The African Export-Import Bank (Afreximbank) has underwritten $2.5 billion of a $4 billion senior syndicated loan secured by Dangote Petroleum Refinery and Petrochemicals, marking a significant financing milestone for the project.
A syndicated loan involves multiple lenders pooling funds to provide a large facility. In this case, Afreximbank and Access Bank are acting as co-mandated lead arrangers for the five-year loan.
According to Afreximbank, the funding will improve the refinery’s financial flexibility, reinforce its balance sheet, and support its operations as a key supplier of refined petroleum products across Africa and international markets. The Dangote Refinery, regarded as Africa’s largest, has a refining capacity of 650,000 barrels per day.
The bank also highlighted its continued involvement in the project, noting that it previously provided a $1 billion working capital facility and served as financial adviser on the Naira-for-Crude initiative. This initiative allows transactions for crude oil and refined products to be conducted in local currency, helping to reduce pressure on foreign exchange.
Afreximbank President, George Elombi, said the bank remains committed to supporting large-scale African industrial projects, adding that it has invested about $15 billion in the Dangote Group since 2015. He described the refinery as a major example of Africa’s capacity to execute transformative projects, noting its role in improving energy security, reducing import dependence, and boosting intra-African trade.
The Dangote Refinery also expressed appreciation for the continued backing, stating that the funding reflects strong confidence from both African and international financial institutions. The loan is expected to further strengthen the refinery’s position as a critical industrial asset driving economic growth and development across the continent.
