Terms announced for granting first tranche for Socar Aurora Fujairah Terminal
Azerbaijan, Baku, Dec. 20 /Trend A.Badalova, A. Tagiyeva/
Arab Petroleum Investments Corp. (APICORP) will grant the first tranche of a loan to Socar Aurora Fujairah Terminal on Jan.1, 2012, APICORP told Trend on Tuesday.
Arab Petroleum Investments Corp. and National Bank of Fujairah PSC signed an agreement on the first tranche to Socar Aurora Fujairah Terminal on Dec.18.
APICORP said that the first tranche worth $61 million will be granted two weeks after the signing of agreement.
Arab Petroleum Investments Corp. is a development bank owned by 10 Arab oil-producing nations.
In May of 2011 Arab Petroleum Investments Corp. was mandated the sole arranger by Socar Aurora Fujairah Terminal for a $110 million term loan facility, consisting of two tranches, to finance the phased development of the project.
APICORP said that it won the tender in a competition with a number of international banks.
Terminal in Fujairah Port in UAE is being constructed by SOCAR Trading - subsidiary of the State Oil Company of Azerbaijan (SOCAR). SOCAR and Aurora Progress Trade House, which is based in Switzerland, reached an agreement on cooperation in the development of oil storage facilities, including providing a terminal for the storage of petroleum products in May 2010.
SOCAR Trading has already invested in the construction of a 645,000 m3 terminal in Fujairah, via SOCAR Aurora, a joint venture company with Aurora Progress and the government of Fujairah. The Fujairah Terminal includes 20 tanks and has the capacity for handling gasoline, naphtha, middle distillates and other petroleum products.
SOCAR Aurora will act as an independent terminal operator offering the infrastructure's capacity to third parties.