsidized FG then has the rights to fix local prices both at the tank farm and pump).

The sundry vendors, local and international that were contracted to provide services to the refinery were they not paid in local and foreign currencies?

Did our economy not benefit from the inflow?

Lastly, when his future customers who will be paying in USD or Naira, would it not be paid into a Nigerian company account? Would customs not charge export duty/waybill etc on the ships that would lift the products?

Cash flow is what’s important in economics, large volume in large volume out, people benefit in between the exchange of cash.

Respectfully your logic is flawed and the attempted skewer of the refinery is flawed.

There you go !

Now you are advocating for cooperatism aka Royal Niger Company.


This can not fuel genuine growth .

advanceDNA:



Baba.....Those importing fuel said landing cost is 1200naira...right??
.why will local production put price at 5000naira just because fuel sells in the US for $4

Dangote didn't import crude oil from them. Where he imported crude is from USA. His refinery will convert it to fuel for consumption, therefore he can't see fuel at 1,200 naira

MossadAgent:


That's where you lost out because this concession will come at both capital flight to Dangote's refinery investors and also a significant reduction in FX earnings from alloted crude earnings

Baba....we cant have it both ways....we either earn a truck load of FX and at the end use it to import fuel and still pay subsidy as exchange rate fluctuates whi h is happening alreadt

Or.... we supply crude to our local refinery and have cheaper fuel for everyone, and reduce fx pressure..... choose ur poison....
..

Omowale2023:

Dangote didn't import crude oil from them. Where he imported crude is from USA. His refinery will convert it to fuel for consumption, therefore he can't see fuel at 1,200 naira

Then u ddnt get my question

advanceDNA:


Baba....we cant have it both ways....we either earn a truck load of FX and at the end use it to import fuel and still pay subsidy as exchange rate fluctuates whi h is happening alreadt

Or.... we supply crude to our local refinery and have cheaper fuel for everyone, and reduce fx pressure..... choose ur poison....
..

While you are right, the truth remains that a 600k bpd refinery was meant to drain Nigeria's wealth and not add any value .


Importation of refined products is a crime but granting a monopolist venture with significant foriegn investors is far worse

GEJ proposed modular refineries (1k to 30k bpd) as a solution spread across the then restive Niger Delta to both address unemployment and end the importation regime .

Dangote being the spoilt greedy brat then floated his unsustainable mega refinery.

I am here to tell you that Dangote refinery will cause more future problems than envisaged.

Let me give you an example ....
France is the biggest exporter of cement owing to their edge in cheap nuclear power and their dumping policy across their colonies.

Do you know it cost on average $5 to produce and deliver a 50kg bag of cement from France ? Taking the old rate of #200 per bag, this translated to just #1,000 but at no time has Dangote sold cement below #1000. If you consider that Dangote flooded the west African market with $3 per bag of cement while selling cement at over #8,000 despite the FX rate being at 460 per dollar, that's when you will understand how Dangote treats the Nigerian market place like his subsidy regime.

This scenario will repeat itself with Dangote refinery.

Bookmark this and get back to me when this plays out.

advanceDNA:


Baba....we cant have it both ways....we either earn a truck load of FX and at the end use it to import fuel and still pay subsidy as exchange rate fluctuates whi h is happening alreadt

Or.... we supply crude to our local refinery and have cheaper fuel for everyone, and reduce fx pressure..... choose ur poison....
..

I choose the latter abeg.

Something gotta give.

Starboytwo:
I choose the latter abeg.

Something gotta give.

There's no way a cheaper pricing regime will benefit you because cheaper pump prices will see to an exponential rise in smuggling across our borders.

MossadAgent:

While you are right, the truth remains that a 600k bpd refinery was meant to drain Nigeria's wealth and not add any value .

haba! No value at all?? What of jobs at the refinery?
Taxes to be collected?, cheaper fuel ??

MossadAgent:

Importation of refined products is a crime but granting a monopolist venture with significant foriegn investors is far worse

baba, it wont be more worse.........we have other refineries if they cam start working...why cant the government sell these refineries to private business men instead of screaming monopoly at dangite...are we going to sabotage a business man because he's the only one with resources to set up a refinery....??

