The African Export-Import Bank (Afreximbank) has underwritten $2.5bn out of a $4bn senior syndicated term loan for Dangote Petroleum Refinery and Petrochemicals.
The facility is aimed at strengthening the refinery’s financial position and supporting its long-term growth.
According to the statement on Tuesday, Afreximbank explained that it acted as a co-Mandated Lead Arranger alongside Access Bank for the five-year facility.
It explained that the loan would be used to consolidate existing debt, optimise the refinery’s capital structure, and align its financing with current operational realities.
The bank described the deal as a major milestone for the Dangote Refinery, which has a refining capacity of 650,000 barrels per day and is regarded as Africa’s largest refinery and petrochemical complex.
Afreximbank noted that its $2.5bn contribution represents the largest share in the syndicate, underscoring its
leadership role in mobilising capital for Africa’s industrialisation.
“African Export-Import Bank (Afreximbank) is pleased to announce that it has underwritten US$2.5bn in the US$4bn senior syndicated term loan in favour of Dangote Petroleum Refinery and Petrochemicals FZE.
“Afreximbank and Access Bank were appointed co-Mandated Lead Arrangers for the five-year facility to consolidate existing financing, optimise its capital structure and align with the refinery’s operational status and long-term growth plan.
“The transaction marks a major milestone for DPRP, Africa’s largest refinery and petrochemical complex with a capacity of 650,000 barrels per day.
“The facility will enhance balance sheet flexibility, strengthen the company’s financial position, and support the refinery as a strategic supplier of refined petroleum products to Africa and the global marke,” the statement said.
Providing further insight, the President and Chairman of the Board of Directors of Afreximbank, Dr. George Elombi, stated that the bank’s continued investment in the Dangote Group reflects its confidence in African-led industrial projects.
Elombi stated, “We take immense pride in being the single largest provider of financing to the Dangote Group. We do so primarily because Dangote is African. When we invest in ourselves, we do more than create jobs and wealth or expand government revenues; we build a secure and resilient future for our continent. This is why we are pleased to have invested about US$15bn in the Dangote Group since 2015.”
Elombi stressed that there was nothing more rewarding than investing in African enterprises, emphasising that
empowering them was imperative for the continent’s self-sustainability.
He noted, “Afreximbank and its Board of Directors stand ready to support the realisation of Dangote Group’s aspirations because when we build our institutions and provide the requisite support to grow, we will no longer have to look elsewhere for benevolence or salvation in difficult times.”
“This transaction makes a powerful statement about Afreximbank’s commitment to backing transformative and indigenous industrial projects that are reshaping Africa’s economic future. The Dangote Refinery stands as a bold symbol of what African ambition, African capital and African execution can achieve at scale.
“Beyond expanding refining capacity, it is strengthening the foundations of Africa’s energy security, reducing dependence on imports and opening new frontiers for intra-African trade and industrial development.
“Afreximbank is proud to stand alongside this historic achievement and to continue supporting the continent’s journey towards greater self-sufficiency, resilience and prosperity.”
In his remarks, the President and Chief Executive Officer of Dangote Industries Limited, Aliko Dangote, said the facility would position the refinery for its next growth phase.
“This financing marks an important step in strengthening the financial foundation of Dangote Petroleum Refinery & Petrochemicals and positions the business for the next phase of its growth,” he said.
“We appreciate Afreximbank’s continued support and confidence in our vision to build world-class industrial capacity that serves Nigeria, Africa and global markets.”
The bank also disclosed that the loan attracted strong interest from a consortium of African and international financial institutions, reflecting sustained investor confidence in the refinery project.
According to local media reports on Tuesday, the $20bn Dangote Refinery commenced operations in February 2024 and has been positioned as a game-changer in Nigeria’s downstream oil sector, with expectations to significantly reduce the country’s reliance on imported petroleum products.
GIK/APA