Experts laud NNPC’s acquisition of 20% stake in Dangote Refinery

Experts have backed the Federal Executive Council’s approval of the acquisition of 20 per cent minority stake by the Nigerian National Petroleum Corporation in the Dangote Petroleum and Petro-Chemical Refinery.

They made their views known in separate interviews with the News Agency of Nigeriaon Thursday in Lagos.

NANreports that Chief Timipre Sylva, Minister of State for Petroleum Resources, announced the approval after the virtual FEC meeting on Wednesday in Abuja.

Sylva said the acquisition was in the sum of $2.76 billion.

Reacting to the development, Prof. Chris Onalo, Registrar and Chief Executive Officer, Institute of Credit Administration, said oil and gas sector remains the major source of revenue for the government and requires massive investment.

Onalo said the Dangote Group had taken the bull by the horns by making a huge investment that was needed to jumpstart the industry.

He said the company needed the support of all and sundry including the government.

Onalo said the investment from the NNPC was to support the billions already committed by Dangote Group in the world largest single-train refinery.

“The refinery is an expression of massive confidence in the oil and gas economy of this country.

“It shows that the sector can take Nigeria out of economic woes.

“I think it is a welcome development and those of us who are in the public domain cannot wait too long to see that happening.

“So, I will say kudos to the Dangote Group for its investment drive across the economy of this country,” Onalo said.

He added that the NNPC’s support to the refinery and others coming on stream soon would increase investors confidence in the sector, thereby attracting more investments.

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