Afreximbank’s $750m Deal Signals Fresh Momentum For Nigeria’s Energy Ambitions
At a time when Nigeria is under pressure to boost domestic energy supply and stabilise its economy, a major Africa-led financing deal is offering renewed optimism for the country’s oil and gas sector.
The African Export-Import Bank (Afreximbank) has approved a landmark US$750 million financing facility for Heirs Energies Limited, a move expected to significantly strengthen Nigeria’s domestic energy capacity and support increased oil and gas production.
The agreement was signed in Abuja between Afreximbank President Dr George Elombi and Chairman of Heirs Energies, Mr Tony O. Elumelu.
Structured as a dual-tranche senior secured reserve-based lending facility, the deal is designed to optimise Heirs Energies’ capital structure, unlock liquidity and support its ambitious field development programme.
Afreximbank is serving as Mandated Lead Arranger, Facility Agent and Security Agent for the transaction.
Dr Elombi described the partnership as a clear demonstration of Afreximbank’s commitment to empowering African entrepreneurs and sustaining fossil fuel–dependent economies.
He noted that such investments are crucial to preventing economic shocks in energy-reliant African countries while Africa works through its energy transition.
For Mr Elumelu, the deal represents “Africa financing Africa’s future,” highlighting the role of long-term African capital in driving indigenous enterprise growth.
Heirs Energies has grown rapidly since its 2021 acquisition of a 45 per cent stake in OML 17, with crude oil production rising from about 25,000 barrels per day to an average of 50,000 barrels per day.
The company is also a major gas supplier, contributing roughly 15 per cent of Nigeria’s installed electricity generation capacity through gas supply to key power plants.
A statement co-signed by the communication heads of both organisations, says the latest financing deepens a partnership that has already reshaped Nigeria’s indigenous energy landscape, reinforcing the role of African institutions in powering the continent’s economic transformation.
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