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Heirs Holdings acquires 45% OF OML17 from Shell, Total and ENI

John Omokayode

Heirs Holdings is a leading pan-African investment company. Its investment portfolio spans the power, oil and gas, financial services, hospitality, real estate, and healthcare sectors, operating in twenty-three countries worldwide.

Heirs Holdings, a company inspired by Africapitalism has shown dedication to the cause of enabling economic and social wealth creation by concluding this huge $1.1bn deal 

Heirs Holdings, in partnership with Transnational Corporation of Nigeria Plc, announced on Friday, 15 January 2021 the acquisition of a 45% participating interest in Nigerian oil licence OML 17, through TNOG Oil and Gas Limited (a related company of Heirs Holdings and Transcorp), from the Shell Petroleum Development Company of Nigeria LimitedTotal E&P Nigeria Limited and ENI. In addition, TNOG Oil and Gas Limited will have sole operatorship of the asset.

OML17 has an existing Production Capacity of 27,000 barrels of oil equivalent per day Estimated 2P Reserves of 1.2 billion barrels of oil equivalent. The field has estimated Additional 1 billion barrels of oil equivalent of further exploration potential.

Tony Elumelu, a pioneer Africapitalist and Chairman of Heirs Holdings has stated that “We have a very clear vision: creating Africa’s first integrated energy multinational, a global quality business, uniquely focused on Africa and Africa’s energy needs. I understand well our responsibilities that come with stewardship of the asset, our engagement with communities and the strategic importance of the oil and gas sector in Nigeria.  We see significant benefits from integrating our production, with our ability to power Nigeria, through Transcorp, and deliver value across the energy value chain.”

Heirs Holdings was advised by Standard Chartered Plc, as Global Coordinator, and United Capital Plc, with a syndicate of lending institutions including Afreximbank, ABSA, Africa Finance Corporation, Union Bank of Nigeria, Hybrid Capital, and global asset management firm Amundi. The deal also involves Schlumberger as a technical partner, as well as the trading arm of Shell as an off-taker.


Topic starter Posted : 19/01/2021 12:50 am