Skip to content
AidData logo

Overview

ICBC issues $9 million loan to Pan American Energy (Linked to Record ID#97563, #97564, #97565)

Commitments (Constant USD, 2023)$8,299,275
Commitment Year•2021Country of Activity•ArgentinaDirect Recipient Country of Incorporation•ArgentinaOverseas Jurisdiction•ArgentinaSector•EnergyFlow Type•Loan

Status

Project lifecycle

Pipeline: Commitment

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jan 26, 2021
Last repayment (originally scheduled)
Dec 22, 2022

Geospatial footprint

Map overview

Visualizes the AidData-provided feature geometry for this project.

Loading map…

ICBC issues $9 million loan to Pan American Energy. More detailed locational information can be found at: https://www.openstreetmap.org/node/5866253887

Stakeholders

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

Funding agencies

State-owned Commercial Banks

  • Industrial and Commercial Bank of China (Argentina) Limited (ICBC (Argentina))

Receiving agencies

Private Sector

  • Pan American Energy

Collateral providers

Private Sector

  • Pan American Energy

Loan desecription

ICBC issues $9 million loan to Pan American Energy

Interest type•UnknownMaturity•2 years

Collateral

This PxF facility was very likely secured by (1) an assignment of rights by the producer under an ‘offtake contract’ (i.e., a sale and purchase contract between the producer and a buyer of that producer of goods or commodities), and (2) a collection account charge over a bank account into which proceeds due to the producer from the buyer of the goods or commodities under the offtake contract are credited.

Narrative

Full Description

Project narrative

On January 26, 2021 and January 27, 2021, Pan American Energy entered into four export pre-financing agreements with Industrial and Commercial Bank of China (Argentina) S.A. for the sum of US$30 million: (i) Loan Agreement No.1 for the sum of US$9.0 million maturing on December 5, 2022 (see Record ID#97562) (ii) Loan Agreement No.2 for the sum of US$3.5 million maturing on January 12, 2023 (see Record ID#97563) (iii) Loan Agreement No.3 for the sum of US$3.6 million maturing on January 12, 2023 (see Record ID#97564) and (iv) Loan Agreement No.4 for the sum of US$13.9 million maturing on January 23, 2023 (see Record ID#97565). The first loan is worth USD $9 million, while the second loan was originally worth USD $21 million, before being split into three separate loans. This is the first of a total of four loans signed between ICBC and Pan American Energy. As of December 31st, 2021, the principal outstanding of the loans was USD $30 million.

Staff comments

1. AidData codes all pre-export finance (PXF) facilities as collateralized since they are almost always secured by (1) an assignment of rights by the producer under an ‘offtake contract’ (i.e., a sale and purchase contract between the producer and a buyer of that producer of goods or commodities), and (2) a collection account charge over a bank account into which proceeds due to the producer from the buyer of the goods or commodities under the offtake contract are credited. 2. AidData has coded this facility as commodity-backed. However, as Pan American Energy is both a producer of both oil and gas, it is unknown whether the loan was secured by assignment of rights to/proceeds from oil sales, gas sales, or both. For the time being, AidData has left the specific commodity backing the loan blank. This issue warrants further investigation.