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Dangote tackles Kogi over Obajana Cement acquisition, says state failed to invest

Published

4 years ago

October 12, 2022

Dangote Industries Limited says its acquisition of the Obajana Cement Plc in 2002 followed due process, contrary to claims by the Kogi State Government.

According to the company, Kogi State Government has no equity interest in Obajana Cement Plc.

It said the state government could not meet its financial obligations of contributing to the funding the plant in any form; neither did it fund the acquisition of five per cent equity shares when it was asked on a number of occasions to exercise the purchase option.

It also stated that the company as a responsible corporate organisation had been paying relevant state taxes, levies and charges to the state government since 2007 when production commenced in the acquired cement plant.

These clarifications were contained in a statement issued by the management of Dangote Industries Limited titled ‘Obajana Cement Plant: Separating Facts from Fiction.’

It 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.

“Whilst reserving our rights to proceed to arbitration in accordance with the extant agreement, we have reported the unlawful invasion by KSG and the consequential adverse effects of same to all the relevant authorities, including the Federal Government of Nigeria who has now intervened in the matter.

“It is hoped that the dispute resolution process we have initiated will quickly resolve the disputes and allow us to focus on our business without distraction and continue our significant contribution to our national economy. It is in this context that we state in brief as follows.”

It added, “The Obajana Cement plant is one of the most critical components of economic activity in the nation, being one of the highest taxpayers, and vehicle for one of the largest companies invested in by thousands of Nigerian and foreign investors. Its most important assets are (1) its land, the plant and machinery thereon, and (2) the vast limestone deposit covered by mining leases issued under licence by the Federal Government of Nigeria (FGN).”

According to the company, the land on which Obajana Cement plant is built was solely acquired by Dangote Industries Limited (DIL) in 2003.

It said, “The land on which the Obajana Cement Plant is built was acquired solely by Dangote Industries Limited (DIL) in 2003, well after it had acquired the shares in Obajana Cement Company in 2002, following the legally binding agreement it entered into with KSG to invest in Kogi State. DIL was issued three Certificates of Occupancy in its name after payment of necessary fees and compensation to landowners.

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

“The limestone and other minerals used by the Obajana Cement Plant, by the provisions of the Nigerian Constitution belonged to the Federation, with authority only in the FGN and not the State in which the minerals are situated, to grant licences to extract and mine the resources.”

The company explained that after the agreement with the KSG, the DIL applied for and obtained mining leases over the said limestone from the FG at its cost and had complied with the terms of the leases since inception.

It said, “The government of Kogi State had no minerals to give, had no assets to give, and only invited DIL as most responsible governments do to come into the state and invest in a manner that will create employment, develop the State, and earn it taxes.”

On the issue of the execution of the agreement, the statement noted, “DIL assiduously and at significant cost met all the terms of the agreement between it and KSG in relation to OCP. It built the cement factory, much bigger and better than envisaged.

“KSG could not meet its financial obligations of contributing to the funding the plant in any form; neither could KSG fund acquisition of 5% equity shares in OCP when it was asked on a number of occasions to exercise the purchase option.

“KSG also did not meet its obligations to grant waiver of taxes, charges and levies that it could charge the operations, affairs and activities of OCP. Rather despite being entitled (under the terms of the agreement with KSG) to tax relief and exemption from charges and levies by KSG for a period of seven (7) years from the date of commencement of production, OCP (and now DCP) has paid all due sub-sovereign taxes, levies and charges to KSG since it commenced production in 2007.

“KSG does not have any form of investment or equity stake in OCP, so no dividend or other economic and/or shareholding rights whatsoever could have accrued to it from the operations of the company”, the statement added.

On the issue of the Acquisition of the Plant Site, the statement noted that, “After the agreement between DIL and KSG in 2002, DIL in 2003, applied to KSG for the acquisition of land for the plant site, and this application was granted with the issuance of three Certificates of Occupancy to DIL. DIL to the knowledge of KSG, paid substantive compensation to Obajana Farmland Owners located within the two (2) square kilometres plant site.”

