- NNPC clinches oil exploration deal with Afrexim Bank
- Afrexim Bank to provide $1.4 billion in funding for crude oil exploration
The Nigerian National Petroleum Corporation (NNPC) has signed an agreement with African Export-Import Bank (Afrexim Bank) to finance crude oil exploration in Nigeria. The agreement was signed at the ongoing Intra African Trade Fair (IATF) in Durban, South Africa.
The $1.04 billion finance will facilitate the delivery of 35,000 barrels of crude oil daily via a Forward Sale Agreement (FSA). In addition, the agreement seeks to boost tax revenues, improve foreign currency receipts, and create jobs in the oil and gas sector.
The NNPC delegation was led by Executive Director and Group Chief Executive Officer, Mr Umor Ajia, to the signing ceremony. Speaking on the transaction, President Afrexim Bank Benedict Oramah stated that Africa requires a strategic approach to the issue of climate change. He said that one of the mandates of Afrexim Bank is the promotion of local content in the African oil and gas sector.
”Stopping development for parts of Africa today to achieve a clean environment for the whole world tomorrow is utterly foolhardy,” Oramah added.