Latham & Watkins said it represented Japan Bank for International Cooperation (JBIC) and the syndicate of commercial bank lenders comprising BNP Paribas, The Bank of Tokyo-Mitsubishi UFJ Ltd, The Hongkong and Shanghai Banking Corporation Limited, Crédit Agricole Corporate and Investment Bank, ING Bank NV, Mizuho Corporate Bank Ltd, Sumitomo Mitsui Banking Corporation and The Sumitomo Trust & Banking Co Ltd for financing of the Paiton 3 power project.
The financing package includes 17-year non-recourse loans totalling approximately US$729 million provided by JBIC under the JBIC Overseas Loan Programme, and a US$486 million loan from the commercial banks.
PT Paiton Energy, a joint venture between International Power Plc, Mitsui & Co, the Tokyo Electric Power Company Inc (TEPCO) and PT Batu Hitam Perkasa (PT BHP), is the project developer and borrower.
The Paiton 3 project comprises a single 815-MW coal-fired unit located within the existing Paiton power generating complex and is expected to be fully operational by the end of 2012.
The Latham & Watkins team included attorneys from the firm’s Hong Kong, Singapore, Shanghai and Tokyo offices, and was led by partners Joseph Bevash, Stephen McWilliams, Clarinda Tjia-Dharmadi, Michael Yoshii and Rowland Cheng, with associates Billy Betts, Kyle Hollingsworth, Jae Lemin, Michael Tardif, Andrew Compton and Kate Papailiou.
Joseph Bevash, leader of the firm’s project finance practice in Asia, said: “We are delighted to have represented our clients on these market-leading projects. Our involvement with Paiton dates back to the project’s inception in the 1990’s and we are proud to have participated in the Paiton 3 expansion.”
Separately, Latham & Watkins said it represented Korea Midland Power Co Ltd. (KOMIPO), as sponsor and O&M provider, in connection with the US$595 million financing of the Cirebon project in West Java.
The project’s lenders are Japan Bank for International Cooperation (JBIC), the Export-Import Bank of Korea (Korea Eximbank) and a group of commercial bank lenders comprising Bank of Tokyo-Mitsubishi UFJ Ltd, Mizuho Corporate Bank, Ltd, Sumitomo Mitsui Banking Corporation and ING Bank NV.
The 660MW Cirebon project is being developed by a consortium comprising Marubeni Corporation, KOMIPO, Tripatra Engineering and Samtan Co.
The Latham & Watkins team included attorneys from the firm’s Hong Kong and Singapore offices, and was led by partners Joseph Bevash and Clarinda Tjia-Dharmadi, with associates Timothy Hia, Monisha Kamdar and Vishal Devraj.
Singapore-based partner Clarinda Tjia-Dharmadi said: “The Cirebon power project is another milestone energy project for Indonesia that was both exciting and complex, and we are delighted to have played a role in the successful financing.”