Standard Bank Closes $250m Strategic Financing for Aradel Energy

Stanbic IBTC Capital Limited, Stanbic IBTC Bank Limited and The Standard Bank of South Africa Limited have successfully achieved financial close on a landmark $250 million financing facility for Aradel Energy Limited.

The facility was structured to support Aradel Energy’s strategic growth agenda, including the acquisition of an additional 40% equity interest in ND Western Limited from Petrolin Trading Limited, the refinancing of existing loan facilities, and the funding of increased production from the Company’s existing asset base.

Aradel Energy is a wholly owned subsidiary of Aradel Holdings Plc and the operator of the Ogbele and Omerelu onshore marginal fields, as well as OPL 227 in shallow water terrain. Prior to the transaction, Aradel Energy held a 41.67% equity interest in ND Western. Following the completion of the acquisition, its shareholding in ND Western has increased to 81.67%.

ND Western holds a 45% participating interest in OML 34 and a 50% equity interest in Renaissance Africa Energy Company Limited.

Renaissance is the operator of the Renaissance Joint Venture and a 30% owner of one of Nigeria’s largest and most strategic energy portfolios. As a result of the transaction, Aradel Energy’s indirect equity interest in Renaissance has increased to 53.3%, significantly strengthening the company’s upstream position and long-term value creation potential.

Standard Bank acted as Global Coordinator and Bookrunner, leading the structuring, execution, and funding of the facility. The transaction affirms the Bank’s deep sectoral expertise and reinforces its position as a leading financier in Africa’s energy industry.

Eric Fajemisin, Executive Director, Corporate and Transaction Banking, Stanbic IBTC Bank stated: “As Aradel Energy consolidates its position as one of Nigeria’s leading oil and gas companies, Stanbic IBTC Bank is proud to serve as a trusted long-term partner supporting the Company’s growth ambitions.”.

“The transaction illustrates Standard Bank’s ability to deliver large-scale, tailored funding solutions and further demonstrates our support to the fast-growing indigenous companies of Nigeria’s oil and gas sector,” added Cody Aduloju, Regional Head, Energy & Infrastructure Finance, West Africa at Standard Bank.

Commenting on the transaction, Adegbite Falade, Chief Executive Officer of Aradel Holdings Plc, stated: “The acquisition bolsters Aradel Energy’s competitive positioning across Nigeria’s oil and gas value chain and supports our commitment to strategic growth, asset optimisation, and enduring value creation. We are pleased to have partnered with Standard Bank, who supported us and delivered a fully funded solution under very tight timelines.”

This transaction reinforces Standard Bank Group’s commitment to providing strategic capital to clients as they execute on their transformative growth objectives.

By delivering tailored financing solutions that enable sustainable value creation, the Bank remains a trusted partner to leading corporations across Africa’s evolving energy landscape.

 

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