BGN Secures Landmark $400 Million Facility to Propel Growth in Global Energy Market

BGN Expands Financing to $400 Million

BGN, a rapidly growing player in the energy and commodities trading sector, has recently announced a major advancement in its financing strategy by securing a $400 million revolving credit facility (RCF). This increase from the previous $282.5 million signifies not only a milestone in BGN's growth journey but also the company’s solid position in the international commodity and financial markets.

The signing ceremony took place under the umbrella of the Abu Dhabi Exports Office (ADEX), where His Excellency Mohamed Saif Al Suwaidi led the proceedings. On behalf of BGN, Deia Markova, the Executive Director of Finance, ESG, and Strategy, signed the agreement. It is worth mentioning that First Abu Dhabi Bank PJSC (FAB) played a pivotal role as the sole coordinator and bookrunner of the transaction.

Supporting BGN in this substantial financing are 14 other banks from diverse regions, including the Middle East, Africa, and Asia, showcasing a wide spectrum of trust and partnership within the financial community. Banks such as Abu Dhabi Commercial Bank and Emirates NBD are among the notable participants that vouched for BGN’s robust trading capacity and expansion plans.

The decision to upscale the RCF has attracted overwhelming interest from lenders, indicating their confidence in BGN’s strategic growth and ambition in the market. Rui Florencio, BGN's Chief Financial Officer, articulated the significance of this transaction by highlighting the enduring partnerships with leading regional and international financial institutions. This expansion will empower BGN to venture into new sectors such as liquefied natural gas (LNG), critical minerals, and metals—an essential leap in their growth and diversification strategy.

Khalil Al Mansoori, Executive Director of ADEX, also commented on the transaction, underscoring ADEX’s ongoing commitment to facilitate UAE-associated companies' global advancement. This deal does not merely provide BGN with increased liquidity but also exemplifies the trust placed in their business model by a broad base of international lenders. Through this initiative, ADEX aims to bolster the competitive edge of Emirati exporters, thereby aligning with the broader objectives of the UAE's economic diversification and sustainable development.

In light of the past year, BGN has recorded impressive milestones including the first shipment of LNG to Germany and the delivery of advanced dual-fuel Very Large Gas Carriers (VLGCs). Additionally, the company has formed a joint venture with the Democratic Republic of the Congo to develop essential infrastructure for its critical minerals and metals. BGN's collaborations extend to partnerships with US-based producers to advance Sustainable Aviation Fuel (SAF), further enhancing its portfolio in renewable energy solutions.

This financing expansion is not merely a demonstration of financial capacity but a strategic move that will ensure BGN accelerates its growth in the Gulf region and other international markets. The company aims to enhance its global operations, paving the way for innovative approaches to energy solutions critical to global transitions.

As a prominent figure in the energy sector with over 80 years of experience, BGN operates at the intersection of trading, distribution, and financing of energy solutions, handling around 50 million metric tons of commodities annually. Their global presence not only encompasses energy trading hubs in cities like Geneva and Dubai but also reflects their strategic commitment to deliver reliable, affordable, and sustainable energy. Navigating the complexities of today’s energy landscape, BGN is determined to responsibly shape the future while driving industry-wide decarbonization.

For those interested in understanding more about BGN's initiatives and growth strategies, further information can be found on their official website, underscoring their role in the evolving energy market and the critical transition to sustainable practices.

About ADEX

Established by the Abu Dhabi Fund for Development in 2019, ADEX aims to enhance UAE's export capabilities by offering financial and credit solutions to local exporters. Their efforts are aligned with the UAE’s economic diversification strategy, supporting local businesses to maintain global competitiveness and promoting a wider array of goods and services in international markets.