Citadel Capital (CCAP.CA) disclosed today that lenders have signed amended documentation reaffirming that a US$ 2.6 billion debt package is fully in place to finance the design, construction, and operation of the Egyptian Refining Compnay (ERC)’s US$ 3.7 billion Greenfield petroleum refining upgrade project in Mostorod area of Greater Cairo.
Lenders, including leading global export credit agencies and development finance institutions, gathered on 7 June 2012 in Cairo in the presence of Egyptian Prime Minister Kamal El-Ganzouri to discuss the latest developments regarding both the project as a whole and the debt facility in particular; the latter stands as a very important step towards financial close.
Citadel Capital would like to confirm that this disclosure is intended only to apprise the market of the most up-to-date information regarding the project’s current status and does not represent an announcement of the anticipated financial close on ERC. The achievement of financial close, when it takes place, will be disclosed in a separate disclosure notice at the time.
Ganzouri to discuss the latest developments regarding both the project as a whole and the debt facility
Mostafa Al-Ramly, the ERC Chief Financial Officer, told Amwal Al Ghad that ERC – the Citadel Capital’s subsidy – will conclude its negotiations with 7 banks for now so as to provide letters of credit as well as the letters of guarantees worth $300 million for the Egyptian General Petroleum Corporation (EGPC)and for the Citadel Group.
“The ERC is currently negotiating with the Commercial International Bank – Egypt (CIB), HSBC, Arab Africa international Bank (AAIB), Ahli United Bank (AUB) and Mashreq Bank. Yet, we did not agree on the actual shares each bank shall provide.” Al-Ramly added
