Georgian Oil and Gas Corporation to issue Eurobonds in amount of 300M euros

Oil&Gas Materials 14 November 2019 17:24 (UTC +04:00)
Georgian Oil and Gas Corporation to issue Eurobonds in amount of 300M euros

Georgian Oil and Gas Corporation (GOGC) will issue Eurobonds in the amount of 300 million euros at the end of March or the beginning of April 2020, said GOGC’s Director for Corporate Finance Omar Ogbaidze, Trend reports citing Georgian media outlets.

According to Ogbaidze, the corporation issued bonds in USD in 2012 and 2016, and in 2020 it will issue Eurobonds.

"This amount of 300 million euros will be refinanced by Eurobonds ($250 million) issued in 2016, and the remaining amount ($70-80 million) will be spent on the construction of a new third-generation thermal power plant in Gardabani," he said. “As a result, our interest expenses will be reduced.”

According to Ogbaidze, relatively favorable conditions are also associated with increasing the credit rating of the corporation.

JSC Georgian Oil and Gas Corporation is a diversified company with business activities in various segments of energy. It has the status of the National Oil Company and protects state interests in the Production Sharing Agreements signed with investors.

As the owner of the main gas pipeline system of Georgia, GOGC plays a major role in ensuring the energy security of the state. It contributes to unimpeded operation of transboundary oil and gas transportation systems on the territory of Georgia, which significantly increases the security of the country’s, EU and international energy markets.

GOGC also supports development of new transit routes for full use of the energy potential of the Caspian and the Black Sea basins and further integration of Georgia into regional/global economic and political structures. GOGC diversifies its business activities, focuses on competitive power under the unified liberalized market conditions, and introduces modern management skills.


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