EGPC eyes $2 billion loan
London, January 9, 2010
Egypt's state-owned Egyptian General Petroleum Corporation (EGPC) is looking to secure a $2 billion, 58-month debt financing that will be used for export finance, bankers said.
Banks have formed several bidding groups for the financing and the deadline is January 18, the bankers added.
The company invited banks in mid-December to pitch for a either a pre-export syndicated loan, a bond or a mix of the two, a banker at a European lender said.
Pricing is expected to be below 300 basis points (bps) over the London Interbank Offered Rate (Libor), the banker added, which would be quite a step down from EGPC's previous deal agreed only three months ago -- a $900 million pre-export finance loan that carried a margin of 350 bps over Libor with a shorter 46-month maturity. .
While the previous loan was secured on crude oil exports, the new deal will be secured on naptha exports, the banker said.
The deal is attracting a lot of interest from international lenders looking to diversify their loan portfolios, the banker said.
'With many banks, especially among the pre-export finance lenders, heavily over-exposed to Russia and specifically to Russian oil, the rarity value of EGPC makes quite a compelling case,' the banker said.
This interest is also strengthened by those international lenders active in the Middle East and North Africa that are looking to invest in something away from Dubai real estate, the banker added. – Reuters
More Energy, Oil & Gas Stories
- S Korea to pay Iran $550m under nuke deal
- Qatar LPG exports will stay unchanged till 2018
- $14bn Bahrain energy sector focus for summit
- Iraq now world's fastest-growing oil exporter
- Old IT systems pose risk to oil firms
- Thomson Reuters adds commodity monitoring tool
- Oil below $90 to hit GCC economies
- GlassPoint appoints new Oman director
- Sheffield company opens Dubai hub
- Oman targets big rise in gas output
- Intertek buys UAE firm for $66m
- Qaiwan to tender Baizan refinery EPC contract
- Al Maha wins Oman Air fuel supply deal
- Iran to become top gas importer by 2025
- UAE hydrocarbon projects seen hitting $11bn
- Summit focus on occupational safety
- Aramco names new senior VP
- Siemens gets $253m Qatar power contract
- Taqa-led group's India deal worth $1.6bn
- Taqa-led group to buy India power plants
- Iraq oil exports hit record 2.8m bpd
- Korean refiners eye more Iraq crude
- Dana starts Egypt gas plant upgrade
- Opec oil production hits new high in Feb
- Taqa-led group to buy Indian hydropower plants
- Schneider gets energy management certification
- Morocco moves ahead with $1.7bn wind farms
- Iraq approves power plant investments
- 670,000 oil & gas wells ‘need to be drilled’
- Qatar bourse celebrates Mesaieed listing