NewsFeedsRSS 2.0

Africa Finance Corporation and major International banks commit USD 750 mm to develop Ghana's largest offshore Oil Field

Africa Finance Corporation (AFC) today announced its participation in the signing of a 7- year USD$ 750 million syndicated Reserved Base Lending facility to develop Phase1 of the landmark Ghanaian Jubilee Oil Field - West Africa's largest offshore deepwater find in over a decade, with proven reserves in excess of 300 million barrels of recoverable oil. Kosmos Energy, operating in a consortium with leading oil investors will use the loan facility to finance its share of the capital expenditure requirement for the development of the project. Other Jubilee partners in the development of the oil field are: Anadarko Petroleum Corporation, USA, Tullow Oil plc UK, and the flagship Ghana National Petroleum Corporation.

Kosmos Energy is backed by two of the world's largest private equity firms; Warburg Pincus and the Blackstone Group, who between them have USD$ 148 billion of assets under management. AFC is partnering Standard Chartered Bank London - Structuring bank/Global coordinator, IFC, BNP Paribas, Societe Generale, Calyon, Barclays ABSA and Cordiant Emerging Loan Fund, all leading international financiers, in the financing of this project. Andrew Alli, the CEO of AFC said: "The Africa Finance Corporation is delighted to be part of this high profile transaction, which will not only be beneficial to Ghana, but will play a pivotal role in accelerating and deepening cross border, economic growth and development in the West African region". Mr Ade Adeola, Managing Director, Project and Export Finance, Standard Chartered Bank, London and the Lead Arranger on the transaction expressed his satisfaction with working with an African financial institution on an African transaction of this magnitude.

The project sponsor, Kosmos Energy of Houston, USA, through its Executive Vice President and Chief Finance Officer, W. Greg Dunlevy views AFC's participation in the transaction as strategic given Kosmos Energy's position as a leading exploration and production company in Africa. Dunlevy believes that AFC as an African financial institution is best positioned to play a significant role in the future development of exploration and production projects across Africa.