Dana Gas gets funding for new gas field
SHARJAH, September 17, 2014 – Private natural gas company Dana Gas’ subsidiary Dana Gas Explorations announced last week that it had secured $100 million to finance the start of production from the UAE’s Zora offshore gasfield.
The debt financing will allow Dana Gas to bring the field onstream, with first delivery of gas expected in the first half of 2015.
The syndicated loan will be provided by local institutions Emirates NBD Bank, Commercial Bank International and Commercial Bank of Dubai, as well as Barwa Bank of Qatar.
Dana Gas CEO Patrick Allman-Ward said, “This financing agreement demonstrates the confidence leading banks and financers have towards the Zora project.”
The Zora field straddles the territorial waters of two northern emirates, Ajman and Sharjah. Dana Gas expects to produce an estimated 1.13 mcm (40 mcf) per day from the field, which will be used as feedstock for power generation in the UAE’s northern emirates.
In June 2014, Dana Gas revealed it had spent around $49 million in equity financing for the project.