Global law firm Norton Rose Fulbright has advised a consortium of lenders on a Multi-Lateral Investment Guarantee Agency (MIGA) financing. The lenders comprise AKA Bank, Citibank, Credit Agricole CIB, ING, LBBW, Santander and Soc Gen.

The MIGA guarantee is being issued under the non-honoring of a sovereign financial obligation scheme. The financing will be used by the borrower Southern Gas Corridor CJSC, in respect of the Trans-Anatolian Natural Gas Pipeline (TANAP). The pipeline is estimated to be 1,850km long.

By 2020 the pipeline is expected to provide 16 billion cubic metres of natural gas to Europe each year. The source will be the Shah Deniz 2 in Azerbaijan, one of the world’s largest gas fields. Approximately six billion cubic metres annually will be delivered to the European and Turkish gas market.

Anthony Morton, partner at Norton Rose Fulbright comments:

“We are delighted to be part of this strategic financing. This was the first deal between MIGA and Azerbaijan and MIGA’s guarantees are playing an important role in securing commercial financing for projects.”

Norton Rose Fulbright advised MIGA on all aspects of the financing transaction. The team was led by Frankfurt partner Anthony Morton.