China Exim Bank rides to the rescue of local yards

Beijing: At a ship finance forum held on December 3-4 in Beijing, China Exim Bank has signed loan agreements with five shipping and shipbuilding companies in order to support shipbuilding projects at domestic shipyards and help them get through current difficulties. The total amount of loans is RMB7bn.

According to the agreements, China Exim Bank and Citibank will jointly offer US$667m to Norwegian company Seadrill for its orders of two jack-up platforms at DSIC and four offshore drilling support barges at Cosco Nantong; China Exim Bank will provide around US$467m for these deals.

China Exim Bank will also join hands with the World Bank to offer a US$266m loan to Belgian company Exmar for its world’s first floating LNG liquefaction, regasification and storage unit (FLRSU) currently under construction at Wison Offshore and Marine in Nantong.

Other loan deals in the agreement include an RMB1.25bn loan to Cosco Bulk Shipping for five bulker newbuildings, RMB500m to DSIC for a containership order from a Hong Kong owner and RMB500m to Shanghai Shipyard for a drillship order from a Singaporean owner.

“As a policy bank and main supporting bank for China’s shipping and shipbuilding industry, China Exim Bank will play a guiding role of the nation’s financial policy and increase support to the industry to help enterprises actively deal with the crisis,” China Exim Bank said in an announcement.  [05/12/12]

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