The equity structure of Petronet LNG (PLL) is all set
to be finalised. Two leading fertiliser firms, Iffco and
Kribhco, are in the final round of talks with PLL to pick
up 20-per cent stake in the company.
is setting up a 5 million-tonne LNG terminal project at
Dahej, Gujarat. Iffco and Kribhco have proposed to invest
Rs 160 crore for picking up 10-per cent equity each in
the project, which is slated to be completed in 2005.
four oil majors Bharat Petroleum Corporation, Gas Authority
of India, Indian Oil Corporation and Oil and Natural Gas
Corporation together hold 50 per cent of PLLs paid-up
capital. Each public sector unit holds a 12.5-per cent
France-based Gaz de France has a 10-per cent equity and
Rasgas of Qatar holds another 10 per cent. Out of the
balance 30 per cent, the government of Gujarat has a 5
per cent share. The remaining 25 per cent had been offered
to non-government companies, financial institutions and
banks. Sources close to the development say the remaining
5-per cent stake will be offloaded to foreign financial
institutions like American Insurance Group.
is, however, learnt that the Mitsui OSK Lines-NYK Line-K
Line-Shipping Corporation of India consortium has signed
a deal with five major global banks for a $285-million
loan at 225 basis points above Libor to part-fund its
LNG shipping contract for PLL. "The loan agreement
was signed by the four sponsors of the joint venture consortium
and the bankers in London recently," the sources
consortium of banks led by ANZ Investment Bank and ABB
Structured Finance, Sumitomo Bank, Fuji Bank and Credit
Lyonnais have together agreed to provide $285 million
for building two new LNG tankers of 1,38,000 cubic metre
capacity each at a total cost of $370 million.
loan will have a repayment schedule of 12 years after
the delivery of the first tanker in December 2003 and
the second carrier in December 2004. The rate of 225 basis
points above Libor, however, excludes cost of up-front
fees, processing fees, agency commission and commitment
charges for the undrawn portion of the loan.
of the total principal loan amount of $285 million, the
joint venture consortium needs to repay only about $55
million during the 12-year tenure of the loan. The remaining
$230 million will have to be repaid in one balloon payment
after 12 years.