AfDB Approves €200m Loan for Côte d’Ivoire Refinery to Produce Cleaner Fuels

July 23, 2026
By Mintesinot Nigussie

The African Development Bank (AfDB) has approved a 200 million euro loan to support the upgrade of Côte d’Ivoire’s main oil refinery, enabling it to produce ultra-low-sulfur diesel and meet tightening environmental standards across West Africa. The financing will support the “Clean Air” project at the Société Ivoirienne de Raffinage (SIR), which involves the construction of a diesel hydrodesulfurisation (HDS) complex at the refinery.

The new facility is expected to strengthen SIR’s ability to process petroleum products and produce fuels that comply with international quality standards. The project is scheduled for completion in 2029. With an estimated total cost of 833 million euro, the project will be financed through a consortium of development finance institutions and other partners. The AfDB, acting as lead arranger, will coordinate the financing structure and mobilise additional capital for the project.

The refinery upgrade is expected to improve fuel quality across Côte d’Ivoire and neighbouring markets that depend on SIR for refined petroleum products, including landlocked countries such as Mali and Burkina Faso. Kevin Kariuki, AfDB vice-president for power, energy, climate and green growth, said the project would combine industrial modernisation with efforts to reduce environmental impacts and improve public health.

“By enabling Côte d’Ivoire to produce ultra-low-sulfur fuels, the Clean Air project combines industrial modernisation and climate action, while improving public health across West Africa,” Kariuki said. Founded in 1962, SIR refines crude oil and supplies petroleum products to Côte d’Ivoire and international markets. The company is among West Africa’s largest operating refineries and plays a role in regional fuel supply chains.

Beyond fuel quality improvements, the project is expected to create about 1,140 jobs during construction and add 82 permanent positions once operational, while supporting around 900 existing jobs. A training programme for approximately 50 employees will also be introduced to support the adoption of new technologies. The investment forms part of the AfDB’s Ten-Year Strategy for 2024-2033, which prioritises large-scale capital mobilisation, climate-resilient infrastructure and industrial development across Africa.

Source: FSX Business News