Size matters – but innovation, strong marketing and a willingness to take on risk are the key traits that this year’s winners of the TXF Export Finance Deals of the Year all share.

From the first large-scale offshore wind scheme in Poland and a hydro power project in Angola to a hydrogen-powered steel manufacturing project in Europe and a green hydrogen project in Saudi, big-ticket project finance in the renewables sector took centre stage for most the winning deals. Rail and transport, and gigafactory and lithium mining were also landmark deals in 2023.

There were several viable financing templates to emerge for both serial and debut ECA-backed borrowers from around the world. But the most prevalent theme across last year’s award-winning deals was their overall ESG credentials, from the ‘E’, in particular, to the ‘S’ – the trend was clear. And given the stronger focus and impetus on energy transition from ECAs, banks and policymakers, these winning deals come as no surprise.

So, without further adieu, here are this year’s deal of the year winners…and don’t forget to tag yourself on the respective deals you worked on (you can do this by clicking on the tag yourself tab via the deal links).

Overall Export Finance Deal of the Year

Borrower: Baltic Power

Sponsors: PKN Orlen, Northland Power

Volume: €4.39 billion

Facility agent: HSBC

Documentation agent: ING

ECAs: Euler Hermes, Export and Investment Fund of Denmark (EIFO)

MLAs: Credit Agricole CIB, EDC – Export Development Canada, Bank Gospodarstwa Krajowego (BGK), BNP Paribas, European Bank for Reconstruction and Development (EBRD), Erste Group Bank, Bank Polska Kasa Opieki, BayernLB, CaixaBank, CIBC Capital Markets, HSBC, Helaba (Landesbank Hessen-Thüringen), Rabobank, KfW IPEX-Bank, ING Bank, Santander, Sumitomo Mitsui Banking Corporation (SMBC), DNB Bank, Societe Generale, Standard Chartered, National Bank of Canada, PKO Bank Polski, European Investment Bank (EIB), Canadian Imperial Bank of Commerce (CIBC)

Financial advisors (sponsors): Green Giraffe, Bank Pekao, SSW Pragmatic Solutions

EPC contractors: Vestas, Cadeler, JBO, Steelwind Industries, Smulders, Van Oord, Deme, NKT, TF Kable, Bladt Industry, Semco Maritime, General Electric, Enprom

Legal counsel: Hogan Lovells (sponsors)

Legal counsel: Linklaters (lender)

Description: The €4,397 million greenfield non-recourse project financing backing Poland’s first offshore wind farm, with a total capacity of 1,140 MW, marks the first offshore wind farm to reach financial close in Poland. The transaction is sponsored by Orlen Group (51%) and Northland Power (49%). It comprises €3,572 million of term loan facilities and €825 million of ancillary facilities. The facilities will be drawn by Baltic Power, an SPV which owns the asset.

Americas Export Finance Deal of the Year

Borrower: POSCO Argentina

Type: ECA-backed syndicated loan

Debt volume: $411.98 million

ECA: K-Sure

Facility agent: BNP Paribas

MLA: HSBC, BNP Paribas, Citi, Credit Agricole CIB, JP Morgan

Legal (lender): Milbank LLP

Legal (sponsor): Lee & Ko

Description: Funds backing development of the Sal de Oro project – a lithium extraction facility from a salt lake in Salta Province, Argentina – for Posco Holdings via its Argentine subsidiary. From the lake, the company will produce 25,000 metric tonnes of lithium hydroxide per year – enough to power about 600,000 EVs – by 2024. The project will benefit Korean companies by providing them with a stable supply of lithium, a critical raw material for EV batteries, amid global supply chain issues which are putting companies in increasingly fierce competition for key minerals. Highly rich in natural resources, Argentina boasts the world’s third-largest lithium reserves and is the world’s fourth-largest producer of lithium, a strategic mineral.

