The African Export-Import Bank (Afreximbank) has increased its loan facility to Nigerian energy giant Oando Plc from an initial amount to $375 million, supporting the company’s ongoing growth and strategic expansion initiatives across Africa.
The upsized financing package, announced on Tuesday, underscores Afreximbank’s confidence in Oando’s business model and its pivotal role in the continent’s oil and gas sector. The additional funds are earmarked to strengthen Oando’s upstream operations, enhance infrastructure, and boost working capital.
“This expanded loan facility aligns with our commitment to facilitate African companies’ growth and development,” said Afreximbank’s Vice President for Project and Structured Finance, Mr. Jean-Claude Kiala. “Oando’s ambitious plans require robust financial backing, and we are proud to support their vision.”
Oando’s Group Chief Executive Officer, Mr. Wale Tinubu, expressed gratitude for the increased support, noting that the funding would accelerate the company’s investments in exploration, production, and renewable energy ventures.
“The partnership with Afreximbank is critical as we deepen our footprint and contribute to Africa’s energy security,” Tinubu said. “This funding boost provides us with the flexibility to pursue innovative projects and deliver long-term value to our stakeholders.”
Financial analysts view the upsizing as a positive signal of investor confidence in Nigeria’s energy sector, especially amid global market uncertainties and a growing emphasis on sustainable energy.
The loan restructuring also includes more favorable terms, allowing Oando to optimize its capital structure and strengthen liquidity.
Afreximbank has been a key financier of Africa’s energy projects, playing a vital role in bridging funding gaps and supporting continent-wide industrial growth.
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