The production of fertilizers as an input in the value chain has been bolstered over time in an effort to support agricultural productivity and economic growth in Nigeria and the rest of Africa. Crop yields and agricultural productivity would be significantly lower without the addition of fertilizers.
Notore’s story is one of true growth, beginning with the takeover of the moribund National Fertilizer Company of Nigeria (NAFCON) in 2004/2005 by a consortium of both Nigerian and foreign private and institutional investors during a privatization round coordinated by the Bureau of Public Enterprises (BPE).The company operates as an integrated agro-allied and chemicals company that has been the primary supplier of fertilizer to the federal government’s anchor borrowers program to promote self-sufficiency in food and agricultural product production, as well as improving farmer yields and has impacted an estimated 14 million farming households in Nigeria.
It has become one of Sub-Saharan Africa’s leading fertilizer and agro-allied companies, championing the African Green Revolution. Notore’s commercial operations include the production of nitrogen fertilizers such as urea, ammonia, and NPK fertilizer. Its subsidiaries include: Notore Supply and Trading Mauritius Limited, Notore Seeds Limited, Notore Power Ltd, Notore Foods Limited.
The company is based in Onne (near Port Harcourt), Rivers State, in South-South Nigeria, and primarily produces and sells fertilizer products and power, placing it in a good position for effective shipment and distribution along the Atlantic coast.
Its primary activities include the supply of premium fertilizers, the provision of appropriate education on best farming practices, and the proper implementation of these practices for the best results.
Notore’s operations also includes the manufacturing of nitrogen fertilizers such as urea, ammonia and NPK fertilizers on a commercial basis.
Stakeholders
Mr. Jite Okoloko- Founder
The founder of Notore Chemical Industries Plc is Mr. Onajite Okoloko. He earned his bachelor’s degree in economics from the University of Benin in Nigeria in 1986 and attended the Harvard Business School.
He also serves as chairman of Midwestern Oil and Gas Plc as well as Eroton Exploration & Production Company Limited. He also served as a board member of Union Bank of Nigeria Plc and is a founding partner of the Ocean & Oil/Oando Group.
Mr. Okoloko spent over 20 years working in corporate America before moving back to Nigeria in 1994 with experience in sales, marketing, and business development. As the only private sector representative, he was appointed to the Nigerian Presidential Committee on Oil and Gas in 2004.
He is also the founding partner of Oando Nigeria Limited, one of the biggest publicly traded energy companies in Nigeria, and Chairman of Midwestern Oil & Gas Nigerian Limited.
He retired after 16 years of running the affairs of Notore in 2021 with Ohis Ohiwerei taking over from him as the CEO of the company, as of February 1, 2021.
Mr. Ohis Ohiwerei- GMD/CEO
Notore Chemical Industries Plc’s current Group Managing Director and Chief Executive Officer is Mr. Ohis Ohiwerei. Mr. Ohiwerei worked in the financial services industry prior to joining Notore. After 24 years in the banking industry, he retired as Executive Director of Guaranty Trust Bank Plc, where he was in charge of Commercial Banking and Public Sector in Lagos. Prior to that, he was Chief Financial Officer and also an Executive Director at Diamond Bank Plc.
He has a Bachelor of Engineering from the University of Benin with and a Master of Business Administration and studied Advanced Management at Harvard Business School and Advanced Strategic Management at the IMD Business School in Switzerland.
Mr. Ohiwerei serves on the board of AXA Mansard Nigeria Plc and Orange One Finance Limited as an Independent Director and has served on the board of various banks.
