4 days Ago By Ibrahim Kabo
Ordinarily, I would not have joined issues with a certain Kelvin Emmanuel on his so-called analysis of the oil and gas sector of the Nigerian economy. Someone who has not seen the inside of a refinery before Dangote built one, let alone understood the mechanism of the energy industry is assuming the role of an authority in oil and gas matters. If he was trying to get the attention of Aliko Dangote when he started out, he obviously has succeeded in his enterprise.
But it makes no difference to those of us who have given our all to this industry. We can smell the intent from a thousand miles; and, we will fact check both Aliko and his minions, and correct their half-truths and misconceptions. It seems NMDPRA sees Dangote’s claim as laughable, and perhaps NNPC Ltd also chooses to be the bigger party by not joining issues with Dangote with his many falsifications of intent and his preoccupation with hiding behind a finger as to his business intentions.
What concerns me more here is to set the records straight. To speak out for those who are in business to serve their fatherland and build this great nation. Aliko Dangote has not minced words in telling whoever cares to listen that his interest in refining is not availability but profit maximisation.
NNPC Ltd’s mandate is to provide energy security and affordability in a sustainable fashion. With Dangote Refinery on one hand and the marketers on the other hand, the NMDPRA is the body that regulates the sector. Without enough knowledge and having a disdain for regulatory oversight, Dangote himself was the first to throw a salvo.
In an interview, he blatantly accused the NMDPRA Chief Executive of being incompetent and the agency of lacking equipment. Suddenly, every other product becomes sub-standard. His choice of language was the first giveaway.
Labelling the standard giver together with calling competition substandard is standard practice for would -be monopolists. But little did he know that the current administration would not pander to him, even as his efforts are acknowledged. I would take time to list some of the areas where the Dangote lackey has lied outright or has chosen to be economical with the truth.
He may have been paid for his media stunts, but those with genuine interest in the oil industry will call him out on his falsehoods. The truth is Dangote Industries (not only Dangote Refinery) needs NNPC Ltd more than NNPC Ltd would ever need Dangote business. Just recently, Dangote was all smiles as he shook hands with one of the MDs of an NNPC Ltd subsidiary, after he inked a deal to supply gas to his nascent refinery.
What Dangote would not tell you is that 90 per cent of his so-called businesses rely on NNPC Ltd gas and LPFO to function. He would also not tell you that he gets the gas cheapest from NNPC Ltd, and yet would default on payment. If there’s a single company that owes NNPC Ltd so much for services rendered, it would be Dangote Industries.
For Kelvin Emmanuel, I see a lot of huffing and puffing, devoid of actual knowledge of the inner workings of international trade exemplified in the oil and gas business. I guess his mandate was simple: talk down on the minister, talk down on industry regulators and talk down on NNPC Ltd. And, as he moved from one media house to another, he tried to sell Dangote Refinery to us as the next big thing.
A number of his submissions will astound or amuse you. 1. Kelvin, while talking to a TV station, actually called for the Chief Executive of NMDPRA to be sacked for daring to speak on the status of the Dangote Refinery inauguration.
The surrogate opined that regulators should not exist again, in obeisance to the fact that Dangote built a 20-billion-dollar facility. Maybe someone should tell him the scale of projects being undertaken in the oil industry by known names in energy worldwide. EGINA FPSO was built in 2014 at a cost of over 16 billion dollars.
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