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Overview

ICBC contributes $5 million USD to a $130 million USD syndicated term loan to Discovery Drilling to finance the acquisition of an oil rig

Commitments (Constant USD, 2023)$8,307,823
Commitment Year•2007Country of Activity•SingaporeDirect Recipient Country of Incorporation•SingaporeSector•Industry, Mining, ConstructionFlow Type•Loan

Status

Project lifecycle

Pipeline: Commitment

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jul 1, 2007
Last repayment (originally scheduled)
Dec 29, 2011

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

  • China Construction Bank Corporation (CCB)

Cofinancing agencies

Private Sector

  • ICICI Bank Limited
  • Intesa Sanpaolo S.P.A. (formerly Cariplo/Banca Intesa/BCI)
  • KBC Group N.V.
  • United Overseas Bank Limited (UOB)

State-owned Banks

  • PT Bank Negara Indonesia (Persero)

Receiving agencies

Joint Venture/Special Purpose Vehicles

  • Discovery Drilling Pte. Ltd.

Loan description

ICBC contributions to USD 130 million 2007 syndicated term loan for acquisition of oil rig with Discovery Drilling

Interest rate (t₀)•6.58625%Interest type•Variable Interest RateMaturity•4.5 years

Narrative

Full Description

Project narrative

In July 2007, a syndicate of six banks — including the Industrial and Commercial Bank of China (ICBC) — entered into a $130 million USD term loan agreement with Discovery Drilling Pte. Ltd. — a Singapore-incorporated special purpose vehicle (SPV) wholly-owned by Jindal Drilling & Industries Limited, an Indian offshore drilling company — to finance the acquisition of an oil rig. The loan carried a mandatory pre-payment clause that reduces the average maturity of the loan from 4.5 to 3 years and an interest rate of LIBOR plus 120 basis points. The proceeds were to be used by the borrower to finance the acquisition of a $175 million USD oil rig. ICBC contributed $5 million USD to the loan syndicate. In addition to ICBC, the following lenders contributed the respective amounts to the loan syndicate: ICICI Bank ($55 million USD), Intesa Sanpaolo ($25 million USD), KBC Finance ($20 million USD), United Overseas Bank Limited (UOB) ($20 million USD), and Bank Negara ($5 million USD).

Staff comments

1. AidData has calculated the interest rate using the 6-month LIBOR rate for July 2007 (5.374%). For more information, see: https://www.global-rates.com/en/interest-rates/libor/american-dollar/2007.aspx