RIYADH: Oilfield services provider National Energy Services Reunited, took out its first sustainability-linked loan in the MENA’s oilfield services sector with HSBC.
The loan amount was not disclosed. It’s key performance indicators are associated with environmental, social and governance — ESG — standards, to be tracked over the course of the agreement.
NESR plans to reduce water waste, drive growth in employers' health and increase its network of local suppliers that qualify with the company’s supplier governance policies.
The company also aims to build a formal company carbon reduction strategy and to finalize targets of its Science-Based Target initiative in the next year.
“HSBC is prioritizing financing and investment that supports the transition to a net-zero global economy, and NESR’s ESG ambitions — as this transaction shows — dovetail with our financing commitments and expertise,” regional head of commercial banking at HSBC, Dan Howlett, said.
HSBC plans to provide up to $1 trillion of financing globally by 2030 to support the transition to lower carbon emissions.
