A major milestone has been recorded in Ondo State’s industrialisation drive as Backbone Infrastructure Ltd has secured funding commitments exceeding $50bn for the development of a 500,000 barrels-per-day refinery and the Sunshine Free Trade Zone in Ilaje Local Government Area of the state.
The funding was facilitated through a joint venture agreement between BINL and NEFEX Holdings Limited of Canada, marking one of the largest single private sector investment packages targeted at Nigeria’s downstream oil and gas industry.
In a statement issued by the company on Monday, the investment follows the signing of a Memorandum of Understanding between BINL and the Ondo State Government, through the Ondo State Investment Promotion Agency, in July.
The company said the project is expected to transform Ondo State into a key refining and export hub in the Niger Delta corridor.
The statement read, “Following the successful execution of the Memorandum of Understanding between Backbone Infrastructure Ltd and the Ondo State Government, through the Ondo State Investment Promotion Agency, for the construction of a 500,000 barrels-per-day refinery and the development of a 1,471-hectare Sunshine Free Trade Zone in the Ilaje area of Ondo State in July, Backbone has secured project funding exceeding $50bnfor both projects through a joint venture agreement with its partner, NEFEX Holdings Limited of Canada.”
The statement added that a team from BINL, led by its Chairman and former Senate President, Senator Ken Nnamani, is scheduled to visit Akure today for meetings with state government officials and a courtesy visit to Governor Lucky Aiyedatiwa.
The visit will also include site inspections, stakeholder engagements, and consultations with host communities, including a royal audience with the Olugbo of Ugbo Kingdom, Oba Obateru Akinrutan.
According to BINL’s Vice President for Corporate Services, Wale Adekola, the partnership with NEFEX Petroline, an engineering,