HomeEconomy#Dangote Refinery Faces Land Revocation Over Breach of Host Community Agreement

#Dangote Refinery Faces Land Revocation Over Breach of Host Community Agreement

In what may become one of Nigeria’s most consequential land disputes, the Lagos State Government is reportedly considering the revocation of the land title granted to the Dangote Group for its $20 billion refinery project over alleged breaches of agreement and growing discontent from host communities.

Investigations reveal that the land, situated in the Ibeju-Lekki axis of Lagos—a densely populated and ecologically sensitive zone—was transferred to the Dangote Group for a mere $100,000, despite an estimated market value of over $5 billion. The heavily discounted deal was allegedly predicated on commitments by the Dangote Group to prioritize employment for indigenes of Lagos and other Yoruba communities in the Southwest. Those promises, community groups now claim, have been flagrantly broken.

Host Community Neglect and Discriminatory Employment Practices

According to the Lagos Indigenes Association, the refinery has systematically sidelined qualified local youths while importing unskilled labor from Northern Nigeria, including Kano, Katsina, and Sokoto—regions thousands of kilometers away. This has sparked outrage among Yoruba leaders and civil society groups, who view the practice as both exploitative and divisive.

“It’s morally indefensible,” said Dr. Tunde Fashina, a public policy analyst and former environmental regulator. “You cannot build the largest refinery in Africa on Yoruba land, using its resources, coastline, and infrastructure, and then marginalize its people.”

In comparison, countries such as Brazil, India, and Indonesia mandate that at least 70% of unskilled labor for large-scale industrial projects must come from the host community. In India, this is enshrined in the Land Acquisition, Rehabilitation and Resettlement Act (LARR) of 2013.

Environmental Breaches and Global Standards Violations

Worse still, environmental experts warn that the Dangote Refinery may be operating in violation of key international environmental safety regulations due to its location within a high-density area and its potentially toxic output.

Relevant global standards include:

International Finance Corporation (IFC) Performance Standard 3: Requires projects to avoid or minimize pollution and harmful emissions in populated zones.

UNEP Environmental Impact Assessment Guidelines: Recommends buffer zones between hazardous industrial projects and residential areas.

World Health Organization (WHO): Cautions that continuous exposure to refinery-level benzene and sulfur dioxide emissions in urban areas significantly raises cancer and respiratory illness risks.

An internal Lagos State environmental assessment, leaked in 2024, warned of “inadequate compliance with urban zoning principles” and a “disturbing lack of transparency in the approval and oversight process.”

The Dubai Model and Growing Calls for Policy Reform

In response to the outcry, the Lagos Indigenes Association is pushing for a radical policy shift:

All land allocations should henceforth be limited to 20-year leaseholds, akin to Dubai’s foreign land policy.

A new state employment equity law should mandate first-right employment for indigenes of host communities.

Environmental Impact Assessments (EIA) for all large-scale projects must be published and subject to independent audit.

These demands, activists argue, are crucial not just for Lagos, but for preserving equity in Nigeria’s evolving economic geography. “We are not asking for favoritism,” said Hon. Adeshina Ogundare, a member of the Lagos State House of Assembly. “We are demanding fairness and respect.”

Repeat Pattern? Ogun State Allegations Resurface

The controversy is not new. In Ogun State, Dangote Industries faced a standoff with former Governor Ibikunle Amosun over unpaid land use charges and the illegal mining of limestone for the Dangote Cement plant. Local youth groups protested against what they called “economic colonization,” accusing the company of flooding the community with workers from Northern Nigeria while neglecting locals.

Security Concerns and Allegations of Arms Smuggling

More alarmingly, there have been credible allegations linking some Dangote trucks to the clandestine transport of arms and ammunition concealed beneath bags of cement. While the Dangote Group has denied any wrongdoing, several trucks were reportedly impounded by security operatives in 2023 and 2024 for carrying illegal cargo.

