Nigeria Signs $1.3 Billion Alumina Deal with AFC

The Federal Government of Nigeria, represented by Minister of Solid Minerals Development Dele Alak, and the Africa Finance Corporation (AFC) have signed a landmark memorandum of understanding (MoU) to jointly fund a $1.3 billion alumina project. This project aims to construct an alumina refinery that is estimated to generate 1 million tons of bauxite per annum using a modern Bayer process flowsheet.

The project is designed to operate for approximately 20 years, with a total alumina output projected at 19 million tons. SMDF Executive Secretary Hajia Fatima Shinkafi expressed pride in this historic feat, marking it as the largest fund project since the inception of SMDF.

The project is expected to contribute $1.2 billion to Nigeria's GDP annually and $8 billion in foreign exchange earnings throughout its lifecycle. The agreement also emphasizes the need for a modern regulatory framework to attract private sector investment and ensure a seamless process for necessary approvals and permits.