ANGOLA – The African Export-Import Bank (Afreximbank) has announced its commitment to support the establishment of Ammonia and Urea Fertilizer’s (AMUFERT) fertilizer plant in Soyo, Angola, with a financing facility of US$1.4 billion.
Acting as the project’s lead arranger and financial advisor, Afreximbank will collaborate with Angolan conglomerate OPAIA Group and the state-owned Sonangol P&P Natural Gas (Sonagas), who will serve as sponsors.
“Afreximbank’s US$1.4 billion investment in the AMUFERT fertilizer plant is a strategic and transformative move for Angola. This initiative addresses critical gaps in agricultural self-sufficiency and underscores the interconnected role of energy in driving sustainable agricultural development,” said NJ Ayuk, Executive Chairman of the AEC.
According to him, the involvement of OPAIA Group and Sonagas is pivotal to the project’s success and will set a new benchmark for industrial growth and economic resilience in Angola.
The African Energy Chamber (AEC), a key advocate for the African energy sector, has lauded this initiative. The AEC considers this project a significant milestone in Africa’s quest for energy security and agricultural self-sufficiency, aligning with the broader goal of advancing industrialization and sustainable economic growth across the continent.
The Chamber commends Afreximbank’s critical role in structuring the financial framework of the project and acknowledges the substantial contributions from OPAIA Group and Sonagas.
OPAIA Group’s expertise and resources are deemed crucial for the successful implementation of the plant, while Sonagas’s provision of essential resources and technical support highlights the collaborative effort required for the project’s success.
Currently, Angola imports over US$120 million worth of fertilizers annually to meet local consumption demands.
With the AMUFERT plant’s full production capacity of 3,870 tonnes of fertilizer per day expected to commence in early 2027, these imports are projected to decrease significantly. This reduction is not only economically advantageous but also vital for the country’s food sovereignty.
The establishment of the AMUFERT plant is anticipated to have extensive impacts, including job creation, technological advancements, and economic diversification.
This project is essential for reducing Angola’s dependence on imported fertilizers by providing a local production facility.
The plant will enhance Angola’s agricultural self-sufficiency, lower import costs, and offer local farmers a reliable supply of high-quality fertilizers. Consequently, this initiative is expected to strengthen the domestic agricultural sector, contribute to food security, and boost economic development through job creation and fostering technological progress in the region.
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