The Dangote Petroleum Refinery has secured a $4 billion senior syndicated mortgage, with African Export-Import {Bank} underwriting $2.5 billion, marking a serious financing milestone for Africa’s largest refinery challenge.
A syndicated mortgage entails a number of lenders pooling sources to fund large-scale initiatives. On this deal, Afreximbank and Entry {Bank} are appearing as co-mandated lead arrangers for the five-year facility.
Afreximbank described the transaction as a big step ahead for the refinery, which has a processing capability of 650,000 barrels per day. The funding is predicted to boost the refinery’s {financial} flexibility, strengthen its steadiness sheet, and reinforce its position as a key provider of refined petroleum merchandise throughout Africa and international markets.
The {bank} additionally highlighted its ongoing help for the challenge, together with a $1 billion working capital facility offered after operations started in February 2024, in addition to its advisory position within the Naira-for-Crude initiative—designed to cut back reliance on international change by enabling transactions in native forex.
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Commenting on the event, George Elombi, President and Chairman of the Board of Administrators of Afreximbank, emphasised the {bank}’s long-term dedication to indigenous industrial progress. He famous that over $15 billion has been invested within the Dangote Group since 2015.
Elombi described the refinery as an emblem of Africa’s industrial ambition, including that such initiatives improve vitality safety, scale back import dependence, and promote intra-African commerce.
The refinery, in flip, expressed appreciation for the continued help, reaffirming its objective of constructing world-class industrial capability to serve Nigeria, the continent, and worldwide markets.
The deal additionally attracted sturdy participation from a mixture of African and international {financial} establishments, underscoring investor confidence within the refinery as a transformative asset and in Africa’s broader industrialisation drive.
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