Headline

Nigeria Secures Additional $925m In oil-backed Loan From Afreximbank

Published

1 year ago

June 6, 2024

African Export-Import Bank, on Thursday, announced an additional disbursement of $925m under the syndicated $3.3bn crude oil-backed prepayment facility sponsored by the Nigerian National Petroleum Company Limited.

Its latest accordion disbursement for Project Gazelle Funding Limited brings the total current funded facility size to $3.175bn.

Arranged and coordinated by Afreximbank, the accordion arrangement saw the raising of a combined total of $925m from a consortium of crude oil off-taker lenders including but not limited to the Oando Group and Sahara Energy Resource Limited.

“Afreximbank acted as Mandated Lead Arranger, Technical and Modelling Bank, Bookrunner, Facility Agent, Offshore Account Bank, Intercreditor Agent and Collateral Agent for the transaction which is expected to provide further support for Nigeria’s macroeconomic stability and long-term economic growth while enhancing the country’s industrialisation and trade development efforts,” the bank stated in a statement posted on its website on Thursday.

This announcement follows the success of the first accordion tranche of the $3.3bn facility. In December 2023, the project received funded commitments totaling $2.25m.

The $925m accordion arrangement raises the total amount disbursed to $3.175bn.

Commenting on the disbursement, President and Chairman of the Board of Directors of Afreximbank, Prof. Benedict Oramah, said, “The milestone achieved thus far on this facility demonstrates the bank’s capabilities in performing its role as a crucial development partner for Africa.

“It reaffirms our commitment to assisting our member states in their efforts to achieve economic growth and stability. This funding will greatly support the attainment of Nigeria’s short and long-term economic development priorities.”

Oramah described the original facility as ‘a landmark’ for being the largest crude oil-backed facility in Nigeria and one of the largest syndicated debts raised in Africa.

He said the closure of the first accordion demonstrated the existence of positive market appetite for well structured commodities-backed instruments.

The Group Chief Executive Officer, NNPC Limited, Mele Kyari, commended Afreximbank management and team for their investment philosophy and active interest in co-creation of prosperity.

“The successful disbursement of the first accordion under project Gazelle and its interest in funding viable and strategic projects is a clear indication of investors’ confidence in NNPC and Nigeria’s growth aspirations,” Kyari stated.

He further assured Afreximbank and all investing communities of NNPC’s resolve to continue to grow the nation’s hydrocarbon resources and strengthen its partnerships across the oil and gas value chain locally, and globally.

On August 17, 2023, The PUNCH reported that the NNPCL announced that it had secured a $3.3bn emergency crude oil repayment loan from the African Export-Import Bank.

It explained that the loan would be used by the oil company to support the Federal Government in stabilising Nigeria’s exchange rate.

Also in January 2024, The PUNCH reported that NNPC would prepay future royalties and taxes to the Federal Government from the $3.3bn financing deal it got from African Export-Import Bank.

The report stated that NNPCL disclosed this in a document titled, ‘Frequently Asked Questions – Project Gazelle’, released by its Chief Corporate Communications Officer, Olufemi Soneye.

Providing details about the deal in the document titled, “Everything you need to know about the NNPC Limited’s $3.3bn loan, also known as Project Gazelle,” the company said, “This is a financing agreement secured by NNPC Limited to prepay future royalties and taxes to the Federal Government.”

The company also stated that it adopted a lower price benchmark for the $3.3bn crude-for-cash loan to reduce the risk of default and ensure financial stability.

Giving details on the benchmark oil price, the company said the facility was using a conservative crude price of $65/barrel to calculate the allocated crude to be produced and sold in the future.

“This provides a safety margin for price fluctuations in the future..NNPC Limited has reserved up to 90,000 barrels of crude for Project Gazelle, ensuring sufficient cash flow for repayment and other financial obligations.

“If oil prices rise, more money will come in from selling the 90,000 barrels, allowing for faster repayment. However, if oil prices fall, the repayment may be slower.

“The quantity of crude earmarked (90,000 barrels) is sized to ensure enough cash is available for the repayment of the facility when it is due. This also ensures that NNPC Limited can meet other cash flow obligations, considering the expected future price of crude oil globally,” it stated.

NNPC also said repayments were strategically planned and tied to future oil sales, with conservative pricing in oil sales contracts mitigating the risks associated with oil price volatility.