MossadAgent:

GEJ proposed modular refineries (1k to 30k bpd) as a solution spread across the then restive Niger Delta to both address unemployment and end the importation regime .....Dangote being the spoilt greedy brat then floated his unsustainable mega refinery.

y'all allowed tinubu and his agenda for power kill all the ideas of goodluck and his team during his era..now u are complaining its Dangote

MossadAgent:

I am here to tell you that Dangote refinery will cause more future problems than envisaged.

baba, so in summary... u want to keep importing?? Ehn??

If the government can for once fight for the people and not their pockets....they can do the right thing with Dangote refinery from the start now so that FG can have price control power over fuel....
.this is an essential commodity we are talking about that influences the price of every other commodity.
And I feel one of the ways is to supply crude to dangote in naira

advanceDNA:
haba! No value at all?? What of jobs at the refinery?
Taxes to be collected?, cheaper fuel ??

baba, it wont be more worse.........we have other refineries if they cam start working...why cant the government sell these refineries to private business men instead of screaming monopoly at dangite...are we going to sabotage a business man because he's the only one with resources to set up a refinery....??

y'all allowed tinubu and his agenda for power kill all the ideas of goodluck and his team during his era..now u are complaining its Dangote

baba, so in summary... u want to keep importing?? Ehn??

If the government can for once fight for the people and not their pockets....they can do the right thing with Dangote refinery from the start now so that FG can have price control power over fuel....
.this is an essential commodity we are talking about that influences the price of every other commodity.
And I feel one of the ways is to supply crude to dangote in naira

I have never supported APC and only sympathetic to Tinubu's govt because of the antics of the jihadist Fulani and the IPOB Zionists aka Obidient.

Every policy Tinubu has boldly taken was the right decision.

I am hoping he returns Nigeria to its original pre independence template so that everyone will go back and concentrate on their backyard .


I am an extreme rightist aka fascist. And believe Nigeria can only work with better internal borders and a weak centrist authority.

MossadAgent:


Every policy Tinubu has boldly taken was the right decision.

how??...he's just funding the pocket of state governors and senators with increased allocation for more embezzlement....
Subsidy has always been the only way the masses enjoy their common wealth...check any country....UK's health system, Georgia subsidized flour, India subsidize cotton, and so on...

MossadAgent:

I am hoping he returns Nigeria to its original pre independence template so that everyone will go back and concentrate on their backyard .

lol.....thats not happening....unless the oil disappears......tinubu has no business model for nigeria than to strangle the masses by not offering any form of subsidy, allowing more borrowing from the IMF

MossadAgent:

I am an extreme rightist aka fascist. And believe Nigeria can only work with better internal borders and a weak centrist authority.

Nigeria will work when massive corruption is reduced.....the corruption culture that exist in Nigeria is what is killing is...

Dangote may have made a mistake with that refinery. Hope he doesn't go bankrupt

MossadAgent:
Let me explain...

The refinery cost about $15bn to construct and most of that funding came from international institutional investors.

What ever Dangote refinery will generate must go back to repaying his investors and lenders. So more capital flight.

Dangote was thinking more of exporting refined products to neighbouring African countries and expected the FG to grant him subsidised crude at the detriment of national FX inflows.

You will recall that at one time Dangote cement was selling cheaper in other African countries. This was because Dangote is more interested in FX than the naira.

The same scenario is what he hopes to achieve with his 600k bpd refinery . That is, priotising exports to meet his investors and lenders.

Don't even think for one second that Dangote refinery will crash the price of refined products. Rather , if it comes up stream, Dangote will priotize exports to local markets just as he did with his cement . Because Dangote needs to pay back his investors and lenders.

MossadAgent:
I provided the scenario of Dangote cement pricing in Nigeria being far higher than what it was retailing in other African countries and said this was due to Dangote's hunger for FX and market share in other countries which he was able to achieve through passing the cost of subsidizing his cement on the Nigerian market.

The same scenario will play out with his refinery . So expect refined Dangote products to be cheaper outside Nigeria .

Dangote can liquidate assets elsewhere to pay off whatever debt he owes

DMerciful:
Dangote may have made a mistake with that refinery. Hope he doesn't go bankrupt

0su pig has an opinion?

Fck off

DMerciful:
Dangote may have made a mistake with that refinery. Hope he doesn't go bankrupt

Sharap 0su commodity