Afreximbank Leads $1.35 Billion Deal in Syndicated Loan to Refinance Dangote Refinery
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The African Export-Import Bank (Afreximbank) has signed a $1.35 billion financing facility as the Mandated Lead Arranger in a $4 billion syndicated loan to refinance the Dangote Petroleum Refinery and Petrochemicals Complex.
The deal, announced on August 4, 2025, aims to address initial operational expenditures and improve the balance sheet of Dangote Industries Limited (DIL), which owns and operates the refinery.
Located in Lekki, Nigeria, the Dangote Petroleum Refinery and Petrochemicals Complex began operations in February 2024. It has a capacity of 650,000 barrels per day (bpd), making it the world’s largest single-train refinery.
It is designed to meet domestic demand for refined petroleum products and export the surplus to other African countries and international markets. By July 2025, it had exported one million tonnes of petrol within 50 days.
The $4 billion syndicated loan is intended to refinance capital already spent on construction and support ongoing operations. Afreximbank’s $1.35 billion contribution is the largest individual share. The facility has drawn participation from African and international financial institutions.
Afreximbank has previously supported the project with financing for crude supply and product offtake arrangements. The current facility is expected to ease pressure from early-stage costs and help maintain continuous operations.
The Dangote complex also includes a petrochemical plant producing polypropylene and a fertilizer plant with a capacity of three million tonnes of urea annually. These are intended to support both industrial and agricultural sectors.
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The deal comes as several African countries seek to reduce their reliance on imported fuel. Nigeria, for example, has traditionally imported most of its refined petroleum despite being a crude oil producer. The refinery’s output is expected to cut into the country’s $30 billion annual fuel import bill.
In April 2025, Afreximbank launched a $3 billion Revolving Intra-African Oil Import Financing Programme to support the trade of refined petroleum products across the continent. The programme includes facilities for refineries in Nigeria, Angola, and Ivory Coast, and aims to increase regional refining capacity.
Dangote Industries has also begun expanding its operations. In July 2025, it appointed David Bird, former CEO of Oman’s Duqm Refinery, to head its fuels and petrochemicals division. There are also plans to increase refining capacity to 700,000 bpd and develop port and storage infrastructure in markets such as Namibia.
The funds from the syndicated loan are expected to support these operational and export plans, while also ensuring that the refinery remains stable during its early years of production.
Jefferson Wachira is a writer at Africa Digest News, specializing in banking and finance trends, and their impact on African economies.
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