IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Outflow (subsidised)

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

firm-specific

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 27 Sep 2013 | Removal date: open ended
Still in force

Trade finance

The overseas investment loan agreement between JBIC and Dutch T.E.N Ghana MV25 B.V. has a maximum volume of USD 508.2 million in project financing. The Japanese companies MODEC, Inc., Mitsui & Co., Ltd, Marubeni Corporation and Mitsui O.S.K. Lines Ltd have equity stakes in the Dutch company.

The loan finances a project in which T.E.N Ghana MV25 B.V. will offer a long-term floating production, storage, and offloading (FPSO) system chartering service to Tullow Ghana Limited for a period of ten years. Such services entail leasing and operation and maintenance services of the FPSO, which will be deployed for developing T.E.N (Tweneboa, Enyenra, Ntomme) Oil Field.

In this context, the JBIC stated: "As marine resource development has been increasingly moving toward sophistication such as through further ultra-deep water activities, this loan will lead to the strengthening of the international competitiveness of Japanese companies in offshore resource development by helping them acquire and improve technologies, management practices, and knowhow regarding the operation of ultra-deepwater FPSO systems."

Overseas investment loans
JBIC provides direct loans named overseas investment loans to Japanese companies, overseas affiliates or joint ventures where Japanese companies hold equity interests and governments or financial institutions partying with such overseas affiliates. Loans support projects in specific sectors or with a specific purpose of interest to Japan. Further information can be found on the Bank’s website under overseas investment loans.

Project finance
Project financing loans include preferential terms such as repayments being solely made from the project’s cash flow generation and secured on the basis of the project's assets alone. As such the loan agreement is tied to the project's finances and not the company in question.

The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets and from foreign subsidiaries.

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

AFFECTED SECTORS AND PRODUCTS

493 Ships
8906 Other vessels, including warships and lifeboats other than rowing boats.
890690 Other

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