Afreximbank Leads $4 Billion Financing Deal to Bolster Dangote Petroleum Refinery
In a significant move for Africa’s energy sector, the African Export-Import Bank (Afreximbank) has played a pivotal role in securing a $4 billion syndicated term loan for the Dangote Petroleum Refinery and Petrochemicals FZE (DPRP). Afreximbank underwrote $2.5 billion of the total facility, marking its largest single contribution in the financing consortium.
The five-year loan, co-arranged by Afreximbank and Access Bank, aims to consolidate existing financing, optimize DPRP’s capital structure, and align resources with the refinery’s operational needs and long-term growth ambitions.
A Milestone for Africa’s Largest Refinery
Located in Nigeria, the Dangote Petroleum Refinery is the largest refinery and petrochemical complex in Africa, with a staggering capacity of 650,000 barrels per day. Operational since February 2024, the refinery has already begun reshaping Africa’s energy landscape by reducing dependence on imported refined petroleum products and strengthening regional energy security.
Afreximbank’s involvement extends beyond this latest financing deal. The bank previously provided a $1 billion working capital facility to support the refinery’s operations. Additionally, Afreximbank served as a financial adviser for the Naira-for-Crude initiative, which enables the purchase of crude oil and sale of refined products in local currency, minimizing reliance on foreign exchange.
Building a Self-Sufficient Africa
During a strategy session in Cairo, Egypt, Dr. George Elombi, President and Chairman of Afreximbank’s Board of Directors, highlighted the significance of investing in African enterprises like the Dangote Group.
“We take immense pride in being the single largest provider of financing to the Dangote Group,” said Dr. Elombi. “Investing in African businesses is not just about creating jobs or generating wealth—it’s about building a secure and resilient future for our continent.”
Since 2015, Afreximbank has invested approximately $15 billion in the Dangote Group, underscoring its commitment to supporting transformative projects that drive Africa’s industrialization and economic independence.
Dr. Elombi emphasized that empowering African businesses is critical for the continent’s self-sustainability. “When we build our institutions and provide the necessary support to grow, we no longer need to look elsewhere for assistance during challenging times,” he added.
A Symbol of African Ambition
The Dangote Refinery is more than a refinery—it’s a testament to African ambition, capital, and execution. By bolstering refining capacity, the project is reducing Africa’s reliance on imported fuel, fostering intra-African trade, and laying the groundwork for industrial development across the continent.
Aliko Dangote, President and CEO of Dangote Industries Limited, expressed gratitude for Afreximbank’s unwavering support. “This financing marks an important step in strengthening the financial foundation of our refinery and positioning the business for its next phase of growth,” he said. “We remain committed to building world-class industrial capacity that serves Nigeria, Africa, and global markets.”
Strong Consortium Support
The syndicated term loan garnered significant interest from a consortium of African and international financial institutions, reflecting confidence in the Dangote Refinery as a transformative asset and in Africa’s broader industrialization agenda.
This deal underscores Afreximbank’s leadership in mobilizing capital for initiatives that drive economic growth, enhance energy security, and promote intra-African trade. As Africa continues its journey toward self-sufficiency, projects like the Dangote Refinery stand as powerful symbols of what the continent can achieve with bold vision and strategic investment.
— Reported by Nexio News
