In a major oil financing deal, United Bank for Africa (UBA) Plc and Stanbic IBTC Plc have announced a  USD70million medium-term infrastructure financing for Accugas limited; a wholly owned subsidiary of Seven Energy International Limited.

The facility which has eight year tenure is to be used for the construction of a Central Gas Processing Facility and associated pipelines from the Uquo Marginal field to Ikot Abassi in Akwa Ibom state, for delivery of natural gas to companies in the state and environs.
 
This was made public Thursday June, 24, 2010 during the signing ceremony between UBA, Stanbic-IBTC and Accugas in Lagos. The syndication of the project also has UBA as Co-Mandated Lead Arranger, Account Bank and Security Trustee/Collateral agent while Stanbic IBTC will functions as Co-Mandated Lead Arranger, Account Bank and Facility Agent for the transaction.

Speaking at the ceremony, the Deputy Managing Director UBA Plc, Mr. Victor Osadolor, who was enthusiastic of UBA’s involvement said “we are proud to invest in Accugas Limited as the company’s project is uniquely aligned with the federal government’s vision of developing the country’s infrastructure and substantially monetizing the nation’s immense gas reserve. The cordial relationship with the sponsors of this project and other similar projects places us  in a unique position to continue to support its expansion plans’.

The Gas pipeline construction which has reached advanced stage enjoys the support of the Akwa Ibom state Government and aligns with the commitment of the federal government towards infrastructural development in the country.

On the other hand, the deal underscores UBA’s commitment to the energy industry and showcases the bank as a major energy player in the oil and gas sector.  The bank played a major role in the historic ExxonMobil/NNPC US$265 Million Upstream Financing deal.
 
United Bank for Africa Plc is one of Africa’s leading financial institutions offering universal banking to more than 7.5 million customer accounts. UBA currently operates in 16 countries , namely: Nigeria, Ghana, Uganda, Kenya, Tanzania, Cameroon, Côte d'Ivoire, Liberia, Sierra Leone, Senegal, Burkina Faso, Chad, Benin, Guinea, Kenya and Gabon together with  presence in New Y