Allen & Overy has advised Pengerang Terminals (Two) Sdn Bhd ("PT2SB") and its sponsors in connection with a USD1.25 billion senior financing facility with a syndicate of nine international banks. The project, which is a joint venture between Petroliam Nasional Berhad (PETRONAS), Royal Vopak Group, Dialog Group Berhad and the State Secretary, Johor (Incorporated) achieved financial close on 19 December 2017.
Construction of the PT2SB Terminal began early 2015, and is expected to be commissioned in several stages in 2019. The initial storage capacity of the terminal will be 1.65 million cubic meters for crude, refined products, petrochemical products and Liquefied Petroleum Gas (LPG). The customers of the PT2SB terminals are mainly companies within the Pengerang Integrated Complex (PIC) project.
Allen & Overy advised PT2SB and the sponsors, a group comprising PETRONAS Refinery and Petrochemical Corporation Sdn Bhd, Koninklijke Vopak N.V. and Dialog Group Berhad on the development, financing and construction of the project.
Commenting, Allen & Overy partner Jason Humphreys said: "We are pleased to have assisted our clients to bring this complex project financing to a timely close. This deal shows our commitment to the Malaysian market, which has been a very important and active market for us".
Jason Humphreys led the Allen & Overy team with support from Scott Lovell (Senior Associate), Sadi Tanmanatragul (Senior Associate), Jessica Lee (Associate) and Flo Wang (Trainee Solicitor), with additional support from Bangkok based associates Suwit Kongkiatkamon, Wipawat Yingsakmongkol and Tarnthip Chavengsub.
The syndicate of international banks consists of Ambank, DBS, ING Bank, Maybank, MUFJ, Natixis, OCBC, SMBC and UOB.
SMBC acted as financial advisor to the sponsors and PT2SB.
Other law firms advising on the project include Putri Norlisa Chair as Malaysian counsel to PT2SB and the sponsors. Norton Rose Fulbright acted as international counsel and Adnan, Sundra and Low acted as Malaysian counsel to the syndicate of lenders.
