The Federal Government of Nigeria has announced January 28, 2025, as the launch date for the $5 billion Africa Energy Bank, set to be headquartered in Abuja.
A Nigerian delegation led by Ambassador Nicholas Agbo Ella, Permanent Secretary of the Ministry of Petroleum Resources and Nigeria’s Executive Board representative at the African Petroleum Producers Organization (APPO), revealed this timeline at APPO’s 19th Executive Board Meeting held in Yaounde, Cameroon.
Amb. Ella reiterated Nigeria’s dedication to APPO’s mission, highlighting the country’s readiness to support the establishment of the Africa Energy Bank in Abuja. The bank aims to address funding shortfalls in Africa’s oil and gas industry.
“Nigeria won the hosting right for the establishment of the Africa Energy Bank (AEB) Headquarters in July 2024, after it competed with Ghana, Algeria, South Africa, and Benin Republic,” he noted.
“I am pleased to address the Executive Board (EB) meeting on this very important subject matter – the take-off of the Africa Energy Bank Headquarters in Abuja, Nigeria.”
Amb. Ella further explained that Nigeria is working to complete the headquarters building after a technical inspection on May 24, 2024. Renovations are underway to ensure timely delivery.
“We have the full support and cooperation of Mr. President, His Excellency Bola Ahmed Tinubu GCFR, and our National Assembly to actualize this project in Nigeria,” he added.
Nigeria’s Equity Commitment to the Bank
On Nigeria’s equity contribution, Amb. Ella confirmed that Nigeria is making steady progress in fulfilling its financial obligations. Alongside an earlier payment of $59.1 million, the Federal Government contributed an additional $10 million to APPO’s account last week, with plans to complete the remaining payments before the bank becomes operational.
“Apart from the earlier payment of $59,120,000, an additional $10 million was paid into the APPO Account by the FGN (Nigeria) last week. We intend to make full payment before the bank takes off.
“Nigeria wishes to advocate for the establishment and funding of the Africa Energy Bank as part of APPO’s budgetary plans. This initiative would not only address the financial needs of the energy sector but also provide a platform for mobilizing investments in oil and gas projects, which are vital for Africa’s economic growth and development,” Ella stated.
About the Africa Energy Bank
The $5 billion Africa Energy Bank is an initiative of the African Petroleum Producers’ Organization (APPO) aimed at filling the financing gap as traditional backers reduce funding for oil and gas projects across Africa. The bank’s launch is backed by significant investments, including a $1.7 billion contribution from Afreximbank, one of the primary investors.
Currently, APPO has 18 member states, all of which are oil- or gas-producing nations, committed to advancing energy independence and infrastructure across the continent.
