The African Export-import Bank (Afreximbank) has approved a $200 million financing facility for Nigeria’s Shoreline Power Company Limited to support the execution of a major oil and gas infrastructure project in Algeria, marking a significant boost for Nigerian engineering expertise and cross-border investment in Africa.
The financing, approved in June 2026, will enable Shoreline Group, through its majority-owned Italian engineering subsidiary, ArkadSpA, to execute its share of the $980 million HassiBirRekaiz (HBR) Field Development Phase 2a project in Algeria.
According to Afreximbank, Arkad holds a 44 per cent stake in the engineering, procurement and construction (EPC) contract awarded by Groupement Hassi Bir Rekaiz (GHBR), a joint venture comprising Algeria’s Sonatrach, Thailand’s PTTEP and Spain’s CEPSA.
The financing package comprises a $110 million contract finance facility to support performance guarantees, advance payment guarantees and working capital requirements for the HBR project, as well as a $90 million revolving global facility to finance Shoreline Group and its affiliates in bidding for and executing pipeline and infrastructure projects in Nigeria and other approved jurisdictions.
Afreximbank said the HBR Phase 2a project involves the construction of a new central processing facility that will raise production from the HassiBirRekaiz field from about 13,000 barrels per day to between 50,000 and 60,000 barrels per day, significantly increasing Algeria’s oil and gas output and export earnings.
The bank added that the project would create about 6,000 jobs, strengthen regional supply chains and enhance the capacity of African engineering firms to deliver large-scale infrastructure projects across the continent.
Commenting on the transaction, Executive Vice President, Intra-African Trade Finance and Export Development at Afreximbank, Mrs. KanayoAwani, described the deal as a milestone in promoting African engineering champions.
She stated: “This transaction exemplifies our EPC Initiative and our Intra-African Trade Champions framework in action, enabling an African-owned engineering group to compete and deliver at the highest levels of global project execution.
“By providing the $200 million in structured financing, we are not only supporting Algeria’s national energy infrastructure development but also advancing intra-African trade in high-value engineering and construction services among Nigeria, Italy and Egypt”.
