(Ecofin Agency) - Dangote Group has on Thursday commenced the payment of more than N850 million ($2.3 million), as compensation to land owners affected by its sugar refinery project in Nasarawa State.

According to reports, 60,000 hectares were acquired by the group for the construction of the refinery. Silas Agara, Deputy Governor of the state, who disbursed the funds to the beneficiaries assured that all those whose lands were taken would be duly compensated. He, however, cautioned against impersonation, stating that the government would sanction anyone sabotaging the success of the project.

It should be recalled that Dangote in June signed a memorandum of understanding with the Nasarawa state government for a $700m sugar project in the state. The project comprises of a 60,000ha sugar plantation and two sugar factories with the capacity to produce 430,000tpa of refined white sugar and is expected to create 30,000 jobs for youths in the state.

Anita Fatunji