Headline

Court Jails Two For Targeting President With Sorcery

Published

13 hours ago

September 15, 2025

Editor

A Zambian court on Monday sentenced two men to two years in prison with hard labour on charges of attempting to use witchcraft to kill the country’s president.

Mozambican national Jasten Mabulesse Candunde and Zambian village chief Leonard Phiri were arrested in December in possession of charms, including a live chameleon.

Police said they planned to use the charms to harm President Hakainde Hichilema, and they were charged with professing knowledge of witchcraft and possession of charms.

“The motive of the crime was to kill the head of state,” magistrate Fine Mayambu ruled in the capital Lusaka on Monday.

“The convicts were not only enemies of the head of state but all Zambians. I therefore sentence them to 24 months imprisonment with hard labour from the date of their arrest,” he said.

The prosecution said the men had been hired by the brother of opposition MP Emmanuel “Jay Jay” Banda, who is facing trial for robbery, attempted murder and escaping custody.

Headline

Two Nigerians Face Jail Terms In Liberia’s Piracy Trial

Published

14 hours ago

September 15, 2025

Editor

Criminal Court ‘D’ in Monrovia is set to deliver judgment this week in Liberia’s first piracy trial, involving two Nigerian nationals accused of hijacking a cargo vessel in the Gulf of Guinea.

According to court records, the defendants were arrested earlier this year after a Liberia-flagged ship was seized by armed men while transporting goods through international waters. The crew sent a distress signal, prompting international maritime forces to intervene.

The suspects were subsequently transferred to Liberian authorities under global maritime cooperation protocols.

According to Liberia’s news platform, Front Page Africa, the case has attracted attention because Liberia maintains one of the world’s largest open ship registries, yet prosecutions for piracy within its domestic courts have not previously occurred. Under international law, Liberia holds jurisdiction over crimes involving ships registered under its flag.

On Monday, proceedings took a new turn when defense lawyer, Cllr. Bestman Juah, informed the court that the defendants had admitted responsibility for the hijacking and were requesting a plea-bargain arrangement. State prosecutors did not oppose the request, leaving open the possibility of reduced sentences in exchange for full cooperation.

Resident Judge Mameita Jabateh-Sirleaf, who presides over Criminal Court ‘D’, will rule on whether to accept the plea deal and determine the sentencing framework. The ruling could also address deportation measures following imprisonment.

Criminal Court ‘D’ handles cases involving armed robbery, terrorism, hijacking, and other serious crimes, and the piracy trial represents a growing trend of transnational offenses being prosecuted within Liberia’s judicial system.
As of press time, the court has not announced the date for sentencing.

Headline

Spain Cancels $825m Israel Arms Deal Over Gaza

Published

14 hours ago

September 15, 2025

Editor

The Spanish government has cancelled a contract worth nearly 700 million euros ($825 million) for Israeli-designed rocket launchers.

The move comes after Prime Minister Pedro Sanchez announced last week that his government would “consolidate in law” a ban on military equipment sales or purchases with Israel over its offensive in Gaza.

The contract, awarded to a consortium of Spanish companies, involved the purchase of 12 SILAM rocket launcher systems derived from the PULS platform made by Israeli firm Elbit Systems, according to the International Institute for Strategic Studies’ Military Balance.

First reported by local media and the Israeli newspaper Haaretz, the cancellation was formalised on Spain’s official public contracts platform on September 9.

The following day, Sanchez unveiled measures aimed at stopping what his leftist government called “the genocide in Gaza”.

It includes the approval of a decree imposing a ban on military equipment sales or purchases with Israel due to its military offensive in Gaza, launched after the Hamas attacks in October 2023.

Spain applied the ban as Israel stepped up its military onslaught.

Spain has also formalized the cancellation of another contract for 168 anti-tank missile launchers, which were to be manufactured under license from an Israeli company.

That contract, valued at 287 million euros, had been first reported by the press in June.

According to Spanish daily La Vanguardia, the government is undertaking a broader review to phase out Israeli weapons and technology from its armed forces.

Sanchez has emerged as one of Europe’s most outspoken critics of Israeli Prime Minister Benjamin Netanyahu’s Gaza policy.

Relations between the two countries have been tense for months.

Israel has not had an ambassador in Spain since Madrid recognized the state of Palestine in 2024.

Last week, Spain recalled its ambassador to Israel after heated exchanges over Sánchez’s new measures.

The Barcelona-based Delas Centre, a security research institute, estimated in April that since the start of the Gaza war, Spain had awarded 46 contracts worth $1.044 billion to Israeli companies, based on public tender data.