Export Finance News

Swedbank has signed the Poseidon Principles, a global framework for integrating climate considerations into lending decisions within ship financeThe Poseidon Principles provide a standardised methodology for data collection and reporting of emissions from banks’ shipping portfolios, with the overall ambition of supporting and facilitating the decarbonization of the shipping industry.The Poseidon Principles are consistent with the policies and ambitions of the IMO, including its…

Offshore wind installation company Havfram has signed a Senior Secured Green ECA Term Loan Facility to fund its two wind turbine installation vessels ("WTIVs"), currently under construction at CIMC Raffles in China. The Facility was entered into with a syndicate led by DNB Bank ASA (Coordinator, Bookrunner, Green Loan Advisor and Agent) with SpareBank 1 SR-Bank ASA, Credit Agricole, Sparebanken Vest and Rabobank as Mandated Lead Arrangers and with Export Finance Norway as ECA lender.

Shipbuilder Austal Australia has been awarded a A$324 million (US$209.8 million) contract to design and construct six evolved Cape-class Patrol Boats (CCPBs) for the Royal Australian Navy.It is the largest contract for an Australian vessel construction program ever awarded to Austal in the company’s 30-year history.The six new vessels, to be constructed at Austal’s Henderson shipyard in Western Australia, will add to the Royal Australian Navy’s (RAN) existing fleet of two CCPB’s delivered in 2017 and further extends Austal’s Cape-class Patrol Boat program to a total of 18 vessels.

Vitol said that the Offshore Cape Three Points (OCTP) integrated oil and gas project offshore Ghana has commenced delivery of gas from the Sankofa field to Ghana National Petroleum Corporation (GNPC).Both Vitol and GNPC are partners in the OCTP project alongside operator Eni. The offshore project is expected to provide stable supplies of cost effective and environmentally friendly, domestic fuel for the Ghanaian power sector, said Vitol.The estimated net cost of gas to Ghana will be less than $4.5/MMBtu, greatly reducing Ghana’s fuel costs compared to liquid fuels or imported gas.The project will provide approximately 180 MMscf/d for at least 15 years, sufficient to supply half of Ghana’s power generation requirements.

An export win by Blyth Workcats and UK Export Finance, made possible by the government’s export finance support. The project – to supply a purpose built catamaran for a German University research program – went ahead thanks to the support of UK Export Finance, the UK’s export credit agency. It stepped in to share some of the financing risk with Blyth’s bank, enabling the export to go ahead, where it otherwise would not. Blyth Workcats, which produces catamarans for the UK and in a growing number of overseas markets, won the contract in December 2015. The additional finance was required due to the German buyer’s requirement for an advance payment bond, which can be a common challenge for exporters.

SBM Offshore announced it has today completed the project financing of FPSO Cidade de Saquarema for a total of $1.55 billion, marking the largest project financing in the company's history. Project financing was secured by a consortium of 16 international banks with insurance cover from four Export Credit Agencies (ECA): Atradius Dutch State Business N.V. (Atradius), Nippon Export and Investment Insurance (NEXI), Servizi Assicurativi del Commercio Estero S.p.A. (SACE) and UK Export Finance (UKEF). The facility is composed of three separate tranches totaling $1.55 billion with a 5.1 percent weighted average cost of debt and fourteen year post-completion maturity: Atradius covered tranche of $800 million including SACE $167 million and UKEF $53 million…

Dutch bank ABN Amro and China Export &   Credit Insurance Corporation (Sinosure) have signed a memorandum of understanding (MoU) to develop business in the ship building sector. ABN Amro will provide local and sector knowledge in shipping and offshore transactions, an export finance source at the bank said. ABN Amro will provide medium and long-term financing to Chinese companies operating in shipping sector, guaranteed by Sinosure, while the Chinese agency is also hoping to draw on the bank’s experience in the sector. Sinosure has been previously active in the shipping sector, often involving a mixture of financing models, but usually with some domestic banking involvement. Industry observers say that the Chinese government has certain plans for shipping and offshore.

Released yesterday, the International Chamber of Commerce (ICC) Trade Register Report 2014 provides empirical evidence that, in all forms, trade and export finance is a low risk bank financing technique – further supporting ICC’s advocacy of trade finance as a strong contribution to economic recovery and growth. This evidence has the potential to alter attitudes towards trade finance, and therefore contribute to the growth of both global trade and the global economy. Based on data contributed by the major global commercial banks and reflecting more than 4.5 million transactions totalling an exposure in excess of US$2.4 trillion, the ICC Trade Register Report 2014 (“the Trade Register”) empirically demonstrates that trade finance is lower risk than many other types of financing and assets.

Rolls-Royce and U.K. Chancellor George Osborne announced today that the Group will further invest in Rio de Janeiro State to better support customers in the rapidly expanding offshore oil and gas industry. A new £22 million marine facility in Duque de Caxias will be used to assemble and test large thrusters and other propulsion equipment for use on semisubmersible rigs, drill ships, FPSOs and other highly complex offshore vessels. Construction at the 27,000 sqm site will begin next month. Delivery of the first set of UUC 405 thrusters, for seven drill ships being built by Brazilian shipyard Estaleiro Atlântico Sul for Sete Brasil, will commence in June of 2015.

Condition monitoring specialists Sensonics success as a major exporter of instrumentation which protects power plants around the world has been acknowledged by the government initiative to make it easier for the U.K.’s small businesses to grow. Small Business Great  Ambition sits alongside the governments Industrial Strategy of promoting growth and making the U.K. more competitive and successful companies were invited to a special reception held at Number 11 Downing Street. Sensonics…

U.K. employee-owned business, Houlder has been awarded a three year contract to deliver Project Management Consultancy services to Libya’s Mellitah Oil and Gas B.V. (MOG) in relation to the design, construction, delivery and hook-up of a new Floating Storage and Offloading System (FSO) and associated subsea systems. The new Gaza FSO will replace the existing Sloug FSO which has been on site since 1989. The contract win will secure up to 30 high value marine industry jobs for the duration of the project. Rupert Hare, Chief Executive Officer commented “We are delighted to be working with Mellitah Oil and Gas B.V. to deliver this prestigious…

Eurofin to act as its consultant. clients and identifying ship financing opportunities for the bank. Dr. clients. stronger than it has ever been. good banks such as KfW IPEX-Bank have to be selective. finance, and short-term trade finance. scale. refinancing at market rates at all times.

(Photo: Monica E. The fate of the Spirit of Ontario has taken yet another interesting turn. According to an article published in the Rochester Democrat & Chronicle, the city of Rochester is poised to bid to buy the Spirit of Ontario, which now sits idly at the Port of Rochester. According to the paper the City Council approved a measure to turn the service into a publicly run operation, and it will try to buy the ship at a foreclosure auction scheduled for February 28. The $42.5 million aluminum catamaran operated for just 80 days this past summer before halting service in financial disarray.