Skip to content

Overview

China Construction Bank contributes to RMB 7.48 billion syndicated loan for IWIP Ferronickel Production Line Project

Commitments (Constant USD, 2023)$87,518,513
Commitment Year2022Country of ActivityIndonesiaDirect Recipient Country of IncorporationIndonesiaSectorIndustry, Mining, ConstructionFlow TypeLoan

Status

Project lifecycle

Implementation

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Nov 30, 2022
Start (actual)
Nov 7, 2022

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% Chinese ownership

Funding agencies

State-owned Commercial Banks

  • China Construction Bank Corporation (CCB)

Cofinancing agencies

Private Sector

  • Bank of Beijing Co., Ltd. (BOB)
  • China Minsheng Banking Corp Ltd (CMBC)
  • China Zheshang Bank (CZB or CZBank)
  • Ping An Bank Co., Ltd.

State-owned Commercial Banks

  • Bank of China (BOC)
  • China Bank of Communications (BoCom or BoComm)
  • China CITIC Bank Corporation Limited
  • China Everbright Bank
  • Industrial and Commercial Bank of China (ICBC)

State-owned Policy Banks

  • China Development Bank (CDB)
  • Export-Import Bank of China (China Eximbank)

Receiving agencies

Joint Venture/Special Purpose Vehicles

  • Yashi Indonesia Investment (硕石印尼投资有限公司)

Insurance providers

State-owned companies

  • China Export & Credit Insurance Corporation (Sinosure)

Loan description

Official sector PRC bank contributions to RMB 7.48 billion syndicated loan for IWIP Ferronickel Production Line Project

Interest typeUnknown

Narrative

Full Description

Project narrative

On November 30, 2022, PT Yashi Indonesia Investment (硕石印尼投资有限公司) — a joint venture of Zhenshi Holding Group, Co.,Ltd, Shanghai Decent Investment (Group) Co., Ltd and Zhejiang Huajun Investment Co., Ltd. — signed an RMB 7.48 billion ($1.6 billion) Sinosure-backed syndicated loan with 12 Chinese lenders for the IWIP Ferronickel Production Line Project. The members of the lender syndicate included China Development Bank, China Eximbank, Bank of China, Bank of Communications, the Industrial and Commercial Bank of China, China Everbright Bank, China CITIC Bank, Bank of Beijing, China Minsheng Bank (CMBC), China Construction Bank, China Zheshang Bank, and Ping An Bank. The borrowing terms are unknown. The purpose of the project is to construct a nickel metal (ferronickel) production line in Indonesia in the Indonesia Weda Bay Industrial Park (IWIP) with the capacity to produce 126,000 tons of nickel metal each year. On November 7, 2022, the project officially commenced. Then, on June 3, 2024, the first batch of nickel iron was shipped from the facility to China.

Staff comments

1. The Chinese project title is 印尼年产12.6万吨镍金属生产线项目 or 印尼硕石项目. 2. Some sources suggest that the facility has the capacity to produce 300,000 tons of ferronickel per year. 3. The individual financial contributions of the banks that participated in the RMB 7.48 billion syndicated loan are unknown. For the time being, AidData has assumed equal contributions (RMB 623,333,333) across all members of the syndicate. This issue warrants further investigation.