Heirs Energy has secured a $750 million financing package from the African Export-Import Bank (Afreximbank) to expand its oil and gas operations, a move expected to significantly increase Nigeria’s crude oil and gas production capacity.
The financing agreement, signed in Abuja over the weekend, is projected to raise the company’s oil output to about 100,000 barrels per day, while gas production is expected to reach 250 million cubic metres, strengthening domestic energy supply and supporting industrial growth.
Speaking at the signing ceremony, Chairman of Heirs Holdings, Tony Elumelu, described the deal as a strong signal of growing confidence in African-owned enterprises and institutions. He said Afreximbank had demonstrated bold leadership by supporting large-scale projects capable of transforming African economies.
“Afreximbank has shown uncommon courage in backing African businesses at scale. They have built the capacity and confidence to support projects that can change our economies,” Elumelu said.
He noted that the bank has remained a strategic partner in Heirs Energy’s growth journey, adding that the latest facility shows how African capital can be mobilised to power African businesses. Elumelu also explained that the bank’s willingness to restructure existing obligations to enable expansion reflected confidence in the company’s long-term prospects.
“Support like this also comes with responsibility. Despite serious challenges such as oil theft, we have met all our obligations and maintained our credibility,” he added.
Reflecting on Heirs Energy’s acquisition of Oil Mining Lease (OML) 17, Elumelu said regulatory delays under the previous administration slowed the transaction due to concerns about private sector ownership of such a large asset.
“The irony is that the asset was previously operated by Shell, itself a private sector entity. Those delays came at a huge cost to us,” he said.
On his part, President of Afreximbank, Dr George Elombi, said the facility aligns with the bank’s broader strategy to stabilise Africa’s energy sector, warning that insufficient support for the industry could have serious economic consequences.
“Without sustained intervention in energy, more than 20 African countries would face serious difficulties,” Elombi said, adding that the bank is planning further multi-billion-dollar financing for the sector.
He emphasised that Afreximbank’s African ownership strengthens its commitment to supporting the continent’s businesses through both favourable and challenging economic cycles.
Providing further insight into the transaction, Executive Director and Chief Financial Officer of Heirs Energy, Samuel Nwanze, said the funding would help consolidate existing operations while unlocking a new phase of growth.
He disclosed that the company currently produces over 50,000 barrels of oil per day and about 120 million cubic metres of gas, figures expected to double with the new financing.
Nwanze added that Heirs Energy raised about $1.1 billion to acquire OML 17 from Shell, Total and Eni, and has repaid a substantial portion of the acquisition debt after nearly four years of operations.
According to him, the new five-year facility is structured as a reserve-based lending programme, combining refinancing of existing obligations with fresh capital for expansion.
He noted that increased gas production from OML 17 has already strengthened electricity generation across Nigeria’s eastern gas network, improving output at power plants such as Geometric and Transcorp.
“With sustained growth, we believe our impact on energy supply will go beyond Nigeria and contribute to energy security across Africa,” Nwanze said.
