Dangote Cracks Top 100 Wealthiest List After Refinery Launch

African Billionaire Dangote Cracks Global Top 100 Rich List

Aliko Dangote's refinery has been making waves since its inauguration in May 2023...

Dangote's Refinery launch propels him to 65th in global wealth rankings, Africa's only top 100 representative.

Aliko Dangote, President of Dangote Industries Limited (DIL), has achieved a record-breaking net worth of $27.8 billion, doubling his wealth following the launch of his multibillion-dollar oil refinery.

According to the Bloomberg Billionaires Index, Dangote's net worth skyrocketed by $15.1 billion as of October 18, catapulting him to the 65th position globally. Notably, he is now the sole African representative in the top 100.

This significant rise has positioned Dangote over 100 spots ahead of South African billionaire Johann Rupert, who ranks 174th. Furthermore, Dangote has jumped more than 40 places from his June 30, 2023, ranking of 111th.

Key Highlights:

Aliko Dangote's net worth: $27.8 billion

Increase: $15.1 billion

Global ranking: 65th

African representation: Sole member in the top 100

Jump in ranking: Over 40 places

Aliko Dangote's refinery has been making waves since its inauguration in May 2023. This massive facility, sitting on 2,635 hectares in Lagos' Ibeju-Lekki free zone area, boasts an impressive capacity of 650,000 barrels per day. Production kicked off with diesel on January 12, but petrol production faced delays until September 3 due to crude supply challenges.

Challenges and Solutions:

Crude Supply Issues: Dangote faced difficulties sourcing crude from Nigerian international oil companies (IOCs), forcing the company to import crude from Brazil and the US.

IOC Struggles: On July 4, Dangote revealed that some IOCs were struggling to provide crude for his refinery.

Persistent Challenges: As of August 8, 2024, Dangote Refinery still faced crude supply woes, despite claims of increased allocation from the Nigerian National Petroleum Company (NNPC).

The refinery's launch has significantly impacted Dangote's wealth, doubling it to an all-time high of $27.8 billion and catapulting him to the 65th position globally, making him the sole African representative in the top 100.

Aliko Dangote's refinery faced a major hurdle on July 4 when he revealed that some international oil companies (IOCs) were struggling to provide crude oil to his refinery. However, President Bola Tinubu's timely intervention turned things around. The Federal Executive Council approved the sale of crude oil to Dangote's refinery and others in naira on July 29, paving the way for a significant shift in Nigeria's oil industry.

This strategic move led to Nigeria officially starting the sale of crude oil and refined petroleum products in naira on October 1, as announced by the Federal Government on October 5. This policy aims to stabilize pump prices, potentially resulting in lower and more predictable fuel costs for consumers. With both the refinery and the national oil company now trading in the local currency, Nigeria is taking bold steps towards economic growth, stability, and self-sufficiency.

Developments:

Crude Oil Sales in Naira: Nigeria began selling crude oil in naira on October 1.

Stabilizing Pump Prices: The policy aims to lower and stabilize fuel costs for consumers.

Economic Growth: This move is expected to foster economic growth, stability, and self-sufficiency in Nigeria.

President Tinubu's Directive: The president directed the sales of crude oil to Dangote and other refiners in naira to bring down petrol costs.