JOHANNESBURG, Jan 29 – Standard Bank has reached financial close on a $250 million strategic financing facility for Nigerian oil producer Aradel Energy Ltd, providing fresh capital to support acquisitions, refinancing, and increased production.
The facility will partly fund Aradel Energy’s purchase of an additional 40% equity stake in ND Western Ltd from Petrolin Trading Ltd, the companies said in a joint statement. Aradel currently owns 41.67% of ND Western, and the transaction will raise its holding to 81.67%, significantly strengthening its control position.
ND Western holds a 45% participating interest in the OML 34 oil and gas asset and a 50% equity stake in Renaissance Africa Energy Company Ltd. Renaissance operates the Renaissance Joint Venture and owns 30% of a major Nigerian energy portfolio. Following completion of the transaction, Aradel’s indirect equity interest in Renaissance will rise to 53.3%.
The financing package will also be used to refinance existing debt and support higher output from Aradel’s producing assets, underscoring the company’s expansion strategy at a time when indigenous operators are playing a growing role in Nigeria’s energy sector.
Aradel Energy is one of Nigeria’s largest indigenous oil companies and was a major shareholder in the consortium that acquired Shell’s onshore Nigerian assets for $2.5 billion in 2024, marking one of the most significant asset transfers from international oil majors to local operators in the country’s history.
The company operates the Ogbele and Omerelu onshore marginal fields, as well as OPL 227 in shallow-water terrain. It is a wholly owned subsidiary of Aradel Holdings Plc, which is listed on the Nigerian Exchange.
Standard Bank acted as global coordinator and bookrunner for the transaction, leading the structuring, execution, and funding of the facility. The deal highlights continued appetite among international lenders to back well-capitalised indigenous energy firms as Nigeria reshapes its upstream oil and gas landscape.
