Gunvor Group, a major commodities trading firm, has completed another significant oil deal in Gabon, marking the country’s second major move to reclaim greater control over its national resources following the 2023 coup.
According to documents filed Tuesday, Tullow Oil’s Gabonese unit secured $220 million in financing from Gunvor’s Middle Eastern subsidiary. The funding was arranged as an underwritten prepayment tied to Tullow’s planned $300 million acquisition of assets in the West African country.
This marks Gunvor’s second major financing move in Gabon. Last year, the company provided approximately $800 million to assist the Gabonese government in the nationalization of Assala Energy, a company formerly owned by the Carlyle Group. Gunvor declined to comment on the latest transaction.
As trading margins in the oil markets tighten following one of the most profitable periods in industry history, global commodities traders are increasingly turning to asset-backed deals and prepayment agreements to secure more lucrative oil supply contracts. Rising competition from national oil companies and hedge funds has further pushed traders toward these strategies.
Tullow Oil stated that the assets involved in the Gabon deal are expected to produce around 10,000 barrels per day this year. The company plans to use the funds to reduce its debt load as it continues its efforts to divest non-core assets ahead of a $1.39 billion debt maturity due in 2026.
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