The Economic and Financial Crimes Commission, EFCC, has facilitated the recovery of $60 million from indigenous oil and gas company Nestoil Limited, with the funds paid to a consortium of lenders as part of an ongoing debt settlement process.
The payment followed discussions between Nestoil and its creditors aimed at resolving the company’s long standing financial obligations. The process was coordinated by EFCC Chairman Ola Olukoyede, who chaired meetings between both sides on a structured repayment arrangement.
The News Chronicle reports that the $60 million represents the first phase of the agreed repayment plan, while another tranche of about $40 million is expected as the process continues. A substantial portion of the debt, however, remains outstanding.
The lenders, which include Access Bank, Zenith Bank, First Bank, UBA, FCMB, Union Bank, Ecobank and Afreximbank, have reportedly welcomed the payment while continuing to pursue further recovery.
The dispute dates back several years and has involved court proceedings, receivership actions and regulatory scrutiny. The lenders previously put Nestoil’s outstanding obligations at about $1.08 billion and N469.43 billion.
The latest recovery could provide some relief for the affected lenders, several of which recorded significant loan impairment charges linked to distressed oil and gas exposures.
The EFCC is expected to continue its investigation alongside efforts to recover the remaining debt.
