Ghana National Petroleum Corporation (GNPC) is in talks with commodities trader Trafigura and banks for a $700 million five-year loan at 4.43 percent to fund oil and gas projects, GNPC and a source close to the deal said on Friday.

The deal would be Trafigura's first in Ghana and GNPC said it would be funded through its mandated share of national oil export revenue rather than using oil as collateral.

GNPC is a key player in a country where oil exports are the second biggest source of revenue and it is seeking $1 billion to become an independent operator.

GNPC cannot fund itself entirely through public sources and the loan would save money in the long term, GNPC said in a document prepared for the deal and seen by Reuters. "GNPC has to be prudent and build up capital for its growth. This is normal commercial practice. No serious company lives from year to year," it said. It did not name the banks involved.

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