The African Export-Import Bank (Afreximbank) has been identified as the funding source of the $783 million acquisition of Nigerian Agip Oil Company Limited (NAOC) by Oando Petroleum and Natural Gas Company Limited.
The multilateral lender provided a senior $500 million and a junior $150 million reserve-based lending facility to Oando for the acquisition.
According to Investopedia, reserve-based lending is a type of financing for independent exploration and production companies in which the value of oil and gas reserves determines the quantity of a lending facility accessible to the borrower.
