Aradel Energy Limited , an indigenous Nigerian energy company, has secured a $250 million strategic financing facility through a consortium led by Stanbic IBTC Capital Limited, Stanbic IBTC Bank Limited, and Standard Bank of South Africa, providing a major boost to the company’s expansion plans.
The funding package is intended to support Aradel Energy’s long-term growth strategy, including the acquisition of an additional 40 per cent equity stake in ND Western Limited from Petrolin Trading Limited. Proceeds will also refinance existing debt and enable higher production across the company’s existing assets.
A wholly owned subsidiary of Aradel Holdings Plc, Aradel Energy operates the Ogbele and Omerelu onshore marginal fields, as well as OPL 227 in shallow water terrain. Before the transaction, Aradel held a 41.67 per cent stake in ND Western; the acquisition increases its shareholding to 81.67 per cent.
ND Western holds a 45 per cent participating interest in OML 34 and a 50 per cent equity interest in Renaissance Africa Energy Company Limited (Renaissance), which operates the Renaissance Joint Venture and owns a 30 per cent stake in one of Nigeria’s largest and most strategic energy portfolios. Following the acquisition, Aradel Energy’s indirect equity interest in Renaissance has risen to 53.3 per cent, significantly strengthening its upstream position and long-term value creation potential.
Standard Bank acted as Global Coordinator and Bookrunner, leading the structuring, execution, and funding of the facility, reinforcing its position as a leading financier in Africa’s energy sector.
Eric Fajemisin, Executive Director of Corporate and Transaction Banking at Stanbic IBTC Bank, said: “As Aradel Energy consolidates its position as one of Nigeria’s leading oil and gas companies, Stanbic IBTC Bank is proud to serve as a trusted long-term partner supporting the company’s growth ambitions.”
Cody Aduloju, Regional Head of Energy & Infrastructure Finance, West Africa at Standard Bank, added: “The transaction illustrates Standard Bank’s ability to deliver large-scale, tailored funding solutions and further demonstrates our support for fast-growing indigenous companies in Nigeria’s oil and gas sector.”
Aradel Holdings Plc CEO Adegbite Falade said: “The acquisition bolsters Aradel Energy’s competitive positioning across Nigeria’s oil and gas value chain and reinforces our commitment to strategic growth, asset optimisation, and enduring value creation. We are pleased to have partnered with Standard Bank, who delivered a fully funded solution under very tight timelines.”