Dangote responds to plant ownership claims

Dangote Industries Ltd (DIL), the parent organisation of Dangote Cement Plc (DCP), has issued a statement reiterating that it acquired the Obajana cement plant in Kogi State following due process, reports The Punch newspaper. The statement is in response to claims by the Kogi State government that Dangote could not prove it was the legal owner of the factory.

The statement by DIL clarified that the plant and machinery were conceived, designed, procured, built, and paid for solely by DIL, well after it had acquired the shares in Obajana Cement Co. It added that the land on which the plant was built was acquired solely by DIL in 2003, and that taxes had been paid to the Kogi State government every year since production began at the works in 2007.

“This is a statement issued for the sole purpose of addressing the concerns and apprehensions of the stakeholders of DCP, especially the over 22,000 people it employs directly, and more indirectly, as well as thousands of contractors, wholesalers, users of our products, our financiers and shareholders.

“At a time of significant economic challenges that we face as a nation, we believe all must be done to keep our economy running effectively, our people employed, businesses that depend on us thriving and not discourage those who take the risks of needed, lawful and significant investments in our economy. The shutdown of our plant has materially jeopardised the economic wellbeing of our country without any regard for its significant consequences,” said DIL. 

According to the statement, the Obajana Cement Plant was one of the most critical components of economic activity in Nigeria, being one of the highest taxpayers.