ICBC contributes $51.66 million USD to a $619.5 million USD syndicated loan for the Skelton Grange Waste to Energy Project

Project narrative

On December 1, 2021, financial close was reached on a $619.5 million USD syndicated loan, which included $51.66 million USD in commitments from the Industrial and Commercial Bank of China (ICBC), to Enfinium Skelton Grange Limited for the Skelton Grange Waste to Energy Project. In addition to ICBC, the following banks contributed to this syndicated loan: Crédit Agricole Corporate and Investment Bank (CACIB), MUFG Bank Ltd., Banco Santander S.A., Natixis, and Skandinaviska Enskilda Banken AB (SEB), among others. ICBC and SEB served as Mandated Lead Arrangers, CACIB, MUFG, Santander, and Natixis served as bookrunners. MUFG Bank served as Security Agent. This loan carried a variable interest rate based on SONIA. This loan was secured by (i.e. collateralized against) the borrower's first legal mortgage on all real property in England and Wales owned by the borrower as of July 7, 2021; a first fixed equitable charge on all other real property owned by the borrower before July 7, 2021 and acquired therefore if not validly and effectively mortgaged; a first fixed charge on all the borrower's bank accounts if not validly and effectively assigned; a first fixed charge on all receivables if not validly and effectively assigned; a first fixed charge on all the borrower's investments (shares, stocks, units, debentures, units, bonds, notes, commercial paper, certificates of deposit, depository interests, securities, warrants, options and other rights to subscribe for, purchase or otherwise acquire securities and investments, and any other securities or investments deriving from investments or rights attaching or relating to securities or investments); a first fixed charge on all the borrower's right, title, and interest from time to time in and to its uncalled capital and goodwill; a first fixed charge on all the borrower's intellectual property; a first fixed charge of all the borrower's right, title, and interest from time to time in and to its beneficial interest, claim, or entitlement in any pension fund; a first fixed charge on Skeleton Grange plant and its machinery; a first fixed charge on all the borrower's insurances, if not validly and effectively assigned, and a first floating charge on all the borrower's undertaking and all of its assets, present and future. The proceeds of the loan were to be used by the borrower for the design, construction, financing and operation of a fully integrated twin-line traditional moving-grate technology waste management facility Skelton Grange Energy from Waste (EfW) plant located on the former Skelton Grange Electricity Works near Leeds, West Yorkshire, England with a capacity to generate a 49 MW (gross) by processing up to 410,000 tones of waste annually. The Skelton Grange EfW plant was enfinium’s fifth such plant in the United Kingdom. The plant was capable of powering over 100,000 homes in the United Kingdom. The Leeds City Council provided planning consent for Skelton Grange in March 2020, and the project was awarded an environmental permit by the Environment Agency in December 2020. In January 2021, Enfinium Skelton Grange signed two long-term waste supply contracts with SUEZ and Beauparc to account for more than 50% of the facility’s annual capacity. It signed additionally long-term waste supply contracts with Biffa and B&M Waste in June 2021. Hitachi Zosen Inova (HZI) was named the Engineering, Procurement and Construction (EPC) contractor for the delivery of enfinium Skelton Grange. Kanadevia Inova provided its advanced moving grate technology and XeroSorp dry flue gas cleaning system to allow the facility to meet emisssion standards and be widely availability. Construction was planned to begin later in July 2021. Construction began in July 2021 and was completed on September 12, 2025.