At Tuesday’s Intra-African Trade Fair in Egypt Cairo, AfreximBank and Oando PLC linked a $800 million credit agreement to enable the company to purchase all of the shares of the Nigerian Agip Oil Company (NAOC).
Remember that on September 4, 2023, Monday, Oando PLC stated that it had achieved a deal to acquire all of the shares of the Nigerian Agip Oil business (NAOC) from Eni, an Italian multinational energy business operating in 62 countries, including Nigeria.
In the moderator’s words, the arrangement is “… a significant and strategic acquisition of 20% participating interest in the Nigerian Agip Oil Company Limited across OMls 60, 61, 62 and 63.”
Subject to Ministerial Consent and other necessary regulatory clearances, Oando’s current participating interests in OMLs 60, 61, 62, and 63 will increase from 20% to 40% upon the conclusion of the assets acquisition transaction.
The transaction would increase Oando’s ownership stake in all NEPL/NAOC/OOL Joint Venture assets and infrastructure, including 40 discovered oil and gas fields, 24 of which are currently producing, approximately forty identified prospects, and leads, 12 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 association.
In order to support Africa’s growth aspirations, Afreximbank has inked over ten finance agreements with businesses in a variety of industries since the IATF’s inception. Beyond funding, this alliance agreed upon at IATF2023 aims to support Africa’s growth objectives by promoting expansion and fortifying cross-border ties.
