Home News Business Oman Oil completes $2b loan financing

Oman Oil completes $2b loan financing

DUBAI

Oman Oil Company has completed a $2 billion loan financing, a source said.

The company’s funding efforts are part of a wider push by the government to raise international finance.

Oman Oil has signed a revolving credit facility (RCF) of $1.15 billion, with a five-year maturity, and has slightly amended the terms of an existing $850 million revolving loan that matures in 2019, the source said. The $850 million loan was part of a dual-tranche $1.85 billion financing the company raised in 2014. The new $1.15 billion revolver refinances the $1 billion tranche of the 2014 loan, which was due for redemption this year.

The loan was self-arranged, the source said, meaning the borrower coordinated the transaction by putting together a group of banks.

The consortium includes Credit Agricole, Deutsche Bank, First Abu Dhabi Bank, HSBC, Natixis, Societe Generale, Standard Chartered and Sumitomo Mitsui Banking Corp, sources said.

Oman Oil’s revolving loan is just one of a number of fundraising exercises. In a joint venture with Kuwait Petroleum International, Oman Oil is raising billions of dollars for the development of the Duqm Refinery, a project expected to have a processing capacity of 230,000 barrels of crude oil per day.

Reuters