Middle East Export Finance Deal of the Year

Borrower: NEOM Green Hydrogen

Volume: $6.18 billion

Type: ECA-backed project finance

Tenor: 17 years and 9 months

Sponsors: Acwa Power, Air Products and Chemicals, NEOM

Bookrunner: Abu Dhabi Commercial Bank, Alinma Bank, BNP Paribas, First Abu Dhabi Bank, HSBC, KfW IPEX-Bank, Saudi British Bank, Mizuho, MUFG, Riyad Bank, Sumitomo Mitsui Banking Corporation (SMBC), Saudi National Bank

MLA: Standard Chartered, Natixis, The Norinchukin Bank, Banque Saudi Fransi, Arab Petroleum Investments Corporation (Apicorp), JP Morgan, DZ Bank, Korea Development Bank (KDB), Credit Agricole CIB, First Abu Dhabi Bank, HSBC, BNP Paribas, Abu Dhabi Commercial Bank, Saudi British Bank, Sumitomo Mitsui Banking Corporation (SMBC), Saudi National Bank, KfW IPEX-Bank, Riyad Bank, Mizuho, Alinma Bank, MUFG

DFI lender: Saudi Industrial Development Fund

Coordinator: MUFG

Documentation agent: SMBC

ECA: Euler Hermes

ECA Agent and Coordinator: KfW IPEX-Bank

EPC contractor: Baker Hughes GE Company (BHGE), Air Products and Chemicals

Legal (borrower): Shearman & Sterling, White & Case

Legal (lender): Allen & Overy, Pinsent Masons

Legal (sponsor): Deloitte, Linklaters

Legal advisor: Synergy Consulting , Gowling WLG, Cranmore Partners Limited

Description: ACWA Power signed financing agreements for a total investment of $8.5 billion for the NEOM Green Hydrogen Project (NGHP) in 2023. The investment is funded by a combination of long-term debt and equity, and was agreed with NEOM Green Hydrogen Company (NGHC), a joint venture between ACWA Power, Air Products and NEOM Company, with ACWA Power holding a 33.3% equity stake.

The total financing consists of $5.852 billion senior debt and $475 million of mezzanine debt facilities, both arranged on a non-recourse project finance basis. The National Development Fund (NDF) on behalf of National Infrastructure Fund (NIF) will contribute $1.5 billion while the.Saudi Industrial Development Fund (SIDF) will provide a $1.25 billion riyal denominated loan. The balance is from a consortium of financiers, structured as a combination of long term uncovered tranches and a Euler Hermes-covered tranche.

 

Asia Export Finance Deal of the Year

Borrower: Hai Long 2 Offshore Wind Power 2, Hai Long 2 Offshore Wind Power 3

Type: ECA-backed project finance

Debt volume: TWD118 billion ($3.64 billion)

Tenor: 20 years

Sponsor: Northland Power, Mitsui

Lender: MUFG, HSBC, Mizuho, Bank CTBC Indonesia, ANZ, Credit Agricole CIB, Sumitomo Mitsui Banking Corporation (SMBC), Standard Chartered, DBS Bank, Shinsei Bank, Taipei Fubon Commercial Bank Co, ChinaTrust Bank (CTBC), Taiwan Life Insurance, Deutsche Bank, Korea Development Bank (KDB)

ECA (guarantor): NEXI, JBIC

ECA direct lender: JBIC, Export Finance Norway – Eksfin, UK Export Finance, EDC, Credendo

EPC contractor: Samkang M&T Co, TECO Electric and Machinery, Semco Maritime, PTSC Mechanical & Construction Co., Ltd., EEW Korea Heavy Pipe Construction (EEW KHPC), China Shipbuilding Industry Corporation, Siemens Gamesa, Seaway 7, SK Oceanplant Co Ltd, Century Wind Power (CWP), CSBC-DEME Wind Engineering , LS Cable & System, Hellenic Cables,

Financial advisor: MUFG

Legal (lender): Clifford Chance

Legal (sponsor): White & Case, Linklaters, Tsar & Tsai, Lee & Li

Offtaker: Taipower

Description: Northland Power’s Hai Long offshore wind project in Taiwan has secured TWD118 billion ($3.64 billion) of long-term non-recourse financing to back the scheme. The 20-year project financing will be provided by over 15 international and local lenders with support from multiple export credit agencies from six different countries.

