Sahara LPG

pending

The proposed investment consists of a Senior Secured A-Loan of up to US$100 million to Sahara Energy Resource Limited (“SERIOM”) hereafter referred to as “the Company” or “the Group”. SERIOM specializes in sourcing and trading crude oil, refined petroleum products, Liquefied Petroleum Gas (“LPG”) and LNG across West, East and Central Africa and in global markets. The financing will support the US$218 million phased development of four greenfield LPG storage terminals (the “Project”) in industrial zones across Sub-Saharan Africa, expected commissioning between 2026 – 2028 namely:• Tema, Ghana: 6,000 MT capacity.• Apapa, Nigeria: 15,000 MT capacity.• Mombasa, Kenya: 30,000 MT capacity.• Dar es Salaam, Tanzania: 6,000 MT capacity.Each terminal will be structured through a dedicated Special Purpose Vehicle (SPV), which will serve as the Co-borrower. SERIOM will contribute US$68 million in equity to complete the project funding. The entire financing will be fully backed by SERIOM, which will act as the primary Borrower. The SPVs for the project are yet to be finalized. In parallel, IFC proposes to risk participate with Société Générale (“SG”) for up to US$55 million (from IFC’s own account) in two SG-arranged trade finance (“TF”) facilities totaling US$400 million. These facilities will underwrite SERIOM’s procurement, shipping, storage, and distribution of LPG, LNG, and fuel products across West and East Africa. IFC’s risk participation will be reviewed and committed on an annual basis. Each terminal is designed as a standalone spherical LPG storage facility, with exception of the facility in Kenya which will be mounded. The Nigeria site was previously a dumpsite, with resettlement of informal settlers completed by the Lagos State Government, while the Ghana site was purchased from a private individual. In Kenya, the site for the location of the facility is on land owned by Kenya Petroleum Refinery Limited, a subsidiary of Kenya Pipeline Corporation Company (KPC) at Changamwe, Mombasa. KPC is a state-owned corporation responsible for managing petroleum products storage, offtake and delivery to the consumers by its pipeline system and oil depot network. The Tanzania site was purchased by SERIOM’s subsidiary, Sahara Tanzania Limited (STL). All four sites are located in industrial zones designated for oil and gas installations, minimizing broader community and biodiversity impacts.