By Atoyebi Nike
Backbone Infrastructure Ltd (BINL) has secured funding commitments of more than $50 billion for the construction of a 500,000 barrels-per-day refinery and the development of the Sunshine Free Trade Zone in Ilaje, Ondo State. The financing was arranged through a joint venture with Canada’s NEFEX Holdings Limited, marking one of the biggest private-sector commitments to Nigeria’s downstream oil and gas sector.
According to a statement released on Monday, the investment follows the Memorandum of Understanding signed in July between BINL and the Ondo State Government through the state’s Investment Promotion Agency. The company said the project will position Ondo State as a major refining and export hub in the Niger Delta corridor.
A BINL delegation led by Chairman and former Senate President, Ken Nnamani, is expected in Akure for meetings with state officials, engagements with local communities, and a visit to Governor Lucky Aiyedatiwa.
BINL Vice President for Corporate Services, Wale Adekola, said the partnership with NEFEX Petroline an engineering and energy infrastructure firm operating across North America, Europe, and the Middle East will accelerate technical and financial preparations. NEFEX, he noted, has access to global credit lines that support large-scale infrastructure projects.
The company plans to collaborate with NNPC Limited to integrate the refinery into Nigeria’s broader oil value chain. The facility will supply domestic fuel demand, support industries with feedstock, and export refined products. It will also include storage depots, loading bays, terminals, and internal road networks.
The 1,471-hectare Sunshine Free Trade Zone will feature industrial clusters, logistics hubs, and residential areas designed to make Ondo State a new industrial base in the Southwest. The project is expected to create thousands of jobs, reduce Nigeria’s dependence on imported fuel, and conserve foreign exchange.
BINL said it will prioritise education, skills development, and infrastructure in its host-community development programme. Adekola praised Governor Aiyedatiwa for creating an investor-friendly environment that enabled the landmark deal.
The multi-phase refinery and free zone development is expected to reshape Ondo State’s economic landscape and strengthen Nigeria’s refining capacity as the country pursues more private-led investments in critical infrastructure.
