Energy Development Oman (EDO) has completed an attractive $1 billion international loan, alongside refinancing its OMR loan facilities.
Together, the transactions extend Energy Development Oman’s debt maturity profile, reduce financing costs, and diversify its lender base, strengthening the company’s position to support future growth.
The five-year $1 billion Term Loan was upsized from the initial $750 million following strong investor demand, with aggregate commitments exceeding $1.5 billion. More than half of the final allocations came from outside the GCC, led by major Asian banks, highlighting EDO’s ability to access diverse pools of international liquidity.
Proceeds will be used for general corporate purposes ($750 million) and to prepay a portion of EDO’s existing $2 billion facility due in 2029 ($250 million), contributing to a smoother debt maturity profile. Mashreq and GIB acted as Joint Initial Mandated Lead Arrangers, Underwriters and Bookrunners, leading the syndication process, while Sohar International Bank joined as the sole Omani MLA.
Mazin Al Lamki CEO – EDO
“These transactions have met our primary goals of cost-efficiency and investor diversification, while strengthening our banking partnerships. They put EDO in a strong position to finance further growth and demonstrate the confidence that both local and international banks place in our credit standing and long-term strategy.”
AlSalt Al Kharusi, Country Head, Mashreq Oman, said: “At Mashreq, our role goes beyond capital, it’s about bridging global liquidity with national ambition. By leading this $1 billion syndication alongside world-class institutions, we have reinforced Oman’s ability to attract large-scale international capital on competitive terms. This transaction reflects our strong conviction in the Sultanate’s growth trajectory and our commitment to enabling the critical sectors that will help cement Oman’s position as a regional hub for energy and infrastructure finance.”
Shortly prior, EDO refinanced its two OMR loan facilities. The $976 million (OMR 375 million) Term Loan was refinanced at the same amount, extending its maturity to 2028 with two annual extension options at EDO’s discretion.
The $391 million (OMR 150 million) Revolving Credit Facility was increased to $521 million (OMR 200 million) and also extended to 2028. Bank Muscat acted as lead arranger and Facility Agent for both financings, supported by sizeable commitments from Sohar International Bank for the Term Loan, and Bank Dhofar for the RCF.
Sultan al Mamari, CFO of EDO, commented that, “The strong support from Omani banks in our domestic refinancing, together with the breadth of international participation in the USD transaction, reflects market confidence in EDO’s strategy. These outcomes give us greater financial flexibility, a stronger maturity profile, and a more diversified lender base, supporting both current operations and our future growth.”
With reference to the OMR loan facilities, Ahmed Al Balushi, Deputy Chief Executive Officer – Banking at Bank Muscat, remarked that, “Bank Muscat, as the largest financial institution in Oman, is proud to be the lead arranger and facility agent for both facilities and appreciates the strong partnership with EDO.”
The breadth of investor participation across domestic and international banks reflects the confidence in EDO’s credit and in Oman’s energy sector. By securing attractive financing in a competitive global market, EDO demonstrates its resilience and sets a clear direction for how leading Omani credits can attract international capital with credibility and scale.
