The African Export Import Bank (Afreximbank) has been appointed as the exclusive financial advisor to raise $1.7 billion for the development of a coal to fertilizer plant in South Africa.
The project, which is spearheaded by Suiso, aims to improve food security and promote sustainable agriculture in the region.
According to a statement from Afreximbank, its advisory and capital markets (ACMA) department will lead efforts to structure and mobilise the capital needed for the project, which is to be located in Kriel, Mpumalanga province.
The project is expected to reduce reliance on imported fertilizers and strengthen South Africa’s agricultural value chain.
Suiso, the newly established plant, plans to use gasification technology to convert coal into ammonia-based fertilizers.
The company is focused on boosting fertilizer production across Sub-Saharan Africa through fossil fuel gasification.
In the long term, Suiso aims to build a more resilient agricultural market. Its goals include reducing greenhouse gas emissions and improving fertilizer application efficiency.
Afreximbank noted that the initiative aligns with its broader mission to finance industrial and agricultural infrastructure that supports food sovereignty and regional growth.
“This is a strategic project that supports both industrial development and food security in Africa,” the bank stated. “We are confident that our expertise and partner network will attract the needed financing to bring the Suiso project to life.”
The project is backed by a consortium of industrial and energy firms committed to sustainability.
While their identities were not disclosed, Afreximbank said they are key stakeholders in promoting cleaner technology and inclusive economic growth.
The plant’s gasification technology is expected to make fertilizer production more efficient while cutting the carbon footprint of agricultural inputs.
In addition, the project supports ongoing regional efforts to boost domestic production of agricultural materials and reduce exposure to international supply chain shocks.
Afreximbank said it will continue to work with all stakeholders to ensure the successful execution of the project.
