Kuwait Energy has also sought IFC’s input on environmental, social and corporate governance best practices. Kuwait Energy and IFC have jointly developed a detailed environmental and social action plan to enhance the company’s operations in Egypt and Yemen. IFC is also planning to conduct an in-depth corporate governance assessment for Kuwait Energy to help it prepare for a potential listing on an international stock exchange.
“We are benefiting greatly from IFC’s expertise at this early stage of our company’s growth”, said Sara Akbar, Kuwait Energy’s chief executive officer. “IFC has executed a highly customized financing and are providing us valuable advice on environmental and social management”.
IFC’s funds will help Kuwait Energy develop a series of recent oil discoveries in Egypt and carry out additional exploration in Yemen. Egypt and Yemen have seen stagnating or dropping oil production in recent years and need companies such as Kuwait Energy to increase the production of oil and gas so that the sector can continue to provide jobs, foreign exchange reserves and government revenues in both countries.
“This transaction provides a unique opportunity for IFC to support a new class of local private oil and gas companies in the Middle East and North Africa that are expanding regionally and providing valuable jobs and revenues to governments”, said Lance Crist, IFC’s global head for oil and gas. “Kuwait Energy shares our commitment to setting new standards for environmental and social management in the region and we look forward to a long term relationship with them”.
