A proposed $3.5 billion methanol and fertilizer complex in Nigeria’s Bonny Island remains short of a final investment decision, with its largest expected funding source still prospective.
TheCable reported that the Rivers State Investment Promotion Agency (RSIPA) described a memorandum of understanding for the Bonny Local Government Area project. The plant is planned to use natural gas to produce methanol and fertilizer.
Project promoter Frank Okafor told BusinessDay that China National Chemical Engineering Group Corporation (CNCEC) was expected to provide 80% of the estimated cost, or about $2.8 billion. Okafor said the remaining $700 million still had to be raised through other funding channels. The reported figures are expectations, not confirmation that financing is secured.
BusinessDay converted the $3.5 billion estimate to about ₦4.66 trillion using a rate of ₦1,331.09 per U.S. dollar on Oct. 16, 2026. That is a conversion of the dollar estimate, not a separately disclosed naira project budget.
RSIPA Director-General Chamberlain Peterside said gas availability and access to the coast influenced the site choice. He said the state is facilitating engagement and has no direct equity stake in the project. The agency cited potential employment, local business and skills-development opportunities, but supplied no job projections.
Kristina Reports cited a promoter expectation that construction could begin in six to nine months, conditional on further confirmations and arrangements. That window is tentative, not a confirmed start date. In TheCable’s account of RSIPA’s statement, Peterside said the MoU was an early step; additional agreements, financing arrangements and regulatory approvals are still required before investors can make a final decision.
Bonny already hosts Nigeria LNG’s six production trains across a 2.27-square-kilometer site. Rivers State also has Indorama’s Eleme petrochemical complex and a urea fertilizer plant at Eleme.
