On April 8, INTEGRITES’ clients, NBT, a utility-scale wind power developer based in Oslo, and Total Eren, a leading renewable energy Independent Power Producer based in Paris, have signed financing agreements for the second phase of a 250 MW wind project located in the Kherson region of Ukraine. This €107.6 million financing agreement was signed with a syndicate of development banks including Black Sea Trade and Development Bank (€30 million), Proparco (ca. €42 million), Finnfund and IFU (€15 million each), and the Nordic Environment Finance Corporation (NEFCO) (€5 million). All in all, the financing put into place for the whole project reaches €262.6 million. AlGihaz, a Saudi Arabian conglomerate, recently took a minority stake in the project alongside Total Eren.
INTEGRITES has advised NBT and Total Eren on all issues within Ukrainian law. In particular, INTEGRITES’ advise included negotiations with the abovementioned international banks, support on the local statutory requirements and communication of project related matters with the National Bank of Ukraine.
The project is unique in the Ukrainian energy market considering the size of the project, the amount of finance involved and contribution to the development of wind energy in Ukraine. It is the first non-recourse financing project in alternative energy in Ukraine. It is fully financed by international lenders from seven jurisdictions.
“We welcome the closing of the first large-scale project finance in renewable energy in Ukraine. The signing of the second segment with four new international financial institutions and one new co-shareholder on board speaks for the quality of the project and continuing high interest of foreign investors, making a great contribution to increase of investment into Ukraine”, – said Dr. Oleksiy Feliv, Managing Partner at INTEGRITES.
As already reported, INTEGRITES has also advised NBT and Total Eren on the first phase of financing agreement, which included a loan of up to €155 million led by EBRD. EBRD’s loan consisted of €75 million, Green for Growth Fund (GGF) and the Netherlands Development Finance Company (FMO) provided €75 million, while a parallel loan of €5 million was provided by the Nordic Environment Finance Corporation (NEFCO).