The INPEX-led Ichthys LNG Project in Australia has finalized arrangements for US$20 billion in project finance loans including those with eight export credit agencies (ECAs) and 24 commercial banks.
According to the press release issued by INPEX, the Ichthys project financing is the biggest project financing ever arranged in the international financial market.The project finance credit facilities are comprised of direct loans from ECAs, ECA insured or guaranteed commercial loans, commercial loans from 24 commercial banks and senior sponsor loans from the Ichthys LNG Project participants.
Direct loans from ECAs include US$5 billion direct loans from Japan Bank for International Cooperation (JBIC) and US$2.75 billion loans insured by Nippon Export and Investment Insurance (NEXI).
The Ichthys LNG Project is the first case where the Japanese company is leading such a world-scale LNG project as an operator. The finalization of the project financing arrangements is a major milestone in ensuring the successful development of the promising Ichthys LNG Project that will contribute not only to a long-term stable supply of cleaner energy to Japan but also to a diversification of Japan‘s energy sources.
“The participants in the Ichthys LNG Project appreciate the continued support from financial institutions, the local communities, the governments of Australia, Western Australia and Northern Territory, as well as support from other stakeholders for timely delivery of the Ichthys LNG Project,” says INPEX in a press release.
[mappress] December 18, 2012