The management of Dangote Industries Ltd. (DIL) has reacted to the ongoing ownership dispute between the company and the Kogi State government, saying that Obajana Cement is 100 per cent legally owned by it since 2002.
In a statement titled “Obajana Cement Plant: Separating Facts from Fiction, Mr Anthony Chiejina, Group Head Branding and Communications, DIL, said the host Kogi government had no equity interest in Obajana Cement Plc, and that the company had been paying relevant state taxes, levies and charges to the Kogi government since it started production in 2007.
He said, “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 22,000 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,” said the statement.
“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,” the company said.
“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),” it added.
“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.”
