Funding complete for two Nigerian fields

Nigerian National Petroleum Corporation has said that execution of the final phase of an alternative financing agreement with Chevron will boost production in Nigeria by 39,000 b/d of oil and 283 MMscfd of natural gas.

The companies reached an agreement earlier this year for third-party finance totalling US$780 million to complete the US$1.7-billion development of Sonam and Okan gas and condensate fields in the Niger Delta.

The funding includes US$380 million to cover NNPC’s cash-call obligations to the NNPC-Chevron Nigeria Ltd joint venture.

Nigerian commercial banks agreed to fund US$400 million in a first stage of funding closed in August. International commercial banks will provide US$380 million in the newly closed second stage.