13 banks listed as Renaissance unlocks N6trn oil vendor fund – Daily Trust

Renaissance Africa Energy Company Limited has unlocked a $4.1 billion (nearly N5.4 trillion) and N435 billion financing portfolio with 13 banks to fund indigenous contractors underneath its 500,000 barrels per day development drive.

Unveiled at an MoU signing in Lagos, the Renaissance Vendors Financing Scheme, will present credit score assist in each naira and {dollars} to native oil and fuel distributors executing initiatives for the corporate.

The 13 taking part banks are First Bank, Guaranty Trust Bank, Zenith Bank, Access Bank, United Bank for Africa, Stanbic IBTC Bank, Standard Chartered Bank, First City Monument Bank, Sterling Bank, Wema Bank, Union Bank, The Infrastructure Bank and African Export-Import Bank (Afreximbank).

Tony Attah, Managing Director and Chief Executive Officer of Renaissance Africa Energy Company, defined that the programme’s lengthy historical past demonstrated the potential to scale contractor financing in assist of the corporate’s development agenda.

“This is a programme that has been running since 2010. We are unveiling the power of Renaissance and the scalability of the company,” he mentioned.

He recalled that the initiative started within the Shell period with a fund of about N1 billion, with a later ambition to develop it to $1 billion.

“What we’ve been able to achieve as Renaissance is to go into that partnership with these incredible 13 banks who have come up to support this vendor scheme at over $4 billion and over ₦435 billion funds available for the vendors to be able to support us in our growth agenda,” he mentioned.

He mentioned the scheme had recorded no defaults underneath earlier administrations. “So very good credit to the vendors themselves. Integrity is a core value to us at Renaissance,” he added.

According to him, rates of interest provided to contractors have been aggressive.

“The interest rate that the banks are offering to the contractors is very competitive, and it is certainly better than the vendors going out to the respective banks on their own,” he mentioned.

Commenting on manufacturing, Attah mentioned Renaissance elevated output by 100,000 barrels per day inside 100 days of taking up the property in March 2025.

The firm, he acknowledged, has dedicated to rising oil manufacturing to 500,000 barrels per day by 2030, with fuel manufacturing of greater than 2.2 billion commonplace cubic toes per day for vitality provide and a further one billion commonplace cubic toes per day for industrialisation. This aligns with Nigeria’s aspiration to provide three million barrels of oil per day.

Olusegun Banwo, Executive Vice President, Finance, Strategy and Commercial, and Chief Financial Officer of Renaissance, mentioned the scheme’s success could be measured by its precise impression on contractors and undertaking supply slightly than financing commitments alone. Key indicators would come with the quantity of financing disbursed, how rapidly certified distributors may entry funds, and the extent to which the ability improved mobilisation, undertaking execution, Nigerian content material and manufacturing.

Chairman of the Petroleum Technology Association of Nigeria (PETAN), Wole Ogunsanya, mentioned the scheme may assist deal with one of many greatest constraints dealing with indigenous oil and fuel service firms: entry to inexpensive credit score.

Under the scheme, contractors with confirmed initiatives may entry financing by means of the taking part banks with out typical collateral, topic to contract verification by Renaissance, Ogunsanya mentioned.

He famous that borrowing charges from Nigerian banks may vary between 10 and 12 per cent, and expressed hope the ability may carry them right down to between eight and 9 per cent.

According to Ogunsanya, the ability addresses an gear hole that might constrain manufacturing development throughout the trade.

He mentioned native service firms would want substantial funding in gear and {hardware} over the following 4 to 5 years to assist larger output.

He acknowledged that gear acquired by means of the scheme may additionally serve different operators when not required for Renaissance’s initiatives, extending the advantages past the corporate and strengthening Nigeria’s oilfield providers sector.

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