Funding complete for two Nigerian fields

Nov. 20, 2017
Nigerian National Petroleum Corp. says execution of the final phase of an alternative financing agreement with Chevron Corp. will boost production in Nigeria by 39,000 b/d of oil and 283 MMscfd of natural gas. 

Nigerian National Petroleum Corp. says execution of the final phase of an alternative financing agreement with Chevron Corp. will boost production in Nigeria by 39,000 b/d of oil and 283 MMscfd of natural gas.

The companies reached an agreement earlier this year for third-party finance totaling $780 million to complete the $1.7-billion development of Sonam and Okan gas and condensate fields in the Niger Delta. The funding includes $380 million to cover NNPC’s cash-call obligations to the NNPC-Chevron Nigeria Ltd. joint venture (OGJ Online, Aug. 4, 2017).

Nigerian commercial banks agreed to fund $400 million in a first stage of funding closed in August. International commercial banks will provide $380 million in the newly closed second stage.