Aliko Dangote Is Now A Coal Miner In Tanzania
Africa’s richest man, Aliko Dangote is getting into coal mining business.
East African country, Tanzania has offered his Dangote Cement Company a land in the southeastern town of the country called Mtwara, to mine coal for its operations.
Tanzania’s Ministry of Energy and Minerals at the weekend handed a 10-square-kilometre plot of land to the 500 million dollars cement factory set up in 2015 by Dangote.
The factory has an annual capacity of 3 million tons.
According to a local newspaper, The Citizen, the coal concession was sanctioned by President John Magufuli to allow the company get a reliable supply to fuel its activities.
Tanzania has banned the importation of coal from South Africa and the only one coal producing company in the country, Tancoal cannot meet market demands.
Dangote runs on expensive diesel generators and requested Tanzanian government’s support last year to supply natural gas at a reduced price.
President Magufuli later intervened after a meeting with the Nigerian billionaire over stalled negotiations on prices.
He blamed middlemen for the delay in supply plans and said Dangote “will now buy natural gas directly from the state-run TPDC (Tanzania Petroleum Development Corporation)”.
The rich keep getting richer