Bladex Secures a Game-Changing Financing Agreement for Staatsolie
Banco Latinoamericano de Comercio Exterior, S.A. ("Bladex"), in collaboration with the African Export-Import Bank and a consortium of 16 financial institutions, has successfully structured a landmark US$1.6 billion long-term senior secured financing facility for Staatsolie Maatschappij Suriname N.V. ("Staatsolie"). This significant financial endeavor marks a major milestone in the energy sector.
Financing Details and Purpose
The funds from this facility will primarily be employed by Staatsolie for the partial refinancing of its existing debts and to support its 20% working interest in the GranMorgu upstream oil project, an ambitious initiative located in Block 58, approximately 150 km off the Surinamese coast.
GranMorgu Project Significance
The GranMorgu project is poised to revolutionize the energy landscape in Suriname and is seen as one of the most substantial developments within the global energy sector. The financing of this project stands to be the largest of its kind in Suriname's history, anticipating initial offshore oil production by the year 2028. This development promises to generate royalties, profit oil, increased income taxes, and dividends, which will play a crucial role in funding infrastructure, healthcare, education, and further offshore endeavors.
Economic Impact
The GranMorgu project, developed in association with TotalEnergies EP Suriname B.V., is expected to create over 6,000 jobs, both directly and indirectly. Furthermore, it is estimated to infuse approximately US$26 billion into Suriname's economy, depending on oil prices, presenting a transformative opportunity to alleviate poverty and enhance public services throughout the nation.
Strategic Importance of the Credit Facility
This substantial credit facility, meticulously structured by Bladex, has garnered interest from leading international, regional, and local banks, showcasing the project's appeal and the confidence in Staatsolie's potential. Annand Jagesar, Managing Director of Staatsolie, described the arrangement as a pivotal moment that lays a solid financial foundation for future growth.
Bladex's Commitment
Samuel Canineu, Chief Commercial Officer at Bladex, expressed enthusiasm over the financing agreement, emphasizing the potential of GranMorgu to significantly increase Staatsolie's production while supporting critical state investments. The project not only enhances the economic landscape but also serves as a testament to Bladex’s commitment to aiding member countries in realizing significant developmental projects.
Environmental Innovation
GranMorgu distinguishes itself with its low-carbon design, utilizing a fully electric Floating Production, Storage, and Offloading (FPSO) unit capable of processing 220,000 barrels per day. The unit is designed without routine gas flaring, promoting gas reinjection, waste heat recovery, and continuous methane monitoring, positioning it as one of the most efficient projects concerning greenhouse gas emissions within the oil sector.
Projected Revenues and Investments
Capital investments for the GranMorgu project are estimated to surpass US$12 billion, with Staatsolie contributing US$2.4 billion. As oil production commences, it is anticipated that the project could generate over US$26 billion in revenue for Staatsolie and the Surinamese government throughout its operational lifespan, providing a significant boost to the nation’s economy.
About Staatsolie Maatschappij Suriname N.V.
Staatsolie is the national energy company of Suriname, focused on exploration, production, refining, and distribution of energy resources, while also maintaining an interest in gold projects within the country. The company is committed to maximizing long-term value and fostering sustainable development in Suriname.
About Banco Latinoamericano de Comercio Exterior (Bladex)
Founded in 1979 by the central banks of Latin American and Caribbean nations, Bladex is a multinational bank that promotes trade financing and economic integration in the region. With its headquarters in Panama and a strong regional presence, Bladex has gained recognition in international financial markets since its listing on the New York Stock Exchange (NYSE: BLX) in 1992.
Contact:
Felipe Suarez, SVP Head of Loan Structuring & Syndications
Tel: +(507) 210-8500
Frequently Asked Questions
What is the total amount of the financing facility secured by Staatsolie?
The financing facility amounts to US$1.6 billion.
What will the financing be used for?
The funds will be used for refinancing existing debts and to support Staatsolie's interest in the GranMorgu oil project.
When is initial oil production expected to begin?
Initial oil production from the GranMorgu project is anticipated around mid-2028.
How many jobs will the GranMorgu project create?
The project is expected to create over 6,000 jobs directly and indirectly.
What is the environmental approach of the GranMorgu project?
The project features a low-carbon design with an electric FPSO unit, minimizing emissions and promoting sustainable practices.
