The African Export-Import Bank has underwritten $2.5bn out of a $4bn senior syndicated term loan for Dangote Petroleum Refinery and Petrochemicals, in a move aimed at strengthening the refinery’s financial position and supporting its long-term growth.
In a statement issued on Tuesday and posted on its website, the bank said 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.
The statement read, “African Export-Import Bank (Afreximbank) is pleased to announce that it has underwritten $2.5bn in the $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 market.”
The bank said the financing aligns with its broader mandate to promote import substitution, boost intra-African trade, and enhance energy security across the continent.
“Afreximbank’s participation of $2.5bn is the largest share in the syndicate and underscores the Bank’s leadership in mobilising capital to support Africa’s industrialisation, advancing import substitution, promoting intra-African trade in refined petroleum products, and strengthening energy security.
“Since the commencement of refining operations in February 2024, Afreximbank has supported the refinery with a $1bn working capital facility, as well as acting as Financial Adviser on the Naira-for-Crude initiative, which is facilitating the purchase of crude oil and sale of refined products in local currency, eliminating the dependence on foreign currency,” the statement added.
Providing further insight, the President and Chairman of the Board of Directors of Afreximbank, George Elombi, said the bank’s continued investment in the Dangote Group reflects its confidence in African-led industrial projects.
“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 $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.”
Reacting, 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.
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.
Afreximbank has been a key financial partner in the project, having previously provided a $1bn working capital facility and served as financial adviser on the Federal Government-backed naira-for-crude initiative.
The initiative allows the refinery to purchase crude oil and sell refined products in naira, easing pressure on foreign exchange demand and supporting local currency stability. The latest $4bn syndicated loan signals growing confidence in the refinery’s operational viability and its potential to reshape energy supply dynamics across Africa.
The syndicated term loan attracted strong interest from a consortium of African and international financial institutions, reflecting continued confidence in the Dangote Petroleum Refinery as a transformative industrial asset and in Africa’s broader industrialisation agenda.
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