The Zhuhai power project in China is the first project financing to reach financial close without guarantees from the government or any financial institution. The US$1.2 billion financing for the 2 x 660 MW coal-fired plant closed in September.
The project sponsors, Guangdong Electric Power Holding Company, Electric Development Company of Zhuhai, Cheung Kong (Holdings) and Hutchison Whampoa, were represented by the Hong Kong office of UK firm Linklaters & Paines. Partners Kelvin Lo and David Platt were assisted by John Lee.
HSBC Investment Bank Asia and China Development Finance (HK) co-arranged a commercial loan facility of US$125 million with US$355 million provided by way of sponsors' equity. UK firm Clifford Chance advised the lenders from Hong Kong with partner Tim Soutar assisted by Alisha MacPherson and Francis Wong.
The Export-Import Bank of Japan and the Bank of Tokyo-Mitsubishi are providing US$670 million of export credit loans to the project company Guangdong Zhuhai Power Station Company. The Tokyo and Hong Kong offices of UK firm Allen & Overy represented the export credit lenders. Partner Alex Pease was assisted in Tokyo by Aled Davis with partners Chris Rushton and Tom Brown advising from Hong Kong assisted by Dominic Bortoluzzi. Hong Kong partner Kenneth Chan and assistant Diana Lam provided advice on Chinese issues.