The decision by the Lagos State Government to reduce the cost of land allocated to the Dangote Group was a strategic sacrifice aimed at securing what would later become the multi-billion-dollar Dangote Petroleum Refinery in the Lekki Free Zone, according to former governor Babatunde Fashola.
Fashola made the disclosure while delivering a keynote address titled “From Presence to Power: Advancing Women’s Influence in the Boardroom” at the Chartered Institute of Directors (CIoD) Nigeria Women Directors’ Biennial Conference held at the National Arts Theatre in Lagos.
He explained that the state had initially applied a fixed pricing structure for land allocations, but negotiations with the Dangote Group stalled when the cost was considered too high by the investor. The turning point, he said, came after internal deliberations within the state executive council, influenced by then Commissioner for Commerce and Industry, Mrs. Olusola Oworu.
According to Fashola, Oworu made a case for prioritising long-term economic gains over immediate land revenue.
“Look, Governor, you have 16,000 hectares of land. The Chinese are in 3,000 hectares. We have barely built 200. Thirteen thousand is waiting for investors. You have now found an investor who wants to take 2,000 hectares and build a refinery of $19 billion and you are quibbling over the cost of the land. Offer the land at a discount. Once it comes in, others will follow. And then you can make money from your land,” Fashola quoted Oworu as telling the State Executive Council.
The former governor said the argument shifted the direction of the discussion entirely.
“That was a thinking decision. And the whole of council then looked to me and I surrendered,” he said.
Fashola added that the intervention ultimately ensured Lagos retained the project after earlier negotiations had reached an impasse.
He also used the episode to highlight broader leadership lessons, particularly around competence and inclusion, stressing that effectiveness in leadership is not defined by gender.
“Ineffectiveness is not a gender thing; it is a human thing,” he said.
According to him, the outcome underscored the importance of strategic decision-making in attracting large-scale investments that can reshape a state’s economic trajectory.
Wider Calls for Stronger Female Leadership in Boardrooms
The conference where Fashola spoke also focused on expanding women’s influence in corporate leadership, with speakers urging organisations to move beyond symbolic representation and ensure women play more decisive roles in strategic decision-making.
CIoD Nigeria First Vice President, Mrs. Amina Oyagbola, noted that while more women are now present on corporate boards and in leadership positions across sectors, they still rarely occupy the most powerful roles where final decisions are made.
She called for stronger mentorship and sponsorship structures to build a more sustainable pipeline of female leaders.
CIoD Nigeria President and Chairman of the Governing Council, Otunba Adetunji Oyebanji, echoed similar concerns, stating that leadership appointments should be driven strictly by competence, skill and integrity rather than traditional pathways that have historically limited access for women.
He added that improving women’s influence in boardrooms is now more urgent given the pressures organisations face from economic uncertainty, technological disruption and shifting stakeholder expectations.
Background: The Dangote Refinery Project
Originally, the Dangote Group had planned to site the refinery in the Olokola Free Trade Zone spanning Ogun and Ondo states. However, disagreements with the Ogun State Government under former Governor Ibikunle Amosun led to a relocation of the project to Lagos’ Lekki Free Zone.
The refinery began production on January 12, 2024, and has since grown into Africa’s largest refinery, with a capacity of 650,000 barrels per day, making it one of the world’s biggest single-train refining facilities.
By February 2026, the facility had reportedly reached full designed capacity after optimisation of its crude distillation and fuel production units. The project has also attracted renewed investor interest, with plans underway to raise about $1 billion through a private placement following a valuation of $39.1 billion, while demand for participation has reportedly exceeded $2 billion.
Now regarded as one of Nigeria’s most significant private-sector investments, the refinery continues to expand its operations while positioning itself for additional capital inflows amid growing global attention to Africa’s energy infrastructure.