Dawes Island Marginal Oil Field has secured a $109 million financing facility to activate its long-awaited development plan, marking a significant milestone for its operator, Eurafric Energy.
The funding was raised from Toronto-based investment firm REIN Capital, signalling renewed investor confidence in the asset following a recent court judgment that restored the company’s ownership of the field.
Managing Director of Eurafric Energy, Odjegba Onoriode, said the financing initiative is backed by prominent Bay Street financier Michael Wekerley, co-founder of the Canadian investment bank GMP Securities.
Industry sources disclosed that the facility had originally been processed for Eurafric Energy before the asset was revoked in 2020, a development that temporarily stalled the company’s plans.
The recent court ruling, however, paved the way for the reactivation of the funding arrangement and the formal commencement of the field’s development programme.
With the financing now secured, Eurafric Energy has outlined a comprehensive roadmap for the Dawes Island Marginal Field.
According to project sources, the strategy prioritises scaled and sustained production rather than rapid early oil extraction, reflecting a long-term approach designed to optimise reservoir performance and maximise returns.
The structured financing package is expected to provide the capital stability required to execute critical phases of the project, including field infrastructure, drilling operations and production facilities.
Energy analysts say the development could boost output from marginal fields and contribute to Nigeria’s broader efforts to increase crude oil production and attract foreign investment into the upstream sector.
Eurafric Energy expressed confidence that the Dawes Island project would not only enhance shareholder value but also create employment opportunities and support local content development as activities gather momentum.
