ABUJA/Nigeria: The African Export-Import Bank (Afreximbank) and Heirs Energies Limited have announced a landmark US$750 million financing partnership aimed at optimising Heirs Energies’ capital structure and unlocking critical liquidity to support its working capital needs as it accelerates field development and production growth.
The dual-tranche senior secured, reserve-based lending facility was signed in Abuja by George Elombi, President and Chairman of the Board of Directors of Afreximbank, and Tony O. Elumelu, Chairman of Heirs Energies Limited. The transaction is expected to significantly strengthen Nigeria’s domestic energy capacity at a time of rising demand.
Under the agreement, Afreximbank will serve as Mandated Lead Arranger, Facility Agent and Security Agent, marking what both parties described as a major milestone in their strategic collaboration and a catalyst for Heirs Energies’ next phase of expansion.
Speaking after the signing, Dr. Elombi said the partnership underscores Afreximbank’s commitment to value creation and the empowerment of African entrepreneurs, particularly in critical sectors such as energy.
“Without investments such as this, many fossil fuel-dependent African economies would face severe economic challenges,” he said. “Our aim is to empower African enterprise. Our strength lies in the partnerships we continue to forge.”
He praised Mr. Elumelu’s consistent support for Afreximbank’s initiatives, noting that such alliances have helped position the bank as a key driver of Africa’s economic transformation. Dr. Elombi also reaffirmed Afreximbank’s resolve to bring the African Energy Bank project to fruition, describing it as a bold and innovative platform for financing the continent’s energy future.
He further disclosed that Afreximbank was open to supporting Heirs Holdings and its affiliates as they expand into other West African markets, including Ghana and Côte d’Ivoire, and across the continent. “Our goal is to support the spread and dominance of African brands across Africa,” he said.
Commenting on the deal, Mr. Elumelu described the transaction as a strong endorsement of African-led enterprise backed by long-term African capital.
“This transaction affirms what African businesses can achieve with disciplined execution and patient capital,” he said. “It reflects Heirs Energies’ journey from turnaround to growth and reinforces our belief in African capital financing Africa’s future.”
Heirs Energies plays a pivotal role in Nigeria’s oil and gas sector, where crude oil remains a resource of critical national and international importance. The partnership with Afreximbank dates back to 2021, when the company—then known as Heirs Oil & Gas—completed the landmark acquisition of a 45 per cent participating interest in the OML 17 Joint Venture through a US$1.1 billion transaction financed by a consortium of international and local banks led by Afreximbank.
Afreximbank participated in that transaction with up to US$250 million, underscoring its commitment to developing Africa’s energy sector and promoting the growth of African-owned enterprises.
Since the acquisition, crude oil production at OML 17 has risen from about 25,000 barrels per day to an average of 50,000 barrels per day, alongside significant increases in associated and non-associated gas output. Heirs Energies also delivered first gas from the Agbada Non-Associated Gas Plant in November 2021, just months after assuming operatorship of the asset, which had been under construction for more than a decade.
Currently, Heirs Energies is the leading gas supplier in Nigeria’s Eastern Domestic Network and supplies gas to three major power plants, together accounting for about 15 per cent of the country’s installed electricity generation capacity.
