Faith Nyasuguta
Aliko Dangote’s wealth has soared in recent days, doubling to an impressive $27.8 billion, making him richer than ever before. This dramatic rise has secured his position as Africa’s richest man once again, following a period of intense competition with South Africa’s Johann Rupert for the coveted title.
Dangote, whose net worth had been fluctuating since the start of the year, saw his fortune increase from around $13 billion to $27.8 billion, as reported by Bloomberg’s real-time billionaire index. This leap in wealth propelled him to the 65th position on the global billionaire list, a significant jump from his previous rank of 175th when his net worth was $13.2 billion.
The Nigerian billionaire has had a tumultuous journey to reclaim his title. In recent months, he has been engaged in a cat-and-mouse game with Johann Rupert, who temporarily overtook him as Africa’s richest man. Despite the back-and-forth, Dangote’s latest surge in wealth has solidified his position at the top.
During a recent visit to New York, Dangote expressed his surprise at the scale of his success, saying, “I didn’t know what we were building was a monster.” He further commented on the challenges faced, “The pressure was coming from different directions, people confusing us, disturbing us every day with different media stories that it will never work, it will never work, it will never work.”
The success of Dangote’s wealth can be largely attributed to the operational commencement of the Dangote Refinery. Inaugurated at the end of last year, this $20 billion facility is the largest single-train refinery in the world, with a daily processing capacity of 650,000 barrels. The refinery aims to produce 250,000 barrels of gasoline per day, 100,000 barrels of diesel fuel per day, and consistently supply 11 million liters of kerosene and 9 million liters of jet fuel daily.
However, the journey has not been without its hurdles. Several disputes between Dangote and the Nigerian government concerning the sale of Premium Motor Spirits, commonly known as petrol, have impeded the refinery’s progress.
Initially, Dangote faced issues with the sale of crude to the refinery, which he complained was too expensive and sold in dollars rather than the local currency. This forced the refinery to source fuel from other markets, including as far as Brazil. The situation was resolved when the Nigerian government began selling crude to the Dangote Refinery in Naira from October 1, 2024.
Another challenge arose with the Nigerian National Petroleum Corporation (NNPC) designating itself as the sole distributor of the Dangote petrol, with exclusive purchasing rights that limited flexibility in determining prices. These issues have since been addressed, allowing the refinery to progress.
Despite these challenges, Dangote’s fortunes have seen a significant increase. His last change in valuation came in at an impressive +$15.1 billion, while his year-to-date change stands at +$12.7 billion. This substantial increase comes after a period of fluctuating wealth.
As of July 2024, Dangote experienced a notable drop in his net worth, losing over $1 billion despite the launch of his refinery months earlier. His wealth stagnated around $13.1 billion to $13.4 billion, allowing Johann Rupert to temporarily claim the title of Africa’s richest man.
Earlier in September, Dangote’s valuation had declined by -$26.4 million, while his year-to-date change was around -$1.84 billion. In contrast, Rupert recorded a last change of -$234 million, with a year-to-date change of +$668 million. At that time, Dangote held the top spot in Africa with a net worth of $13.2 billion compared to Rupert’s $13.1 billion. However, this was short-lived as Rupert’s net worth soon surged to $14.2 billion, surpassing Dangote.
Not long after, Dangote also lost his position as the richest black person in the world to America’s David Steward. Despite these setbacks, Dangote has now reclaimed his title, achieving an unprecedented level of wealth and solidifying his status as Africa’s richest man.
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