By Mary Adebayo
Mars Exploration & Production Company Limited (Mars E&P) has secured a USD 274 Million senior reserve-based lending facility from African Export–Import Bank (Afreximbank).
Signed on Tuesday at the ongoing Intra-African Trade Fair IATF in Durban, South Africa by its Founder and Executive Chairman, Mr. Abdullahi Bashir, Mars E & P is to utilize the proceeds towards the funding of growth and expansion opportunities as well as general corporate purposes.
The financing package will facilitate Mars E&P’s acquisition of 51% equity interest in OMLs 123, 124, 126 and 137. In addition, the financing package will help boost oil production for the country as it incorporates a $50m tranche to increase daily production from 25,000 barrels per day to 50,000barrels per day by 2023..
Its Executive Chairman, Mr. Abdullahi Bashir, who is also the Group Managing Director of the AA&R Investment Group, stated “we are elated and proud to have secured this financing deal with Africa’s leading bank.. It will enable Mars E&P further strengthen its position as an emerging player in the global E&P space through the enrichment of our upstream asset portfolio”
In fulfillment of its commitment to support the next generation of African business leaders, Afreximbank affirmed that this was the largest deal signed with an African youth and the bank was extremely proud of Abdullahi’s landmark achievement.
As one of the energy subsidiaries under the AA & R Investment Group, Mars E & P Ltd commenced operations in 2019 and currently owns interests in two marginal oil field assets.