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Overview

Yancoal International provides a $300 million USD loan to Yancoal Australia to repay a portion of a $596 million USD loan from Yanzhou (Linked to Record ID#97200)

Commitments (Constant USD, 2023)$310,191,387
Commitment Year2013Country of ActivityAustraliaDirect Recipient Country of IncorporationAustraliaOverseas JurisdictionHong Kong (China)SectorIndustry, Mining, ConstructionFlow TypeLoan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Aug 1, 2013
Last repayment (originally scheduled)
Jul 31, 2016

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 companies

  • Yancoal International (Holding) Co., Limited

Receiving agencies

State-owned companies

  • Yancoal Australia Limited

Loan description

Yancoal International provides a $300 million USD loan to Yancoal Australia to repay a portion of a $596 million USD loan from Yanzhou

Interest rate (t₀)5.325%Interest typeFixed Interest RateMaturity3 years

Narrative

Full Description

Project narrative

In August 2013, Yancoal International (Holding) Co., Ltd. — a wholly owned subsidiary of Yanzhou Coal Mining Company Limited— entered into a $300,000,000 USD long term loan facility agreement with Yancoal Australia Limited — an Australia-incorporated coal mining company majority owned by Yanzhou Coal Mining — for debt repayment purposes. This loan carried a maturity period of three years with the principal repayable at maturity and provided on an unsecured basis with no covenants. It carried an average weighted interest rate of around 5.325% per annum, inclusive of arrangement fees. Yancoal Australia used the proceeds of this facility to partially repay a $596,000,000 loan USD from Yanzhou Coal Mining Company Limited that originated in January 2013, as captured by Record ID#97200. In 2014, Yancoal Australia repaid the outstanding balance $300 million USD under this loan.

Staff comments

1. Yankuang Energy Group Company Limited (formerly known as Yanzhou Coal Mining Company Limited) is a Chinese state-owned company and a subsidiary of Shandong Energy Group Co. Yankuang Energy Group Company Limited is the ultimate parent of Yancoal Australia Ltd. via Yanzhou Coal Mining Company Limited, the PRC-incorporated joint stock limited coal mining company. 2. In 2013, this facility was charged at a weighted average interest rate of 5.40% per annum, inclusive of arrangement fees {{see pg.125 of "Yancoal Australia Limited Annual Report 2013"}}. In 2014, this facility was charged at a weighted average interest rate of 5.25% per annum, inclusive of arrangement fees {{see pg.119 of "Yancoal Australia Limited Annual Report 2014}}. AidData has taken the average of these two average interest rates, [(5.40% + 5.25%) / 2], or 5.325%, and coded it as the interest rate for this project record.