SECTOR EXPERTISE Natural Resources and Energy MEET OUR EXPERT ONLINE Absa | Corporate and Investment Banking > Sector Expertise > Natural Resources and Energy Leverage our experience to unlock value across the continent We understand the complexities that the Natural Resources and Energy sector faces and offer financial and risk management solutions to support its sustainability and growth. YEARS OF HERITAGE150 PRESENCE IN AFRICAN COUNTRIES12 THOUGHTS FROM OUR LEADERS A continental focus and risk appetite for African projects The Natural Resources and Energy sector remains one of the most important industries across the continent. It includes businesses operating in the mining sector, metals and minerals, oil and gas, commodity traders, and the various value chains and ecosystems associated with these activities. While the sector has experienced an increase in negative investor sentiment over the past years, due to increasing environmental, social and governance standards and political and economic instability in certain regions, Africa nevertheless remains an attractive frontier market. The key to unlocking investments into Africa is for industry stakeholders to continue to collaborate responsibly to promote economic growth. The key role of a bank is evolving and now includes also making sure that where we provide funding, the economy and communities benefit. Understandably, Covid-19 and the subsequent lockdown have impacted mining, oil and gas companies. With estimations that it could take many months before operations return to normality, the financial fallout is significant for mining and oil companies, with the latter reducing their refinery capacity to save costs and preserve cash reserves. Rising production costs, infrastructural challenges, electricity supply and cost concerns are factors placing business leaders under unyielding pressure to deliver superior returns to stakeholders. Globally, we will see a move towards more sustainable energy sources, with companies focusing on diverse reserve portfolios covering metals, oil, gas and renewable energy sources. Beyond our extensive Corporate and Investment Banking solutions, our team of sector experts assist our clients across the mining and metals, and oil and gas arenas throughout Africa by providing thought leadership and bespoke solutions. Our specialist offering includes the structuring and risk mitigation of financial instruments, buy/sell private and public investments delivered by a team of M&A specialists, strong BEE advisory and extensive funding capabilities. At Absa CIB we have a risk appetite for African projects and focus on building long-term relationships – supporting our clients in achieving their ambitions while pursuing our goal to become the continent’s leading financier in this sector. Shirley Webber Head: Natural Resources & Energy https://cib.absa.africa/wp-content/uploads/2020/07/file_example_MP3_700KB.mp3 Latest insights Reviewing the challenges and opportunities that face mining and energy players across the continent. POWER, UTILITIES & INFRASTRUCTURE INSIGHTS Absa Insights Series: The future of renewable energy is bright The untapped potential of Africa’s treasure trove of natural wealth presents its beneficiaries with a prosperous future, if exploited. POWER, UTILITIES & INFRASTRUCTURE INSIGHTS Absa Insights Series: Coal to gas shift – a major step toward energy stability in SA The market exists and, so does the technology – the question is, who is capable of operating energy storage in South Africa? POWER, UTILITIES & INFRASTRUCTURE INSIGHTS Absa Insights Series: Energy is the gatekeeper to a prosperous future Tackling Africa’s energy crisis starts with policymakers and evidence shows that they’re not moving fast enough. POWER, UTILITIES & INFRASTRUCTURE INSIGHTS Absa Insights Series: The race to win the battle of energy storage is on Wherever there is a problem, there is a solution and in the energy sector, a solution is an opportunity MINING INSIGHTS Sustainable Energy: A fascinating dynamic for the resources sector Read the article by Shirley Webber that provides key trends that finance and due diligence teams will be monitoring in 2021. MINING INSIGHTS M&A activity will be all the rage for resources in 2021 Read Craig Webber’s thoughts on how the resources sector is at the start of a commodity super-cycle in 2021. MINING INSIGHTS Why mining houses are turning to IPPs to fund their electricity needs Read insights from our Project Finance and Resources Head, Theuns Ehlers on why mining houses are turning to IPPs to fund their electricity needs.. Subscribe for quarterly updates Analysis and data-driven insights for a changing world – delivered direct to your inbox. Name Company email address I consent to provide my personal information being collected and processed for this subscription. I Accept the Terms and Conditions OUR TRACK RECORD Feedback from our clients “Absa provided us with advice on matters related to project finance and maximising interest income on excess cash. The service received has been outstanding and we have had better-than forecasted interest earnings as a result of the guidance and restructuring provided by Absa CIB. We have also received substantial support for decision making purposes when it comes to financial instruments held with Absa.” Dorper Wind Farm – South Africa President, Trade Association - Africa "Absa has been a partner bank to ACWA Power since our first successful project bid, providing the group with project financing, working capital as well as mandated as the account bank for the project. Absa has provided great value through its service, tailored solutions, valuable insights and advisory to the group." ACWA Power – UAE and Africa President, Trade Association - Africa "As a partner bank to Marubeni for over 6 years, the Absa team has provided awesome service in assisting us to establish our South Africa office. Their always-available attitude has supported us to facilitate our entry into both the South African and African Market." Marubeni Middle-East & Africa Power Limited – Japan President, Trade Association - Africa "Having a Pan-African banking partner is very important to the group as it gives us a competitive advantage in the market. We are now able to go for the projects we want because we have a partner bank that understands our business and is ready to help us materialise our growth ambitions in the continent." Gransolar Group – Spain President, Trade Association - Africa Contact us 0860 500 703 +27 (0) 10 211 3117 rsc.corpprc@absa.co.za Subscribe for quarterly updates Analysis and data-driven insights for a changing world – delivered directly to your inbox. Subscribe now Rate our website How would you rate your overall satisfaction with this website? 1 2 3 4 5 Great! Please tell us more What did you like most about the website? Insights offered Look and feel Variety of content Next Please tell us more Which of the following could be better? 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