Dangote ventures into marine logistics with the construction of a deep sea port in Ogun State

ALHAJI Aliko Dangote has commenced the building of what will become Africa's largest and deepest seaport in the coastal town of Olokola in Ogun State as part of a grand plan to venture into maritime logistics.

Olokola, right at the far end of Ogun State, bordering with Ondo State, is the one part of the state that is coastal. Its proximity to Lagos makes Olokola an ideal location for a deep sea port if the necessary road and railway transportation links are there connecting it with the rest of the country.

With its construction, the Dangote Group can expand its multibillion-dollar industrial empire  into maritime logistics. According to Alhaji Dangote, he has submitted the necessary paperwork for the seaport project and the planned port, located about 100 kilometres from his Lekki refinery complex, is expected to ease the export of goods such as fertiliser, petrochemicals and liquefied natural gas.

Alhaji Dangote said: “It’s not that we want to do everything by ourselves but I think doing this will encourage other entrepreneurs to come into it." He expressed optimism that the project would attract more private investment into Nigeria’s underdeveloped port infrastructure.

At the moment, the Dangote Group currently exports urea and fertilizer through an on-site jetty that also receives heavy equipment for its Lekki refinery. With this new development, the proposed Atlantic seaport, if approved, will rival existing ports in Lagos, including the recently completed Lekki Deep Sea Port, which was funded by Chinese investors and began operating in 2023.

This development also marks a return to the Olokola site for Alhaji Dangote, who had previously shelved plans to site his massive refinery and fertilizer plant there due to conflicts with local authorities. Those disputes, however, appear to have been resolved under the current administration.

About four months ago Alhaji Dangote revealed the readiness of his company to return to the Olokola Free Trade Zone in Ogun Waterside Local Government Area of the state. Among other things, he also plans to export liquefied gas from Lagos, in a project that will involve constructing pipelines from the Niger Delta.

Devakumar Edwin, the vice chairman of the Dangote Group, said: “We want to do a major project to bring more gas than what Nigeria Liquified Natural gas (NLNG) is doing today. We know where there is a lot of gas, so run a pipeline all through and then bring it to the shore.”

NLNG is a joint-venture between the government, Shell, Eni and TotalEnergies, which is currently the continent’s largest exporter of liquified natural gas. Already, the Dangote Group already sources natural gas from the Niger Delta to supply its fertilizer plant, where it is used as feedstock to produce hydrogen for ammonia, a key component in the production of the crop nutrient.