The African Energy Chamber commends Trident OGX Congo for securing a US$300 million Afreximbank facility to increase oil production in the Republic of Congo.
The African Energy Chamber (AEC) commends the recent initiatives undertaken by the African Export-Import Bank (Afreximbank) in the provision of a $300 million financial facility to Trident OGX Congo. This financial arrangement was formalized through the signing by Benedict Oramah, President and Chairman of the Board of Directors of Afreximbank, and Steve Meheen, Chairman of Trident OGX Congo, in the presence of the Minister of Hydrocarbons Bruno Jean-Richard Itoua. The agreement promises not only to accelerate the nation’s crude oil output by an estimated 30% but also to contribute significantly to the Republic of Congo’s industrialization, trade development, and economic progress.
Trident OGX Congo, a wholly-owned subsidiary of Trident OGX International headquartered in Singapore, is poised to utilize the $300 million reserve-based lending facility to expedite its capital expenditure initiatives. The principal objective is to facilitate the expansion of crude oil production activities within the Mengo-Kundji-Bindi II (MKB II) oil fields, situated in the coastal plains encompassing Pointe Noire, the foothills of the Mayombe mountains and the periphery of Angola’s Сabinda enclave.
The MKB II oil fields have demonstrated remarkable performance, recovering an impressive 78.11% of its total recoverable reserves. This highlights the field’s efficiency and ability to maximize resource extraction. In 2022, the field reached its peak production, showcasing its significance in meeting the Republic of Congo’s energy demands.
The MKB II oil fields are operated by the Societe Nationale des Petroles du Congo (SNPC), the Republic of Congo’s state-owned oil company dedicated to the responsible management of petroleum exploration and production activities across the country. SNPC’s extensive operations and strategic involvement in the MKB II oil fields highlight its commitment to increasing oil production and driving the nation’s energy sector forward. The collaboration between SNPC and Trident OGX Congo, supported by Afreximbank and other stakeholders, exemplifies the synergy among industry players dedicated to advancing the Republic of Congo’s economic growth and development.
This seven-year developmental initiative represents a significant investment in the Republic of Congo’s energy sector. As Trident OGX Congo undertakes the implementation of its field development strategy, it is anticipated that the nation will witness a noteworthy upswing in crude oil production, thereby engendering economic development and fostering avenues for employment.
Afreximbank’s provision of a substantial financial facility to Trident OGX Congo signifies not only its dedication to bolstering the Republic of Congo’s energy sector but also its broader mission of driving economic transformation and diversification in Africa. By facilitating projects that enhance crude oil production and industrial development, Afreximbank acts as a catalyst for job creation, technological advancement and increased exports, all of which contribute to the sustainable growth of African economies.
“Afreximbank’s $300 million facility to Trident OGX Congo marks a pivotal moment in the Republic of Congo’s economic journey, in line with the bank’s mission to enhance industrialization and trade across Africa. As this development progresses, the Republic of Congo is poised for significant oil production growth, fostering sustainable economic development and underscoring the transformative potential of strategic investments in Africa’s growth and progress,” states NJ Ayuk, Executive Chairman of the AEC.
In addition to the Trident Group, SNPC and the Orion Group also hold shareholding in the asset that Trident OGX Congo will operate. This collaborative effort signifies the importance of partnerships in realizing large-scale projects that drive economic progress in the Republic of Congo.
At the upcoming deal room and the Invest in Congo Energies forum during African Energy Week – scheduled for 16-20 October in Cape Town – the AEC will unveil further developments related to this project. These announcements are expected to shed light on additional initiatives, collaborations, and investment prospects that will continue to drive the Republic of Congo’s economic growth and development.