Access to capital markets key to Nigerian indies surviving price crash

With international oil companies (IOCs) divesting all but the most attractive Nigerian assets, indigenous players remain bullish about their ability to take a leading role in developing exploration and production assets in a low-price environment. For leading players like Oando Energy Resources and Seplat Petroleum Development Corporation, access to capital markets could hold the key to success. But the high cost of borrowing could be crippling for smaller firms, many of whom are focused on securing marginal fields. The banking sector has provided capital for smaller local firms to target marginal fields.