- Region: North America
- Energy and Natural Resources
- Overseas Investment Loans
- Project Finance
The Japan Bank for International Cooperation (JBIC; Governor, CEO: Hiroshi Watanabe) signed on March 31 a loan agreement, in project financing*1, amounting up to approximately USD133 million, with ROSEWOOD SHIPPING PTE. LTD. (ROSEWOOD), a Singaporean company wholly owned by Nippon Yusen Kabushiki Kaisha (NYK LINE). The loan is cofinanced with The Bank of Tokyo-Mitsubishi UFJ, Ltd., bringing the total cofinancing amount to approximately USD190 million.
The loan is intended to finance the shipping business of ROSEWOOD involving liquefied natural gas (LNG) tankers to be used mainly for transporting LNG produced by the Cameron LNG project*2 located in the U.S., in which MITSUI & CO., LTD. participates. This loan will contribute to securing for Japan a long-term and stable supply of LNG that has become increasingly important in recent years as fuel for power generation, while utilizing the Japanese shipping companies' wide experience in the area of LNG shipping business.
As Japan's policy-based financial institution, JBIC will continue to financially support the promotion of the acquisition and development of energy resources by Japanese companies by drawing on its various financial facilities and schemes for structuring projects, and performing its risk-assuming function.
- *1 Project finance is a financing scheme in which repayments are made solely from the cash flows generated by the project and secured only on the project assets.
- *2 JBIC signed a loan agreement on project financing amounting up to USD2.5 billion for the above project in August 2014. See Press Release on August 7, 2014 for details.