Fidelity Bank Backs $3bn SNEPCo Facility to Boost Oil, Gas Contractors

L – R: Mr. Abolore Solebo, Executive Director, Corporate Bank; Dr. Nneka Onyeali-Ikpe, Managing Director/Chief Executive Officer (both of Fidelity Bank Plc); Mr. Ronald Adams, Managing Director; Mr. Tunde Oduwole, Group Finance Director (both of Shell Nigeria Exploration and Production Company Limited, SNEPCo); at the Memorandum of Understanding signing ceremony between SNEPCo and Nigerian banks for a $3bn contract finance facility aimed at improving access to credit for indigenous oil and gas contractors executing projects for the company in Lagos recently.

By Adebola Isimijola, Lagos

Fidelity Bank Plc has strengthened its support for Nigeria’s oil and gas industry by joining a $3 billion Contractor Finance Facility launched by Shell Nigeria Exploration and Production Company Limited (SNEPCo) to improve access to funding for indigenous contractors executing projects in the sector.

The financing facility, introduced in Lagos in collaboration with nine leading banks, is expected to provide credit support in both naira and United States dollars, enabling local contractors to improve project execution, enhance capacity and increase participation in Nigeria’s energy value chain.

Speaking at the unveiling, the Managing Director and Chief Executive Officer of Fidelity Bank Plc, Dr. Nneka Onyeali-Ikpe, said the bank remained committed to providing the financing required to unlock greater value from the nation’s oil and gas assets.

She noted that the oil and gas industry remains a major contributor to Nigeria’s Gross Domestic Product (GDP), making adequate financing critical to the successful execution of projects.

“At Fidelity Bank, we are committed to ensuring that we provide financing that is needed to help Nigeria maximise its oil and gas assets. We have supported the oil industry significantly and we commit to continue to support contractors and the entire ecosystem,” she said.

Also speaking, the Managing Director of SNEPCo, Ronald Adams, said the initiative aligns with the objectives of the Nigerian Oil and Gas Industry Content Development Act by promoting greater retention of value within the country.

According to Adams, the participating banks will provide capital and financial discipline, while SNEPCo will provide contracts and payment domiciliation to reduce lending risks. He added that contractors would be responsible for delivering agreed performance, creating a framework of shared accountability.

The bank said its participation in the financing scheme is consistent with its long-standing commitment to supporting strategic sectors of the economy, particularly the oil and gas industry, where access to structured financing is vital for project delivery, local content development and national energy security.

Fidelity Bank added that it has over the years financed several major transactions and infrastructure projects across the energy sector, including interventions supporting indigenous operators in the liquefied petroleum gas segment and other local content initiatives aimed at expanding industry capacity and delivering nationally significant projects.