Africa Energy Bank will take off by end of Q1, says Lokpobiri

Heineken Lokpobiri, minister of state for petroleum resources (oil), says the Africa Energy Bank will be launched in the first quarter (Q1) of 2025.

Lokpobiri spoke to Reuters on Tuesday on the sidelines of the 2025 Sub-Saharan Africa international petroleum exhibition and conference (SAIPEC) in Lagos.

The minister said the bank, which targets an asset base of $120 billion, will fund oil and gas projects and support the continent’s energy transition goals.

“The building is ready, and we are only putting finishing touches to it, by the end of this quarter, this bank will take off,” Lokpobiri said.

Lokpobiri also said Nigeria could emulate the US President Donald Trump’s mantra on increasing oil drilling and removing all impediments to grow oil production to 2.5 million barrels per day (bpd) this year. 

“The African Energy Bank represents a shift toward financial autonomy,” he added.

“It allows us to move away from dependency on foreign capital and external policies that do not align with Africa’s development priorities.”

During his speech, Lokpobiri said one of the greatest challenges to Africa’s energy development has been access to financing.

“As global investment in oil and gas declines due to energy transitions, Africa has decided to take charge by creating its own solutions,” he said.

He said the AEB has “the power to unlock billions in funding, accelerate infrastructure development, and secure Africa’s energy future”.

”This is how we take control of our destiny,” the minister added.

He also called for collaboration, stressing that every African nation must play a role “in strengthening this institution, ensuring it serves as a catalyst for economic transformation”.

In June 2024, the African Export-Import Bank (Afreximbank), the main funder of the project, signed a memorandum of understanding (MoU) with the Africa Petroleum Producers’ Organisation (APPO) to establish AEB.

A month later, Nigeria won the bid to host the headquarters of the bank.

On November 1, the ministry of petroleum resources said the $5 billion Africa Energy Bank will commence operations on January 28, 2025.