The Dangote Group’s fertilizer arm secured $600 million from the African Finance Corporation to drive the urea producer’s expansion plans. Dangote’s plant in Lagos produces 3 million metric tonnes of fertilizer annually, making it a key supplier for Africa as the continent seeks to wean itself off imports in the wake of the Iran war, which laid bare its reliance on supplies transported through the Strait of Hormuz.
AFC’s financing is part of Dangote’s $7 billion expansion plan to triple fertilizer output from its Nigeria plant, and set up a new one in Ethiopia. It is one of several major expansion projects in the Dangote ecosystem: The firm also plans to double production from its Nigerian oil refinery and build a facility in East Africa.