Afreximbank Anchors $4bn Syndicated Loan for Dangote Refinery with $2.5bn Commitment

The African Export-Import Bank has taken a leading role in a $4 billion senior syndicated term loan for Dangote Petroleum Refinery and Petrochemicals, underwriting $2.5 billion to reinforce the refinery’s financial base and support its expansion plans.

The five-year financing facility, arranged in partnership with Access Bank as co-mandated lead arranger, is aimed at restructuring existing debt, improving the refinery’s capital structure, and aligning funding with its operational needs.

This deal marks a major milestone for the refinery, widely regarded as Africa’s largest, with a processing capacity of 650,000 barrels per day. Afreximbank’s contribution represents the largest portion of the loan syndicate, highlighting its central role in mobilising funding for large-scale industrial projects across the continent.

The bank noted that the financing aligns with its broader mandate to drive industrialisation, cut dependence on imported petroleum products, and boost intra-African trade.

Since the refinery began operations in February 2024, Afreximbank has remained a key partner, previously providing a $1 billion working capital facility and serving as financial adviser on the Naira-for-Crude initiative, which supports local currency transactions for crude supply and refined product sales.

Speaking at a strategy session in Cairo, Afreximbank President and Board Chairman, George Elombi, said the continued investment reflects strong confidence in African-led enterprises.

He emphasised that backing indigenous businesses goes beyond profit, contributing to job creation, increased government revenues, and a more resilient continental economy.

Elombi also revealed that Afreximbank has committed approximately $15 billion to the Dangote Group since 2015, underscoring the depth of the long-standing partnership.

President and Chief Executive of Dangote Industries Limited, Aliko Dangote, described the financing as crucial to the refinery’s next growth phase, noting that it strengthens the company’s financial footing and positions it for further expansion.

The loan syndication drew strong interest from both African and international financial institutions, reflecting sustained investor confidence in the refinery as a transformative asset for Africa’s energy security, reduced import reliance, and long-term industrial development.