Nigeria’s drive to rebuild domestic energy capacity has received a significant boost after Heirs Energy secured a US$750 million financing facility from the African Export-Import Bank (Afreximbank), marking one of the largest Africa-backed energy deals concluded this year.
The facility, signed in Abuja, is structured as a five-year reserve-based lending arrangement that combines refinancing of existing debt with fresh capital to support expansion. The funding is expected to double Heirs Energy’s crude oil production to about 100,000 barrels per day and increase gas output to roughly 250 million cubic metres, strengthening supply to Nigeria’s power and industrial sectors amid persistent energy shortages.
Heirs Energy currently produces more than 50,000 barrels of oil per day and around 120 million cubic metres of gas. The new financing is designed to consolidate recent operational gains and unlock the next phase of growth from Oil Mining Lease 17, which the company acquired from Shell, Total and Eni. Increased gas production from the asset has already supported electricity generation across Nigeria’s eastern domestic gas network, benefiting power plants including Geometric and Transcorp.
Chairman of Heirs Holdings, Tony Elumelu, described the transaction as a clear signal of growing confidence in African-owned enterprises and financial institutions. He said Afreximbank’s willingness to restructure facilities and provide room for expansion reflected trust in the long-term prospects of Heirs Energy, adding that patient capital and disciplined execution had underpinned the company’s progress.
Executive Director and Chief Financial Officer, Samuel Nwanze, said the financing would enable the company to scale production while refinancing existing obligations. He noted that Heirs Energy raised about US$1.1 billion when it acquired OML 17, most of which has been repaid over nearly four years of operations, positioning the company for its next growth cycle.
Elumelu acknowledged that regulatory delays following the acquisition, particularly during the previous administration, came at a financial cost, alongside ongoing challenges such as oil theft. Despite this, he said the company continued to meet its obligations and expand output.
For Afreximbank, the deal aligns with its mandate to support African-owned companies in strategic sectors. Executive Vice President Denys Denya Elombi said the bank was confident in Heirs Energy’s leadership, governance and asset base, stressing that energy remains central to economic resilience and industrial growth across the continent.
With the new facility in place, Heirs Energy joins other indigenous producers such as Seplat Energy, Aiteo Group and Oando in efforts to scale crude and gas production, strengthen energy security and reduce Nigeria’s dependence on imports while supporting long-term industrial development.
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