ANNOUNCEMENT 30 Aug 2010In August 2010, the government of Republic of Korea announced a change in its trade finance instruments.
NUMBER OF INTERVENTIONS
"The Export-Import Bank of Korea Provides USD 800 Million in Project Financing for Egypt's ERC Oil Refinery Project," See http://www.koreaexim.go.kr/en2/01_exim/04_bank/01_view.jsp?nCP=1&nRegNo=459&cUseYN=&nSSecNo=9&sSKeyword=
According to the Export-Import Bank of Korea, US$800 million project finance was provided for the ERC (Egyptian Refinancing Co.) Oil Refinery Project. The associated press release from this agency described the project as follows: "Egypt's ERC Oil Refinery Project is a USD 3.7 billion project pursued by EGPC (Egypt Gas Petroleum Company) and ARC (Arab Resources Company) to construct and operate an oil refinery able to process over 500 tons a year of highly refined products such as diesel and petroleum."
The press release went on to say "The Export-Import Bank of Korea had expressed active support for the project from the beginning and despite the sub-prime crisis, maintained a leading role in financial negotiations to ensure that GS Construction won the USD 2.2 billion contract for the project."
Promises of more such support were made too, as shown by the following remarks: ""Large-scale projects are anticipated in Africa and this is expected to begin a 'second Middle East boom.' To ensure that plant construction serves as the next driver of growth for the Korean economy, we will provide optimal financial services and support Korean companies in their efforts to secure contracts for these projects."