Canada’s Zimar to build $1.9 billion refinery complex in Niger
Canadian industrial energy firm Zimar Inc. announced plans to construct a $1.9 billion refinery and petrochemical complex in Niger, according to Bloomberg and state-run Radio Television du Niger. The facility, set to be built in Dosso, southwestern Niger, will have a production capacity of 100,000 barrels per day. The agreement, signed in Niamey on Saturday, is valid from the moment it was sealed and will last for 16 years.
During this period, the construction phase will span three years, followed by 13 years of operation. Zimar will handle both financing and development of the energy infrastructure, then transfer ownership to the Nigerien government once the contract ends. The finalized deal occurs nearly two years after an initial agreement was signed in October 2024, after Niger conducted a review and made revisions.
The project aligns with Niger's broader strategy to capitalize on its petroleum reserves, estimated at around three billion barrels. Additionally, Niger initiated joint drilling with Algeria at the Kafra oil block in the Agadez region on Tuesday. The refinery complex could enable landlocked Niger to process crude domestically instead of primarily exporting unrefined oil.
The success of this project hinges on Zimar completing the construction within the three-year timeframe and securing all necessary financing, equipment, and infrastructure required for such a large-scale development.
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