Sonangol And China Development Bank Sign Important Financing Agreement

Sonangol And China Development Bank Sign Important Financing Agreement
Angola is an energy giant

AFRICANGLOBE – Following a meeting in Beijing with Zheng Zhijie, the President of China Development Bank, the Chairman of Sonangol EP, Francisco de Lemos Jose Maria, has signed an important credit agreement worth €2 billion.

Chinese funding should support Sonangol’s expansion projects in the oil and gas sector.

The China Development Bank is the largest financial institution in the Asian country in terms of cooperation with other countries, particularly with regard to the granting of credits. Its President, who proved to be quite delighted with the partnership that the agreement consolidates, stressed the importance of Africa, and Angola in particular, and the relationship between the two countries as well as the credits that the CBD has given the Angolan economy since 2008.

He also emphasised the fact that Angola is the second largest country of origin of petroleum products to China, and ensured that the Bank has closely followed the development of Sonangol.

Zheng Zhijie considers the contract signed as a new starting line in relations with the national oil company, and looks forward to successes in the future due to their bilateral cooperation relationship.

In turn, Francisco de Lemos Jose Maria referred to the importance of CDB financing for Sonangol, detailing that they have allowed the realisation of a wide scope of projects in exploration of crude oil, refining and logistics.

The CEO of Sonangol did not fail to stress that the use of such credits also served as a support to the oil, to the effectiveness of some government projects including the construction of social housing, which become quite visible the relationship of cooperation between the parties to the agreement sometimes signed.

The agreement will have a prevalence of 10 years, but according to the PCA opens the same strong prospects for other long-term financing, in view of future bets Sonangol, which in 2015 will begin the construction of the Lobito Refinery, and this year gave the go ahead for more projects of natural gas monetisation.

 

By: Sam Jermy