NIGERIAN state oil company NNPC has signed a $1.04 billion facility with the African Export-Import Bank (Afrexim) for petroleum exploration, the bank has announced in a statement.
The agreement is backed by oil cargoes, and under it NNPC will deliver 35,000 barrels per day (BPD) of crude oil, it said.
Nigeria, Africa’s top oil exporter, has along with other petroleum producers struggled to find attractive exploration funding as lenders shift away from fossil fuels due to climate concerns.
Afrexim President Benedict Oramah said the loan represented a balanced approach to development and climate, noting that Africa contributes just 4% to the world’s greenhouse gas emissions.
“Stopping development for parts of Africa today to achieve a clean environment for the whole world tomorrow is utterly foolhardy,” Oramah said.