Oando Signs $800m Loan Deal At Intra-African Trade Fair

Oando Plc, Nigeria’s leading indigenous energy solutions provider, and AfreximBank have signed a $800 million loan document to facilitate the energy giant’s acquisition of 100 per cent of the shares of the Nigerian Agip Oil Company (NAOC).

On Monday, September 4, 2023, Oando Plc announced that it had reached an agreement with Eni, an Italian multinational energy company with operations in 62 countries, including Nigeria, for the acquisition of 100 per cent of the shares of the Nigerian Agip Oil Company (NAOC).

In the moderator’s words, the deal is “… a significant and strategic acquisition of 20 per cent participating interest in the Nigerian Agip Oil Company Limited across OMls 60, 61, 62 and 63.”

Upon completion of the assets acquisition transaction, subject to Ministerial Consent and other required regulatory approvals, Oando’s current participating interests in OMLs 60, 61, 62, and 63 will go from 20 per cent to 40 per cent. The transaction would further increase Oando’s ownership stake in all NEPL/NAOC/OOL Joint Venture assets and infrastructure which include forty discovered oil and gas fields, of which twenty-four are currently producing, approximately forty identified prospects and leads, twelve production stations, approximately 1,490 km of pipelines, three gas processing plants, the Brass River Oil Terminal, the Kwale-Okpai phases 1 & 2 power plants (with a total nameplate capacity of 960MW), and associated infrastructure.

If one thing has reverberated across the IATF 2023, it’s deal signing. Since the commencement of the IATF, Afreximbank has signed over ten financing deals with companies across different sectors to facilitate Africa’s growth ambitions.

This collaboration signed at IATF2023 is about more than financing – it’s about fostering growth and strengthening partnerships across borders for Africa’s growth ambitions.