On Wednesday, the Dangote group sealed a $3.3bn deal with 11 banks both local and foreign to finance the building of a petrochemical plant consisting of a refinery and fertilizer plant in the country.

According to the President, Alhaji Aliko Dangote, the refinery will commence operation by 2016 and will generate over 10,000 direct jobs. It will also put an end to importation of refined petroleum products into the country.

He also said it will be the largest refinery in Africa after construction, thus making Nigeria an exporter of petroleum products.

This investment initiative is in form of a loan for agreement for the construction of a petrochemical plant which will be located at the Olokola Free Trade Zone in Ondo and Ogun states.

The loan facility was coordinated globally by Standard Chartered Bank and was co-financed in Nigeria by Guaranty Trust Bank Plc, Access Bank Plc, Zenith Bank Plc, Ecobank Nigeria Limited and Fidelity Bank Plc.

Other co-financiers are First Bank of Nigeria Limited, United Bank for Africa Plc, First City Monument Bank Plc, Diamond Bank Plc, FirstRand Bank and Standard Bank of South Africa Limited.

Dangote said “As an investor who believes in Nigeria, knows Nigeria well and whose prosperity was made in Nigeria, we have responded to the challenge with our recent decision to invest over $9bn in a refinery/petrochemical and fertilizer complex to be located at the OKLNG Free Trade Zone. This complex will be the largest industrial complex project ever in the history of our great nation.

“Funding for the project will come from a $3.3bn medium term loan, the agreement for which we are signing today, and also an additional $2.25bn from the Development Financial Institutions to augment our equity contribution of $3.50bn.”

The Governor, Central Bank of Nigeria, Mr. Lamido Sanusi also speaking at the event, said the success of the reform was a testimony to the fact that Nigerian banks could offer credits when any project could add value to the real sector was being provided.