Nigeria's Crude-Backed Loans Consume N8.36 Trillion in 2025 Oil Revenue
In 2025, Nigeria's crude-backed loans consumed N8.36 trillion of oil revenue, representing 14.66% of total production. Four major debt arrangements, including Projects Gazelle and Yield, committed 213,000 barrels per day, equating to 77.75 million barrels for the year. This diversion of funds, primarily for immediate crises like refinery upgrades, significantly impacts the country's cash flow and highlights issues of transparency in financial dealings.
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In 2025, Nigeria's servicing of crude-backed loans consumed N8.36 trillion, amounting to 14.66% of total crude oil production. Four key debt arrangements—Projects Gazelle, Yield, Leopard, and Eagle Export Funding—tied up 213,000 barrels per day, totaling 77.75 million barrels for the year.
With an average oil price of $72.08 per barrel, this diversion was significant for the nation's finances. Project Yield, funding the Port Harcourt Refinery upgrade, requires the delivery of 67,000 barrels per day, with repayments starting in June 2025.
Project Gazelle, with an outstanding N3.8 trillion, necessitates a sustained 90,000 barrels per day delivery. Additionally, gas revenues are pressured by a N772 billion upfront payment to Nigeria LNG Limited, adding complexity to the debt profile. Critics cite transparency issues in these transactions, and economists warn that legacy deals hinder growth.
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