Other Board members include:
- Mr. Micheal Osime
- Engr Mike Orugbo
- Mr. Ikeme Osakwe
- Mr. Hassan Badrawi
- Mr. Bashir Lebada
- Mr. Michael Jansa
- Mr. Femi Agbaje
- Mr. Tseyi Louis
- Mr. Ovie Ukiri
- Mr. Ebiaho Emafo
- Mr. Jonathan Yusufu Pam
- Mrs Otivbo Saleh
Directors’ Shareholding
The shareholding interests of the Directors in the Issued Share Capital of the Company are as follows:
- Mr. Onajite P. Okoloko (Indirect – Notore Chemical Industries (Mauritius) Ltd and Okmine Global Services Ltd) – 1,238,274,438
- Mr. Michael Osime (Indirect – Notore Chemica Industries (Mauritius) Ltd) – 1,234,055,768
- Engr. Mike Orugbo, JP -34,333,330
Highlight of achievement by former MD/ CEO
- Post-acquisition of NAFCON, Mr. Jite Okoloko successfully completed the largest single loan syndication of Nigerian banks at the time, enabling his company, Notore to raise US$222 million amongst 7 Nigerian financial institutions and completed a successful rehabilitation after NAFCON lay idle for more than 10 years.
- He enabled Notore to scale through a rigorous period of assessment to meet the guidelines and conditions set by Nigeria’s capital market to be an active player in the sector.
- He succeeded in making Notore has the second largest fertilizer plant in Sub-Saharan Africa and the only petrochemical business in Nigeria with access to long term gas supplies via a 20-year off-take with Eroton.
- Commissioned a 2000MTPD NPK Blending Plant in March 2020 which produces various crop and soil specific NPK blends that are already in the market. Notore is also currently supplying NPK under the Presidential Fertilizer Initiative (PFI).
- Safety in the operation of the Plant and support activities which led to the achievement of a new Milestone in Loss Time Injury (LTI) free operation; crossing the 10 million manhours mark on 20th March 2020.
- Critical equipment was acquired for use in the upgrade of the Gas Turbine Generator (GTG)
- Notore’s NPK product gained market traction and is expected to be an important source of revenue for the company in the coming years.
- The Notore Rice pilot project was completed in 2021, yielding 5,000 50kg bags of high-quality Notore Rice. Phase 2 is currently underway in order for it to become commercially viable.
- As of December 31, 2021, Notore had recorded 14, 026,586 LTI free man hours on plant operations and employee safety support activities.
Employees- Staff strength and employment policy
Notore has over 500 employees and abides by its policy of fair consideration of job applications. The Group’s policy prohibits discrimination of disabled persons in the recruitment, training and career development of its employees.
The average salary and compensation of its employees is not publicly available.
Performance
Notore was on Thursday, August the 2nd, 2018, listed on the Nigerian stocks a stock exchange boosting the market capitalization by a 100.75 billion through its listing of 1.6612 ordinary shares at 62.50 naira per share.
97% of its revenue is from the sale of fertilizers such as urea and other chemicals with export accounting for about 17% of total revenue. It reported revenue of N16.3 billion for the first quarter ended March 31, 2022, compared to N4.7 billion for the same period in the previous year, representing a 239% increase year on year.
This was primarily due to relatively stable production operations and favorable global market conditions during the period. In the same vein, the Group generated a net profit before tax of N2.60 billion during the period.
Awards
Notore as the only urea fertilizer plant in sub-Saharan Africa has received numerous awards, few of which is:
- The prestigious service award of excellence by the Nigerian Customer Service Awards (NCSA)
- Recognized for the strides we have made in the industry as well as our incredible impact on Nigerian farmers.
- Exceptional safety culture by the Nigerian Employers Consultative Association (NECA) and the Nigerian Social Insurance Trust Fund (NSITF) awarded Notore
- Safe Work Intervention Project (SWIP) in June, 2013 among the best four in a nationwide HSE audit by NECA-NSITF
Competition
The major players are Nulandis which was founded in 2011, and is headquartered in Kempton Park, Gauteng, South Africa. The company appears appear to be Notore’s biggest competitor. Newtown Fertilizers founded in 2000 follows as another competitor, and is headquartered is in Johannesburg, Northern Cape, South Africa. Africa Fertilizers Limited is another competitor that was founded in 2010 in Beira, Maputo Province, Mozambique.
In Nigeria, Indorama located at Eleme, Port-harcourt became one of its competitor locally as at 2015 as well as and the most recently commissioned Dangote fertilizer plant.
Despite the growing competition in the industry, it appears Notore will continue to be a relevant player in supporting local farmers to promote food production.
How will Jite Okololo close food security in Africa 🌍? And With whose resources ? I wonder if the African leader will allow this man to do that initiative.