Obajana Acquisition Followed Due Process, Dangote Insists

Dangote Industries Limited, the parent organisation of Dangote Cement Plc has maintained that the process of acquiring its cement plant located in Obajana, Kogi State, followed due process.

This followed claims by the government of Kogi State that the company had no concrete evidence to assert its ownership of the plant.

According to a statement, Kogi State had no equity interest in Obajana Cement Plc.

The statement noted that the plant and machinery were conceived, designed, procured, built, and paid for solely by DIL, well after it acquired the shares in Obajana Cement Company.

The company further said that the land on which the Obajana Cement Plant was built was acquired solely by Dangote Industries Limited in 2003, and that taxes paid to Kogi Govt yearly since production commenced in 2007.

The statement read in part, “This is a statement issued for the sole purpose of addressing the concerns and apprehensions of the stakeholders of Dangote Cement Plc (DCP) especially the over twenty-two thousand 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.”

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

On Tuesday, the Kogi State commissioner for information, Kingsley Fanwo, in a statement ,told the Dangote Group and its image makers to focus on “proving its total ownership of Obajana Cement Company rather than chasing shadows.”

“We remain resolute in our position on the Obajana Cement Company and that remains the matter to be determined rather than any attempt to drag the state government into any mudfight,” Fanwo said in the statement.