Vaalco Energy Fuels Expansion with $190M Mega-Loan for Global Energy Projects
Houston’s energy powerhouse, Vaalco Energy, is making waves in the industry with a bold financial move. The company has just secured a six-year revolving credit facility worth up to $300 million, with an initial commitment of $190 million. This strategic funding is set to turbocharge Vaalco’s ambitious growth projects across its global assets, from Gabon to Egypt and Côte d’Ivoire.
A Financial Powerhouse for Growth
Led by the Isle of Man branch of Standard Bank of South Africa, the credit facility boasts a consortium of heavyweight financial partners, including Rand Merchant Bank, Mauritius Commercial Bank, and Glencore Energy UK. This new loan replaces Vaalco’s previous undrawn facility provided by Glencore, marking a significant upgrade in the company’s financial toolkit.
“This facility is a game-changer for us,” said George Maxwell, Vaalco’s CEO. “It not only supplements our internal cash flow but also gives us the flexibility to tackle short-term capital needs as we roll out our growth initiatives over the next few years.”
Revamping the Baobab: A Key to Future Success
One of the most exciting projects on Vaalco’s radar is the refurbishment of the Baobab Ivoirien MV10, a floating production storage and offloading (FPSO) vessel operating in Côte d’Ivoire. Once the upgrade is complete, the vessel will be primed for future drilling and development, with operations expected to resume in 2026.
This milestone will pave the way for “significant” development drilling in the Baobab field, located in the Baobab CI-40 block. Vaalco is also eyeing potential development of the Kossipo field on the same license, which could further boost production and solidify the company’s position as a key player in the region.
Expanding Horizons: The CI-705 Block Acquisition
In another strategic move, Vaalco recently acquired a majority stake in the CI-705 block offshore Côte d’Ivoire. This block isn’t just rich in oil—it also holds promising gas prospects, adding another layer of potential to Vaalco’s growing portfolio.
With this acquisition and the new credit facility, Vaalco is positioning itself as a forward-thinking energy leader, ready to capitalize on emerging opportunities in the global energy market.
