The Nigerian National Petroleum Company Limited (NNPC) has announced that it has secured a $1 billion loan backed by crude oil to support the commencement of operations at the 650,000 barrels per day Dangote Petroleum Refinery.
This significant financial support was revealed by Olufemi Soneye, NNPC’s Chief Corporate Communications Officer, during the Energy Relations Stakeholders Engagement held in Abuja on Monday, December 16, 2024.
The loan is part of NNPC’s broader strategy to foster public-private partnerships that drive national development.
In January 2024, NNPC, in collaboration with Afreximbank, arranged a syndicated $3.3 billion crude oil prepayment facility, recognized as the largest crude-backed loan in Nigeria and one of the largest syndicated financial transactions in Africa.
Soneye emphasized that this strategic decision to secure the $1 billion loan was instrumental in supporting the Dangote refinery during liquidity challenges, paving the way for the establishment of Nigeria’s first private refinery.
He also highlighted the resumption of operations at the Port Harcourt Refining Company, describing it as a major milestone in Nigeria’s pursuit of energy self-sufficiency.
Under the visionary leadership of Mele Kyari, NNPC has achieved groundbreaking milestones, redefining the trajectory of Nigeria’s oil and gas sector.
The company has also facilitated the $3 billion Gazelle loan, a critical intervention aimed at stabilizing Nigeria’s foreign exchange challenges.
Soneye reaffirmed NNPC’s commitment to strengthening Nigeria’s energy sector and promoting Compressed Natural Gas (CNG) as a cleaner, more affordable alternative energy source.
He noted that the company has already surpassed its profit projections for 2024, marking a significant financial turnaround.
This initiative underscores NNPC’s dedication to fostering partnerships that drive national development and position Nigeria’s oil and gas industry for sustainable growth and global competitiveness.
