Nov 21, 2017 Last Updated 10:19 AM, Nov 20, 2017

South Africa reinstates Iranian energy imports

ABN – South Africa has announced plans to reinstate its energy relations in Iran.

The announcement comes three years after international sanctions were placed on oil trade between the two countries.

South Africa is said to be looking into cooperating with Iran over crude oil, liquefied natural gas, LPG, gas and petrochemicals.

Iran’s crude oil exports slipped from 2.5 million barrels a day to 1.1 million barrels a day following international sanctions placed on the country.

@ABNetworkOnline

Total divests Nigerian Oil Mining Lease

ABN – Total (NYSE: TOT) has divested its stake in onshore Oil Mining Lease (OML) 29 to Nigeria’s Aiteo Eastern E&P for US$569 million.

Aiteo’s exploration and production capabilities will be greatly improved by the deal, which will also help to develop Nigeria’s local content and participation in the petroleum industry.

Total’s CFO Patrick de La Chevardière said that the transaction will help reduce exposure to non-operated blocks onshore Nigeria and help Total to focus on core, operated developments.

Total is the fourth largest oil producer in Nigeria due to its involvement in more than 50 permits.

@ABNetworkOnline

Nigeria awards $1.4 billion loan to Seplat

ABN – Indigenous oil producer Seplat has been awarded a US$1.4 billion loan from five Nigerian banks.

United Bank for Africa (UBA), Zenith Bank, First Bank of Nigeria, Standard Bank and Stanbic IBTC Bank pulled together their resources to provide the loan.

A $700 million seven year secured term package is included in the loan with an option to upsize by a further $700 million for acquiring opportunities.

It is hoped that the loan will refinance Seplat’s existing debt to strategically position the company for future oil and gas opportunities in Nigeria.

International banks also provided a $300 million three year secured revolving credit facility.

Seplat CEO Austin Avuru said: “This successful re-financing, which commenced several months ago, significantly enhances our already robust capital structure and underscores the quality of our asset base.”

@ABNetworkOnline

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