Nigerian energy company Oando announced that its upstream subsidiary Oando Oil Ltd. has increased its reserve-based loan facility to $375 million.

The refinancing – led by pan-African financial institution Afreximbank, with support from oil and gas company Mercuria Asia Resources – will support Oando’s ambition to achieve production levels of 100,000 barrels of oil per day and 1.5 billion cubic feet of gas per day by 2029.

“Our [Nigerian] Joint Venture holds extensive reserves with the potential to generate over $11 billion in net cashflows to Oando over the assets’ life. This working capital facility is a critical enabler towards efficiently extracting and monetizing these resources,” stated Wale Tinubu, Group Chief Executive, Oando.

Operating one of the largest upstream asset portfolios in Nigeria, Oando holds a 20% interest in OMLs 60-62 and has a reserve base of approximately one billion barrels of oil equivalent. The company also boasts an infrastructure network comprising 40 discovered fields, 24 producing fields, over 1,250km of pipelines, multiple flow stations, three gas processing facilities, an export terminal and two power plants with a combined capacity of 1 GW.

The refinancing follows a prior reserve-based loan facility initiated at $525 million in 2019, which was paid down to $100 million by the end of 2024.