Indigenous energy company, Heirs Energy, has secured a $750m financing facility from the African Export-Import Bank (Afreximbank) to scale up its oil and gas operations and boost Nigeria’s energy output.
The funding is expected to raise the company’s crude oil production to about 100,000 barrels per day, while gas output is projected to increase to approximately 250 million cubic metres.
The facility was signed on Saturday in Abuja and is structured to strengthen Heirs Energy’s upstream operations, while supporting Nigeria’s drive for energy sufficiency, industrial growth and economic stability.
Speaking at the signing ceremony, Chairman of Heirs Holdings, Tony Elumelu, described the transaction as a strong vote of confidence in African businesses, commending Afreximbank for its willingness to support large-scale indigenous projects.
Elumelu said the bank had played a critical role in Heirs Energy’s growth journey, noting that the financing reflected African capital working for African enterprises.
According to him, Afreximbank’s readiness to restructure existing obligations and provide room for expansion demonstrated confidence in the company’s long-term prospects.
He added that access to finance also comes with responsibility, stressing that performance and accountability were essential to sustaining investor trust. Despite challenges such as oil theft, he disclosed that the company had consistently met its obligations.
Recounting the acquisition of Oil Mining Lease 17, Elumelu said the transaction faced prolonged delays under the previous administration, partly due to concerns that the asset was too large for private sector ownership, a situation that imposed significant financial costs on the company.
In his remarks, Afreximbank President, Dr George Elombi, said the bank’s support for Heirs Energy aligned with its broader commitment to strengthening Africa’s energy sector, which he described as vital to economic stability across the continent.
He noted that without sustained support for the energy industry, several African economies would face severe challenges, adding that Afreximbank was preparing additional billion-dollar interventions to stabilise the sector.
Providing details of the facility, the Executive Director and Chief Financial Officer of Heirs Energy, Samuel Nwanze, said the financing was designed to consolidate recent gains and unlock the company’s next phase of growth.
Nwanze disclosed that the company currently produces over 50,000 barrels of oil per day and about 120 million cubic metres of gas, adding that the new funding would help double output levels.
He explained that the five-year reserve-based lending facility includes refinancing of existing debt as well as fresh capital for expansion. According to him, Heirs Energy had raised about $1.1bn to acquire OML 17 from Shell, Total and Eni, most of which had been repaid after nearly four years of operations.
Nwanze also said increased gas production from OML 17 had already boosted power generation across Nigeria’s eastern gas network, improving capacity utilization at power plants such as Geometric and Transcorp.
He expressed confidence that continued growth would further strengthen energy supply in Nigeria and across the continent.