As Nobel Laureate Prof. Wole Soyinka once said, “Injustice anywhere is a threat to justice everywhere.” The unfolding Dangote saga speaks to a deeper issue: the unequal terms of corporate citizenship and the moral imperative of respecting host communities.

Conclusion: A Turning Point for Corporate Accountability in Nigeria

Nigeria is at a crossroads. As international investors watch closely, the Dangote Refinery controversy may become a test case for whether the Nigerian state—particularly at subnational levels—will stand up for its people, enforce agreements, and demand accountability from even the most powerful players.

Dr. Tedros Adhanom Ghebreyesus, Director-General of WHO, once said: “The health of our communities should never be compromised for profits.” That message now echoes loudly from the shores of Lekki.

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“When communities give you land, they give you trust. To betray that trust is not just a policy failure—it is a moral failure. No investor should prosper while the host community remains sidelined, unemployed, and unheard.”
— Dr. G. Fraser, MFR, Development Advocate and Public Policy Expert

The National Patriots &
Headlinenews.news Special Investigative Report

“Dangote Refinery Faces Land Revocation Over Breach of Host Community Agreement” I respect this article and agree with the contents. It is time to review this Refinery terms & conditions. I am disappointed that they are recruiting unskilled labour from the North. That is unfair to the host community with unemployment challenges. Nobody will accept that. I disagree with this attitude. I also find it unacceptable that the Refinery is situated in a high density area in Lagos. Dangote should have located the refinery elsewhere. It’s time we start taking the people’s welfare seriously in Nigeria. – Elder Statesman.

” Breach of Trust: Lagos May Reclaim Refinery Land from Dangote” This must be done. It’s non- negotiable. It was a mistake and must be corrected. The House of Assembly must take this up urgently. All our human intellectual force must be utilized to ensure that Dangote is not allowed to get away with this heinous crime and fraud.
Dolapo Ifatunde. Retired police officer.

” Refinery at Risk: Employment Bias, Environmental Violations Rock Dangote Project” – Correct, this is a fact. Dangote should not be allowed to operate in Lagos and Ogun States anymore. He is not an entrepreneur with a human conscience. All his claims are exaggerated and as a capitalist, he does not care for human life. His CSR are non- impacting. He is not interested in human life or he wouldn’t establish such a project in such a location. The wind will blow the toxic fumes and gas as far as Hundreds of miles to other residents of Lagos State. It is also inappropriate for him to offer accommodation within the vicinity of the Refinery as he has done with the Katsina men he has just recruited. Refinery workers must work and leave not live in the vicinity according to health reports. Dangote is in breach of so many international conventions.
– Health management expert.

” Community Betrayal? Dangote Under Fire for Ignoring Lagos Indigenes” – Not Just ignoring, but putting the members of communities at Risk with health hazards, that project is dangerous. Whoever approved it for Dangote in this high density area will be punished by God. It’s wicked. Many people are falling ill in 10 to 100 miles radius of the Refinery. – Dr. Olaiya.

” Dangote Refinery in Crisis as Lagos Indigenes Demand Equity and Accountability” Lagos is no longer like before. We want accountability. Dangote cannot ride us anymore. He has been complaining of injustice by the oil & gas corporations, so the people are now crying out on the injustice of Dangote to Lagosians. We have too many questions and need the government to review Dangote’s terms and conditions then revoke the land ownership for leasehold if he accepts the terms. A committee must be set up to investigate and give recommendations. We have enough bright legal minds here in Lagos. This man should be handled with proper gloves. He deceived us and we need to do what is right now. – Member, House of Representatives

