The discovery of oil in Lagos State in commercial quantity has been described as a good development for which Dangote Refinery and Petrochemicals will benefit from.
Group Executive Director of the Dangote Industries Limited Devakumar Edwin spoke in Lagos when the leaders of League of African Development Students (LEADS) visited his office.
Edwin, who said it was a good development that Lagos is now an oil-producing state, added that the discovery would strengthen the country’s oil output.
He stated that Dangote Refinery and Petrochemical would be willing to partner the state and the Federal Government in ensuring that the oil production from Lagos adds value to the economy of Lagos State and Nigeria.
He said: “We are very happy at the discovery of oil in Lagos. It is indeed a good and welcome development for us as a company. It will accelerate the growth level of the state and also be of immense benefits to the residents and the country at large.
“Not only will Lagos be regarded as an oil-producing state and share out of the derivation fund, but Lagos will continue to be an invaluable partner to the Dangote Group with the Dangote Refinery in Ibeju-Lekki.”
Edwin noted that though the crude oil prices might be unattractive at the moment, which has made major international oil firms to slow down, “it did not mean that the oil and gas industry was devoid of development”.
The Dangote Group boss said although it is just in its early phase, the Badagry oil find will be a lot more attractive for investments, when prices begin to rise at the international oil market.
“The crash in the global crude oil price is not making it attractive to invest and make a sustainable investment. No attractive investments in deep water, but perhaps shallow waters. Oil majors are cutting down on their investments, and also retrenching, I will be surprised if people go in fast into Badagry. But, by and large, it is a welcome find, for when the prices begin to rise, we will begin to reap the benefit.”