We’re Ready For Court Cases, Dangote Declares As Kenyan Court Halts Refinery Groundbreaking

We’re Ready For Court Cases, Dangote Declares As Kenyan Court Halts Refinery Groundbreaking

Africa’s richest man and President of Dangote Industries Limited, Aliko Dangote, has said he is prepared to confront legal challenges to his businesses, stressing that he is also willing to reduce his ownership of the Dangote Petroleum Refinery to 25 per cent as more Africans buy shares in the company.

The Dangote Group had earlier said a Kenyan court ruling over a land rights dispute would not stop the groundbreaking ceremony for its planned 700,000-barrel-per-day refinery in Lamu on Wednesday, although the order might affect some activities at the project site.

During a fireside chat at the Nairobi Securities Exchange in Kenya, Dangote spoke on the company’s planned investments in Africa, the Lamu refinery and its proposed public ownership structure in Kenya and other African countries.

The Malindi Environment and Land Court had ordered that the “status quo prevailing” on the land be maintained until a hearing on October 14. The order, dated September 25, was made public on Monday.

According to Reuters, the lawsuit was filed by 133 residents of Chandavai, an area in Lamu County, who claim that the land earmarked for the refinery is their ancestral heritage and that their families have lived and farmed there for generations.

The Dangote Group, in a statement, said, “The court has not halted the groundbreaking ceremony of the refinery at this stage. However, activities at the site may be affected by the ruling as both parties are required not to carry out activities until the case is heard on 14th October.”

Dangote, however, expressed confidence that the project would proceed despite the legal challenge. “I’m sure some of you must have seen that one court has given an order that we shouldn’t do any construction? I said no, no. This is normal for us in Africa. In fact, this is even small,” he told investors at the event.