The African Export-Import Bank (Afreximbank) has been appointed as financial advisor for the $4.5 billion EG-27 liquified natural gas (LNG) project in Equatorial Guinea.
According to a press release seen by Energy in Africa, Afreximbank stated its subsidiary, Afreximbank Advisory and Capital Markets (ACMA) has been mandated as the financial advisor to raise capital for the mega gas project.
As part of the mandate, ACMA is expected to leverage its expertise and investor networks to structure and raise capital for the project.
“Under the terms of the advisory mandate, ACMA will leverage its financial structuring expertise and broad investor network to mobilise capital for the development of the EG-27 project”, the statement reads.
The multi-billion dollar LNG project is being developed by Sociedad Nacional de Gas de Guinea Ecuatorial (Sonagas), Equatorial Guinea’s national gas company.
What you should know about EG-27 LNG
The gas project targets the development and monetisation of Equatorial Guinea’s gas sector.
It is tied to the EBANO field, which holds 3.8 trillion cubic feet of proven gas reserves.
Sonagas is sanctioning the first phase of the project to unlock 360 million cubic feet of gas daily and produce approximately 2.4 million tons of LNG annually.
With over a two-decade production lifecycle, the government hopes the facility can boost the country’s energy independence and increase national revenues.
Equatorial Guinea has been one of the key LNG exporting countries in Africa.
The country contributed a tangible volume to Africa’s overall export in 2024, despite the fall in the continent’s export.
However, Afreximbank says it is committed to supporting its member states in the development of sustainable energy solutions.
“The EG-27 LNG development aligns with the Bank’s mission to support the future of Africa, while advancing sustainable infrastructure projects that have far-reaching economic and social impact. Afreximbank,” the organisation said.
Most importantly, the pan-African credit agency says the project will “create jobs, drive exports and accelerate intra-African trade under the African Continental Free Trade Area”.
In a related development, Equatorial Guinea relaunched its open-door licensing process and hopes to offer up to 24 exploration blocks and two blocks for appraisal and development later this year or earlier next year.
