African Export-Import Bank’s (Afreximbank) Advisory and Capital Markets (ACMA) department has been appointed and mandated as the exclusive financial advisor to raise capital for the US$1.7-billion Suiso Project, a transformative coal-to-fertiliser facility to be developed in Kriel, Mpumalanga Province, in South Africa.
As financial advisor, ACMA’s role will involve leveraging its network and expertise to structure and mobilise the capital required for the project’s execution.
The Suiso Project, which aims to promote sustainable agriculture, will use cutting-edge fertiliser technology, such as air products gasification, and is expected to enhance the food security situation in the region. Sponsored by a consortium of leading energy and industrial companies committed to sustainable development and economic growth in the region, the project represents a significant investment in South Africa’s industrial agriculture sector aimed at reducing dependency on imported fertilisers.
This appointment is a reflection of the increasing recognition of Afreximbank’s capacity and commitment to supporting large-scale projects with the potential to drive industrialisation and economic development across Africa.
Suiso was formed recently to focus on the manufacture of ammonia and fertiliser, using a fossil-fuel gasification process. It intends to build a more resilient and sustainable fertiliser and agricultural market across Sub-Saharan Africa with more efficient fertiliser application rates and a reduction in greenhouse gas emissions. Suiso plans to establish a blue ammonia production facility with a capacity of 2,200 tonnes per day (TPD). This facility will produce approximately 2,600 TPD of Urea, 1,600 TPD of Ammonium Nitrate (TAN), and a low-density Ammonium Nitrate using prilling technology, with any excess ammonia being sold in bulk.