Afreximbank Leads $4bn Financing Deal For Dangote Refinery

By CHIKA IZUORA AND BUKOLA ARO-LAMBO, Lagos

African Export-Import Bank has underwritten $2.5 billion in a $4 billion senior syndicated term loan for Dangote Petroleum Refinery and Petrochemicals.

This is in a move aimed at strengthening the refinery’s financial position and supporting its long-term growth and expansion strategy.

The five-year facility, arranged alongside Access Bank as co-Mandated Lead Arrangers, is designed to consolidate existing debt, optimise the refinery’s capital structure and align its financing with current operational realities.

Afreximbank said it also secured a $2 billion, three-year dual-tranche syndicated term loan, the largest borrowing in its history.

The transaction marks a significant milestone for the Dangote Refinery, Africa’s largest refining and petrochemical complex with a capacity of 650,000 barrels per day.

Afreximbank’s $2.5 billion participation represents the largest share of the syndicate, underscoring its strategic role in mobilising capital for industrial projects across the continent. The bank said the financing aligns with its mandate to promote industrialisation, reduce reliance on imported petroleum products and deepen intra-African trade.

Since refining operations commenced in February 2024, Afreximbank has played a key role in supporting the project, including providing a $1 billion working capital facility and acting as financial adviser on the Naira-for-Crude initiative, which facilitates crude procurement and product sales in local currency.

Speaking during a strategy session in Cairo, Egypt, President and Chairman of the Board of Directors of Afreximbank, George Elombi, said the bank’s continued backing reflects confidence in indigenous African enterprises.

“We take immense pride in being the single largest provider of financing to the Dangote Group. We do so primarily because Dangote is African,” he said. “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”

Elombi disclosed that Afreximbank has committed about $15 billion to Dangote Group since 2015, highlighting the scale of its long-term partnership with the conglomerate.

President and Chief Executive of Dangote Industries Limited, Aliko Dangote, described the financing as a critical step in positioning the refinery for its next phase of expansion.

“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 syndicated loan attracted strong participation from a mix of African and international financial institutions, reflecting sustained investor confidence in the refinery as a transformative industrial asset that advances Africa’s energy security, reduces import dependence, and supports the continent’s broader industrialisation agenda.

Meanwhile, the bank’s website stated that a $2 billion syndicated loan deal was concluded on March 9, 2026. Speaking on the development, the bank’s managing director, Treasury and Markets, and group treasurer, Chandi Mwenebungu, said the successful outing demonstrates sustained trust from international investors.

“This transaction is the largest ever syndicated facility borrowing by Afreximbank. It is a clear demonstration of the global investors’ confidence in the Bank’s credit story. This, clearly, affirms the Bank’s robust and undisputed access to international markets,” he stated.

Described as its biggest-ever syndicated facility, the transaction saw Afreximbank raise funds from a consortium of global lenders, underscoring its strong credit profile and market appeal.

The facility, which initially launched at about $1.5 billion, recorded strong oversubscription, with commitments exceeding the target by a significant margin. However, the bank capped the final size at $2 billion, trimming excess bids.

A breakdown of the financing shows that $1.73 billion was raised through a US dollar tranche, while €228 million was raised through a euro-denominated tranche, bringing the total to its dollar equivalent.

Proceeds from the loan is to be deployed to refinance existing obligations and support the bank’s general corporate activities, in line with its mandate to promote intra- and extra-African trade.

Further checks revealed that no fewer than 31 lenders across Europe, the Middle East, Asia, and Africa participated in the syndication, highlighting broad-based international backing.

Top global financial institutions, including Mashreqbank PSC, MUFG Bank, and Standard Chartered Bank, acted as joint global coordinators and bookrunners, with Standard Chartered also serving as facility and documentation agent.