Former President Olusegun Obasanjo has disclosed particulars of how the Nigerian Nationwide Petroleum Company (NNPC) rejected a $750m supply by billionaire enterprise tycoon Aliko Dangote to handle the Port Harcourt & Kaduna refineries again in 2007.
In an unique interview with Channels TV on Thursday, Obasanjo mentioned the Port Harcourt, Warri, and Kaduna refineries throughout his presidency.
He recounted failed efforts to privatise the nation’s refineries and the next monetary losses beneath authorities administration.
He defined how he sought exterior assist to rehabilitate and handle the amenities however confronted resistance.
He recalled, “I requested Shell to come back and run it for us and Shell mentioned they wouldn’t I mentioned, Please come and take fairness they mentioned no. I mentioned okay, don’t take fairness, come and run it, they mentioned no.
“Afterward, I referred to as them. I referred to as the boss of Shell to come back and inform me what the issue was and he gave me 4 or 5 causes. He mentioned, to start with, they make a significant revenue from upstream, not from downstream. He mentioned they run downstream simply to maintain their head above water.
“Two, our refineries have been too small: 60,000 barrels 100,000 barrels and I believe 120,000 barrels. He mentioned that at the moment, the typical refinery was going for 250,000 barrels.
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“Three, he mentioned our refineries weren’t nicely maintained. 4, he mentioned that there was an excessive amount of corruption across the actions of our refinery and they might not need to become involved in that.”
Obasanjo shared that after Shell’s refusal, Africa’s richest man, Aliko Dangote, assembled a crew and paid $750 million to function the refineries by way of a public-private partnership.
“Aliko obtained a crew collectively they usually paid $750m to participate in PPP (Public–Non-public Partnership) in working the refineries. My successor refunded their cash and I went to my successor, I advised him what transpired, he mentioned NNPC mentioned they needed the refinery they usually might run it and I mentioned however you already know they can not run it,” he said.
The previous president expressed confidence in Dangote’s means to handle his privately owned refinery successfully, contrasting it with the federal government’s inefficiency.
“I used to be advised not too way back that since that point, greater than two billion {dollars} have been squandered on the refinery they usually nonetheless is not going to work.
“If an organization like Shell tells me what they advised me, I’ll imagine them. If anyone tells you now that it’s working, why are they now with Aliko? And Aliko will make his personal refinery work; not solely make it work, he’ll make it ship.”
Obasanjo concluded with a Yoruba proverb, evaluating inflated claims in regards to the refineries’ efficiency to planting 100 heaps of yam however falsely claiming to have planted 200.
“They are saying after he has harvested 100 heaps of Yam, he will even have 100 heaps of lies. You recognize what meaning,” he mentioned.