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Tinubu Declares End to “Broken Revenue System”, Unveils New Economic Reforms

Published

1 hour ago

April 14, 2026

Trends Admin

President Bola Ahmed Tinubu

Tinubu Declares End to “Broken Revenue System”, Unveils New Economic Reforms

President Bola Ahmed Tinubu has declared that Nigeria has entered a new phase of economic transformation, insisting that the country will no longer operate a “broken, inefficient and unfair revenue system” as his administration intensifies fiscal and tax reforms.

Tinubu made the remarks in Abuja during the commissioning of the Nigerian Revenue Service (NRS) headquarters, where he reaffirmed that ongoing reforms are aimed at strengthening Nigeria’s tax system, improving revenue generation, and restoring public confidence in governance.

He described the reforms as a “covenant with Nigerians,” stressing that they are not political rhetoric but a deliberate effort to rebuild the country’s economic foundations and ensure long-term stability.

According to him, Nigeria is gradually transitioning “from uncertainty to renewed hope” through structural reforms designed to improve efficiency, fairness, and transparency in revenue administration.

The President emphasized that no country can achieve sustainable development with a weak fiscal structure, adding that his administration deliberately embarked on overhauling the system to eliminate leakages, improve compliance, and ensure that national revenue is effectively deployed for development.

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“No nation achieves lasting prosperity on a weak and fragmented revenue system,” Tinubu said, adding that government must earn public trust through a fair and transparent tax structure.

He noted that the reforms are focused on simplifying tax processes, reducing distortions, and creating a more investment-friendly environment that encourages both local and foreign investors.

Tinubu also highlighted early signs of progress, pointing to improvements in fiscal stability, stronger reserves, and increased investor confidence as indicators that the reforms are beginning to yield results.

He attributed these gains to what he called “deliberate policy choices and national discipline,” insisting that the government remains committed to long-term structural changes rather than short-term economic fixes.

The President described the newly commissioned NRS headquarters as a symbol of institutional renewal and administrative efficiency, noting that it represents more than just a physical structure.

“This building is more than concrete and steel. It is a symbol of professionalism, transparency, efficiency and service delivery,” he said.

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Tinubu also tasked the Nigerian Revenue Service with evolving beyond revenue collection into a trust-building institution that reflects accountability and fairness in its operations. He stressed that taxpayers must see clear value for their contributions through improved public services and national development.

“The Nigerian Revenue Service must not only collect revenue, it must build trust,” he said, adding that institutions must demonstrate integrity and responsiveness to citizens.

He further acknowledged the challenges associated with economic reforms, noting that while such policies may cause short-term hardship, they are necessary for long-term prosperity and national stability.

Tinubu urged Nigerians to remain patient and supportive of ongoing reforms, saying sustainable development requires shared sacrifice and collective commitment.

The President also reiterated that Nigeria’s future depends on deliberate policy choices and strong institutions capable of driving inclusive growth and global competitiveness.

“We have chosen reform, we have chosen discipline, we have chosen progress,” he said. “We will stay the course until the promise of Nigeria is matched by the performance of its institutions.”

The commissioning of the NRS headquarters marks a key milestone in the federal government’s broader economic reforms in Nigeria, particularly in tax administration and public finance management, as authorities push to diversify revenue sources beyond oil dependence.

Tinubu Declares End to “Broken Revenue System”, Unveils New Economic Reforms

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JAMB 2026: Police Dismiss Threat Rumours, Deploy Nationwide Security for UTME Centres

Published

1 hour ago

April 14, 2026

Trends Admin

JAMB 2026: Police Dismiss Threat Rumours, Deploy Nationwide Security for UTME Centres

The Nigeria Police Force has ramped up security preparations ahead of the 2026 Unified Tertiary Matriculation Examination (UTME), dismissing circulating reports of threats to candidates as false while deploying personnel and rapid response teams across the country.

In a statement issued on Tuesday, the Force spokesman Olumuyiwa Adejobi said the police were aware of “recent unfounded rumours” concerning the safety of examination centres, particularly in parts of the North-Central region. He stressed that the claims lack credibility and should be disregarded by the public.

According to the police, there is no verified intelligence pointing to planned attacks on UTME centres. However, the Force noted that concerns raised by Nigerians—especially regarding the safety of candidates—have been taken seriously, prompting proactive measures to ensure a secure environment nationwide.

