Supporting Growth of the Hydrocarbon Sector in the Sultanate
Muscat - Bank Nizwa SAOG has signed an agreement to provide a structured financing facility of USD 50 million to Hydrocarbon Finder E&P LLC (HCF), an independent Oil & Gas exploration & production company promoted by the Services and Trade Group (S&T Group). The Bank's Shari'a-compliant package is tailored to meet the requirements of HCF, which has been granted concession rights by the Government of Oman for oil & gas exploration, development and production within an onshore geographical area in Oman termed as Block 7.
The Facilities agreement was signed by Dr. Jamil El Jaroudi, CEO of Bank Nizwa and Brig. Gen. (Retd) Sulaiman Al Adawi, Group Chairman of the S&T Group, in the presence of Sheikh Ahmed bin Saif Al Rawahi, Deputy Chairman of Bank Nizwa on February 10th in Muscat. The signing ceremony was also attended by Mr. Waqas Al Adawi, Vice Chairman of S & T Group, and Mr. Rohit Walia, Executive Chairman of Alpen Capital, along with senior members from their respective teams.
Speaking at the ceremony, Dr. Jamil El Jaroudi, Bank Nizwa CEO noted: "Our financing products have backed the growth of the Sultanate's real estate and mining industries, and today, as a proven and trusted establishment, we are excited to add the oil & gas sector to our roaster of corporate clients. Our partnership with Hydrocarbon Finder E&P LLC is a translation of Bank Nizwa's commitment to diversify its portfolio and play a key role in spurring private sector growth, and contributing to Oman's economic prosperity."
Hydrocarbon Finder E&P LLC is part of the Services & Trade (S&T Group), a leading Oman based business conglomerate that has significant business interests in diverse sectors such as interior fit-out and contracting, information technology, healthcare, mining, FMCG, trading, and real estate across Oman and with established operating companies in GCC region, United Kingdom, Italy, India & Sri Lanka.
At the signing, S&T Group Chairman, Brig. Gen. (Retd) Suleiman Mohammed Yahya Al Adawi remarked: "Hydrocarbon Finder E&P LLC represents the S&T Group's entry into upstream oil & gas. This deal is a very important business vertical for us and one which holds strong growth potential for the future. We are delighted with the support and commitment shown by Bank Nizwa towards our new venture and look forward to a long and mutually beneficial relationship with the bank. We also thank Alpen Capital for partnering with us and advising us on this important concession financing arrangement".
In turn, Rohit Walia, Executive Chairman of Alpen Capital, LLC, Oman, the Financial Advisor to the S&T Group for this transaction, said: "We are glad to support Hydrocarbon Finder E&P LLC in this new and important business initiative. It is very gratifying to see that our Oman Team has been able to contribute towards development initiatives in the country and work with local businesses to support their needs.".
Since inception, Bank Nizwa has been at the forefront of Islamic Banking and Finance in the Sultanate, providing innovative corporate and retail Shari'a-compliant banking and finance propositions. In 2015, the Bank was the first to offer an Islamic Financing Facility to a key player in the mining sector and continues to expand its products and services to cater to the requirements of other industries within the burgeoning market.
About Bank Nizwa
Bank Nizwa is Oman's first dedicated Islamic bank offering a unique banking experience that combines Shari'a-compliant products and services with today's dynamic financial requirements. Since its inception in January 2013, the Bank has become a reliable partner to a growing customer-base, a market that is actively seeking an alternative to conventional banking. With a number of innovative and competitive propositions, its portfolio ranges from a full suite of personal banking solutions to relationship management and treasury products for global markets.
With three years of operations, Bank Nizwa has expanded its reach, opening eleven branches across Oman in Qurum, Ghoubra, Al Khoud, Barka, Nizwa, Samail, Sohar, Ibra, Sur, Al Buraymi and Salalah. As of September 30th 2015, its total assets reached OMR 316 million, representing a growth rate of 23% over the same period in 2014 with shares traded on the Muscat Securities Market (OM: BKNZ). Further information on Bank Nizwa is available on www.banknizwa.om.
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© Press Release 2016