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

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

Unveiled at an MoU signing in Lagos, the Renaissance Vendors Financing Scheme, will present credit score help in each naira and {dollars} to native oil and gasoline distributors executing tasks 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 help 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 stated.

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 stated.

He stated the scheme had recorded no defaults beneath earlier administrations. (*13*) he added.

According to him, rates of interest provided to contractors had 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 stated.

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

The firm, he said, has dedicated to rising oil manufacturing to 500,000 barrels per day by 2030, with gasoline manufacturing of greater than 2.2 billion normal cubic ft per day for power provide and an extra one billion normal cubic ft 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, stated the scheme’s success could be measured by its precise influence on contractors and mission supply slightly than financing commitments alone. Key indicators would come with the quantity of financing disbursed, how shortly certified distributors might entry funds, and the extent to which the ability improved mobilisation, mission execution, Nigerian content material and manufacturing.

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

Under the scheme, contractors with confirmed tasks might entry financing via the taking part banks with out typical collateral, topic to contract verification by Renaissance, Ogunsanya stated.

He famous that borrowing charges from Nigerian banks might vary between 10 and 12 per cent, and expressed hope the ability might deliver them all the way down to between eight and 9 per cent.

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

He stated native service firms would want substantial funding in tools and {hardware} over the subsequent 4 to 5 years to help greater output.

He said that tools acquired via the scheme might additionally serve different operators when not required for Renaissance’s tasks, extending the advantages past the corporate and strengthening Nigeria’s oilfield companies sector.