Ondo State’s industrialisation agenda has received a major boost as Backbone Infrastructure Limited secured funding commitments exceeding $50 billion for the development of a 500,000-barrel-per-day refinery and the Sunshine Free Trade Zone in Ilaje Local Government Area.

The funding was facilitated through a joint venture between BINL and Canada’s NEFEX Holdings Limited, representing one of the largest private sector investment packages in Nigeria’s downstream oil and gas sector.

According to a statement by the company on Monday, the investment follows a Memorandum of Understanding signed in July between BINL and the Ondo State Government, through the Ondo State Investment Promotion Agency.

The company stated that the project is poised to transform Ondo State into a major refining and export hub within the Niger Delta corridor.

The statement read, “Following the successful execution of the Memorandum of Understanding between Backbone Infrastructure Ltd and the Ondo State Government, through the Ondo State Investment Promotion Agency, for the construction of a 500,000 barrels-per-day refinery and the development of a 1,471-hectare Sunshine Free Trade Zone in the Ilaje area of Ondo State in July, Backbone has secured project funding exceeding $50bnfor both projects through a joint venture agreement with its partner, NEFEX Holdings Limited of Canada.”

The statement further noted that a delegation from BINL, led by its Chairman and former Senate President, Senator Ken Nnamani, will visit Akure today for meetings with state officials and a courtesy call on Governor Lucky Aiyedatiwa.

The visit will also feature site inspections, stakeholder engagements, and consultations with host communities, including a royal audience with the Olugbo of Ugbo Kingdom, Oba Obateru Akinrutan.

According to BINL’s Vice President for Corporate Services, Wale Adekola, the partnership with NEFEX Petroline—an engineering, construction, and energy infrastructure firm operating across North America, Europe, and the Middle East—will accelerate the technical and financial groundwork required to begin construction.

He added that the company’s expertise spans port and infrastructure development, petrochemical trading and supply, investment, and project management.

“With operations across the Middle East, Europe, North America, and beyond, NEFEX Petroline combines the advantages of a global network with deep local understanding. The firm maintains partnerships with leading global financial institutions to secure multi-currency credit lines and liquidity support for large-scale operations,” Adekola said.

“Our partnership with NEFEX opens the next chapter for the commencement of BINL Refinery development.”

He noted that the BINL–NEFEX partnership marks “the next chapter” in the company’s refinery development initiative, with plans to collaborate with the Nigerian National Petroleum Company Limited to ensure smooth integration into the country’s oil value chain.

Upon completion, the refinery is expected to meet domestic demand for petroleum products, supply feedstock to industries, and export refined products to international markets. The project will also feature storage facilities, loading bays, terminals, and an internal road network, according to the project brief.

Likewise, the 1,471-hectare Sunshine Free Trade Zone will accommodate industrial clusters, logistics facilities, and residential areas, positioning Ondo State as a rising industrial hub in Southwest Nigeria.