ICBC provides $28.6 million loan for 405 (3x135) MW Şırnak Silopi Thermal Power Plant Project

In 2010, ICBC provided a $28,612,000 buyer’s credit loan to Silopi Elektrik Üretim A.Ş. — a special purpose vehicle and a joint venture of Ciner Holding (85% ownership stake) and GSD Holding (15% ownership stake)— for the 405 (3x135) MW Şırnak Silopi Thermal Power Plant Project. This loan carried the following terms: a 13-year maturity and an interest rate of 2.465%. Its final maturity date is December 20, 2022. Sinosure provided the buyer’s credit insurance. The proceeds of the loan were to be used by the borrower to support the construction of second and third of the three 135MW power-generating units at the Silopi Thermal Power Plant in the village of Selçık within the district of Silopi and the provinces of Şırnak. China Machinery Engineering Corporation (CMEC) was the contractor responsible for implementation. In 2004, a production license was obtained for the installation of the first 135MW power-generating unit and a contract was signed with CMEC. An Environmental Impact Assessment (EIA) report was received in 2005. After the contract with CMEC came into force in 2006, the construction and installation works were undertaken and the first 135-MW unit went online in May 2009. It was eventually decided to install 2 additional 135 MW units at the power plant. A second contract with CMEC, which went into effect in February 2011, supported the installation of these units. Unit 2 went into operation on May 8, 2015, and Unit 3 went into operation on December 18, 2015.

Additional details

GSD Holding, a Turkish company, bought a 15% stake in Silopi Electricity Company (Silopi Elektrik) from Park Holding in 2015 for $125 million. Also, note that there are conflicting reports about the amount of funding provided by ICBC. One source indicates that ICBC provided ‘account custody service’ for $220 million of export credits, which could be what was spent to buy 75.5% shares in Tekstil Bankası from GSD Holdings on May 22, 2015. The amount spent in Turkish dollars was 668,810,011.63 Turkish lira (TRY)

Number of official sources

2

Number of total sources

10