$5 Billion Land, $100,000 Deal: Did Dangote Shortchange Lagos? Definitely, Dangote shortchanged Lagos and everybody knows. Where on earth will anyone get a land mass of hundreds of thousands of acres which cannot be covered by foot for such a fraction of the cost? 1% of actual value!!!!! A land mass with direct access to the ocean, good arable land in the 5th best city in the world for 2025? It’s a big joke. Corruption at its peak! It’s time for review. We have written a petition as well. We will not be shortchanged like this. Even Ashiwaju will not get involved so as not to get his hands soiled with the dirt. The law must take its course. This is not a matter of fuel for Nigeria, it is a matter of the value of the land, the health hazards for the people, the dangers and toxicity of the project, the fraudulent way he escaped an environmental impact assessment, the absence of an environmental & health audit from Lagos state government, the failure of the state government to ask for comments from the public and civil societies before permitting Dangote to set up in Lagos. Did Dangote not approach Ogun State, Ondo State, Akwa Ibom State, Delta State etc. Many states but they turned him down. Why? They are not ready to mortgage their people’s health for money. Babies will be deformed before birth, young men and women will suffer from Cancer, Respiratory diseases and other illnesses which could prove fatal. It’s a depopulation project if located in a city. Why did Fashola accept? Why? He is a traitor. -Activist

“Corporate Power vs. Community Rights: The Dangote Refinery Backlash” I appreciate the perspective and content of this report. Well done. I like the comparative analysis. It has provided a sense of direction and quite enlightening. Now, we need to act immediately. We have received many petitions already and we have no choice but to review the issue of Dangote Refinery especially the terms and conditions for which he was given the land and the agreement. Definitely Fashola will be invited to answer a few questions. Whatever happens, we see him as an interested party and we will make an unbiased assessment of this project. Dangote can not influence anybody anymore as this matter is now in the public and we must do the needful. I agree that Lagos should copy the Dubai model for leasehold for land, not ownership for non- Indigenes. We may end up in court if need be if he is difficult. We are all ready for him. – Civil Servant.

“Host Communities Demand Justice as Dangote Faces Scrutiny Over Lagos Refinery” True. Good report. We can’t count on Governor Sanwo-Olu anymore. We need a vibrant house of Assembly led by Obasa to sort Dangote out and show him Yorubas can’t be taken for granted. I remember he tried it in Ogun State. Amosun really tried. He stood up to Dangote. I like and respect Amosun for this. Obasa should try. The land should be revoked and can be given on leasehold from now. The House of Assembly can do it.15 years lease or 10 years renewable lease. If he doesn’t like it, he can take his Refinery off our land and go to Kano. All he needs is pipeline to take crude to Kano and he can construct that easily with his USA contacts & contracts as an economic hit man! He is causing health issues for our people. House of Assembly can examine the incomplete environmental impact assessment he may have submitted and make it public. Let everyone see what Dangote is about. He got away with his tricks in Ogun State, but not Lagos. Obasa should tackle this for us, then we will know we have a true leader. Who does Dangote think he is? Let him go and try it in the east! Best thing is to relocate his Refinery immediately, then employ the unskilled Katsina boys. We don’t need him in Lagos. If he gave Lagos youths, skilled & unskilled half of what he is spending on unskilled Katsina youths for logistics, feeding, accommodation, salaries, allowance etc, it would get many unemployed in Lagos off the streets. What a wicked man! – Local Government Chairman.

“Refinery Without Roots: Dangote Accused of Economic Disregard for Lagos Hosts” The Lagos State house of Assembly should take up this matter and must not accept bribe which is Dangote’s trademark. Nothing is hidden in Nigeria. This is a great report and I agree with the recommendations therein. Things must change. We need to amend our laws to protect our people. Dangote has taken yorubas for a ride and we must now do the needful.
I will contact the house of Assembly so I can offer support and guideline. – Legal Luminary.

“Land, Labour, and Lies? Growing Calls to Sanction Dangote in Lagos” I propose heavy sanctions on Dangote. Why is he taking the Yorubas for granted and abusing the hospitality extended to him? He doesn’t deserve the massive land Fashola gave him. That’s the biggest mistake Fashola made in his administration. Where is the hundred thousand dollars now? People’s lives in danger, no employment for the people, influx on suspicious Migrants using the refinery as a front, pollution in the air, toxicity of the water for the fishing communities, so much problems for somebody’s greed of hundred thousand dollars!!!!!!! Shame. – Prof Olurotimi.

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