In Key Milestone, Nigeria Hands Over Africa Energy Bank Headquarters to APPO

• $5bn financial institution set for official takeoff before June

•Development marks key step to achieving Africa’s economic sovereignty

Emmanuel Addeh in Abuja

Nigeria yesterday marked a major milestone in Africa’s push for energy financing as it formally handed over the headquarters of the Africa Energy Bank (AEB) to the African Petroleum Producers’ Organisation (APPO), setting the stage for the takeoff of the $5 billion financial institution before mid-year.

The symbolic handover ceremony, held in Abuja, brought together government officials and key continental stakeholders, underscoring Nigeria’s central role in birthing the bank, which is expected to plug Africa’s long-standing financing gaps in oil and gas development.

Speaking at the event, the Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, said Nigeria had fulfilled all its obligations as host country, describing the handover of the fully furnished headquarters as the final outstanding commitment required for the bank to commence operations.

Lokpobiri said the journey to securing a suitable headquarters had not been straightforward, noting that two earlier locations were rejected due to size and location concerns before the current premises were finally agreed upon. He stressed that the building had been procured, paid for and furnished entirely by Nigeria in line with its host country responsibilities.

“Today, we are formally here to report to you as President of APPO that Nigeria has made all our commitments. And the last commitment was this bank. And like I said, by way of background, this is about the third one.

“First one, it was too big, and then second one, also the location was an issue, and eventually,  we’re happy that we got this one, which is furnished, paid for, and Nigeria is formally very happy today to hand over this furnished Africa Energy Bank building premises to APPO and Afreximbank that are the enablers of the AEB,” Lokpobiri stressed.

He added that with the headquarters issue resolved, all delays that had slowed the bank’s takeoff had been cleared, paving the way for operations to begin as early as the end of April. According to him, the bank’s commencement was of strategic importance to oil and gas investment across the continent at a time when access to international financing had become increasingly constrained.

Lokpobiri said the bank was a response to what he described as the weaponisation of finance against Africa’s development. He argued that despite contributing minimally to global emissions, African countries were often pressured to halt the development of their fossil fuel resources, even as energy poverty persisted across the continent.

He noted that the global narrative was shifting, with proponents of rapid energy transition now acknowledging the continued dominance of fossil fuels in the global energy mix and the need for sustained investment running into hundreds of billions of dollars annually. Africa, he said, is richly endowed with oil and gas resources but remained hamstrung by lack of access to finance, making the establishment of the bank imperative.

“Nigeria has made all our obligations financially and also physically with this situation.  Africa is facing a challenge in finance…We are victims of global emissions. But every time they campaign that Africa stops exploring God-given resources,” Lokpobiri stated.

Apart from member countries, the minister explained that the bank will service the entire continent, explaining that the required procedures will be strictly followed to ensure that things are properly done.

“This bank will service not just APPO member countries, which are about 18, but the entire African continent,” Lokpobiri said, adding that the institution would follow standard governance procedures, including shareholder meetings, appointment of management and board members, and recruitment of staff once operations begin.

In his remarks, the Ivorian Minister of Mines, Petroleum and Energy, Mamadou Sangafowa-Coulibaly, who is also the President of APPO for 2026, described the handover as a critical milestone in the long journey to establishing the bank.

Sangafowa-Coulibaly praised Nigeria for delivering a functional and well-designed headquarters, saying the availability of a permanent office removed one of the last practical obstacles to launching the institution. He said APPO was fully committed to ensuring the bank takes off no later than June, with the possibility of an earlier launch.

“To allow this bank to take off, we needed a headquarters and we now have it,” he said. “What remains is to go to the General Assembly and formally launch the bank. We are all committed to making this happen as soon as possible,” he added.

He also highlighted the partnership with Afreximbank, describing it as a major strength for the new institution. According to him, Afreximbank’s experience in running a continental financial institution would be invaluable as the Africa Energy Bank begins operations, with APPO providing strategic direction focused on the energy needs of member states and the wider continent.

Also speaking, the APPO Secretary General, Farid Ghezali, described the event as the realisation of a vision that many once thought was unattainable. He said the focus must now shift from infrastructure and symbolism to delivery and tangible results for Africans.

“This was once a dream, but today that dream has come true,” Ghezali said. “Now we must work together to transform this project into results, because Africans need every single drop of oil and every BTU of gas. There is no industrialisation and no economic freedom without energy, ” he pointed out.

Ghezali stressed that Africa could no longer rely solely on external financing cycles that were often unpredictable and politically driven, arguing that the Africa Energy Bank represented a step towards economic and energy sovereignty for the continent.

He also reaffirmed Afreximbank’s commitment to ensuring the new bank succeeds from its first day of operation, noting that the partnership between Afreximbank and APPO combined technical banking expertise with a clear understanding of Africa’s energy priorities.

“The energy bank is very critical…because there is no industrialisation and economic liberty without energy. And we cannot depend on energy being financed from outside with cycles, ups and downs. Africa cannot afford it. So, we’re creating history and creating a big establishment for Africa economic sovereignty,” he emphasised.