To guarantee security at UTME centres, the police confirmed the deployment of both overt and covert personnel, including rapid response teams, patrol units, and surveillance operatives positioned strategically across examination venues. These efforts are aimed at preventing disruptions and ensuring a smooth conduct of the examination.

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The UTME, organised by the Joint Admissions and Matriculation Board, is scheduled to commence on April 16, 2026. As one of the most critical examinations in Nigeria, the JAMB 2026 UTME will see hundreds of thousands of candidates sit for entry into tertiary institutions nationwide.

The police further disclosed ongoing collaboration with other security agencies to strengthen intelligence gathering and response coordination. Authorities warned that any individual or group attempting to disrupt the examination process would be identified and dealt with decisively.

Candidates and parents were reassured of adequate security during JAMB exams, with advice for candidates to arrive early at their centres, comply with all examination regulations, and promptly report any suspicious activity to security personnel.

The Force also cautioned against spreading misinformation, emphasizing that fake security alerts could create panic and undermine public confidence. Nigerians were urged to rely solely on verified updates from the police and JAMB.

Reaffirming its commitment, the Nigeria Police stated that safeguarding lives, property, and national activities remains a top priority, assuring the public of a peaceful and orderly examination process across the country.

JAMB 2026: Police Dismiss Threat Rumours, Deploy Nationwide Security for UTME Centres

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Akpabio: Insecurity in Nigeria Will End Two Weeks After Elections

Published

1 hour ago

April 14, 2026

Trends Admin

Senate President Godswill Akpabio

Akpabio: Insecurity in Nigeria Will End Two Weeks After Elections

Senate President Godswill Akpabio has attributed Nigeria’s rising insecurity to political activities ahead of upcoming elections, expressing confidence that the situation will subside shortly after the polls. Speaking on Tuesday in Abuja at the commissioning of the Nigerian Revenue Service (NRS) Corporate Headquarters, Akpabio said the surge in violence is being driven by individuals allegedly sponsoring unrest due to desperation linked to the electoral process.

According to him, Nigeria insecurity, election violence, and political unrest are interconnected, stressing that the trend will reverse once elections are concluded. He stated that within two weeks after the elections, insecurity across the country would significantly reduce, insisting that those behind the acts are politically motivated. His comments come amid growing concerns over banditry in Nigeria, terrorism, and kidnappings, which continue to affect several regions.

Akpabio also strongly defended the administration of President Bola Ahmed Tinubu, saying the government is making progress despite criticism. He argued that opponents of the administration, unable to counter its performance, are resorting to sponsoring instability. The Senate President urged Nigerians to remain patient, noting that ongoing reforms under the current government would yield positive results.

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Taking a swipe at the opposition, Akpabio suggested that it is fragmented and lacks direction. In an apparent reference to Peter Obi, he criticised what he described as political inconsistency, claiming that opposition figures are abandoning their platforms while blaming the ruling party for the country’s challenges.

The Senate President also used the occasion to commend the Executive Chairman of the NRS, Zacch Adedeji, describing him as a tax administrator widely accepted by Nigerians. He noted that unlike traditional perceptions of tax officials, Adedeji has earned public trust and is driving reforms in the country’s revenue system.

The high-profile event was attended by top government officials, including Deputy Senate President Jibrin Barau, Speaker of the House of Representatives Tajudeen Abbas, Deputy Speaker Benjamin Kalu, Secretary to the Government of the Federation George Akume, and National Security Adviser Nuhu Ribadu. Several governors were also present, including Babagana Zulum, Charles Soludo, Caleb Mutfwang, Hope Uzodimma, and Usman Ododo.

The newly commissioned Nigerian Revenue Service headquarters is described as a world-class facility designed to enhance tax administration in Nigeria and boost revenue generation. The complex features three towers spanning 16 floors, with capacity to accommodate about 3,000 personnel. The development follows the signing of the Nigeria Revenue Service (Establishment) Act in June 2025 by President Tinubu, transforming the former FIRS into the NRS as part of broader economic reforms in Nigeria.

Akpabio’s remarks have sparked debate among analysts and stakeholders, with many questioning the claim that insecurity is largely politically sponsored. While the Senate President maintains that the end of elections will bring relief, experts argue that addressing Nigeria security challenges requires deeper structural reforms beyond the political cycle.