Energy Export Finance Deal of the Year

Borrower: Raizen Fuels Finance

Debt volume: $319.49 million

Tenor: 12 years

Financial close: 29 September 2023

Facility agent: BNP Paribas

Bookrunner: BNP Paribas

Documentation agent: BNP Paribas

ECA (guarantor): SACE

ECA Coordinator: BNP Paribas

Green Loan Coordinator: BNP Paribas

MLA: BNP Paribas, HSBC, JP Morgan

Legal (borrower): Winston & Strawn, Loyens & Loeff

Legal (lender): Linklaters, Machado Meyer

Description: SACE covered green loan in favour of Raizen Fuels Finance S.A. structured under the SACE Push Strategy Program, financing general corporate purposes including eligible green projects in the renewable energy and energy efficiency sectors

 

Europe Export Finance Deal of the Year

Borrower: Ineos Olefins Belgium NV

Agent: Santander

ECA (guarantor): UK Export Finance, SACE, CESCE Credit Insurance

Exporter: Wood Group, TGE Gas Engineering GmbH, T.EN Netherlands B.V., Ineos Sales UK Ltd, Tecnicas Reunidas

Guarantor: Gigarant

Hedge provider: MUFG

Legal (lender): Allen & Overy

MLA: Santander, ABN AMRO, Barclays Bank, BNP Paribas, Credit Agricole CIB, Citi, Commerzbank, Deutsche Bank, DZ Bank, HSBC, ING Bank, JP Morgan, KBC, KfW IPEX-Bank, Mizuho, MUFG, National Westminster Bank, Intesa Sanpaolo, Banco BPM, Belfius, Goldman Sachs

Description: Project ONE is the largest and most substantial investment in the European chemical sector in the past 20 years. When this project Is completed, Antwerp will have the most energy-efficient and environmentally-friendly ethylene installation in all of Europe (with less than half of the CO2 emissions than the 10% best-performing steam crackers in Europe).

 

New Industry Export Finance Deal of the Year

Borrower: Envision AESC France

Volume: $1.04 billion

Administrative Agent: Natixis

DFI/MDB direct lender: EIB

ECA (guarantor): Bpifrance, Sinosure – China Export & Credit Insurance Corporation

ECA/Facility Agent: Santander

Financial advisor: Societe Generale

Hedging Bank: Natixis

Intercreditor Agent: Natixis

Lead Arranger: HSBC

Legal (lender): Milbank LLP, Linklaters, DLA Piper

Legal (sponsor): Allen & Overy

Lender: HSBC, BBVA, Santander, BNP Paribas, Natixis, Societe Generale, Caisse des Depots et Consignations

MLA: Santander, BBVA, BNP Paribas, Natixis, Societe Generale

Description: The project will finance the construction and operation of an advanced manufacturing plant in Douai, France. The scheme concerns the implementation in Europe of an advanced manufacturing technology for the production of advanced li-ion battery cells. The latter is considered a key enabler for the development of the European EV industry.

The project could make a substantial contribution to the development of the EU-based battery industry. The knowledge spill overs in Europe are related to the cooperation with the French EPC constructor for the development and construction of the highly specialized building (clean room, utilities), and with regional technical schools for the up/re-skilling of the labour force.

 

 

Rail Transport Deal of the Year

Borrower: Ministry of Treasury and Finance of Turkey

Volume: $1.38 billion

Arranger: DZ Bank, HSBC, CaixaBank, Landesbank Baden – Wurttemberg (LBBW), Commerzbank

Coordinator: MUFG

ECA (guarantor): UK Export Finance

ECA Agent: MUFG

Facility Agent: MUFG

Intercreditor Agent: MUFG

Lead Arranger: ING Bank, Santander, Societe Generale, Deutsche Bank, Citi

Legal (lender): Allen & Overy

Lender: ING Bank, Santander, Societe Generale, Deutsche Bank, DZ Bank, Citi, HSBC, CaixaBank, Landesbank Baden – Wurttemberg (LBBW), Commerzbank, Turkiye Vakiflar Bankasi (Vakifbank), Achmea Bank, Just Retirement, MUFG

Description: UKEF covered loan for the Republic of Turkey, acting through the Ministry of Treasury and Finance for the construction of the Yerkoy-Kayseri HSR Project. The loan will be used for the payments to the exporter under the export contract.

Yerkoy – Kayseri high standard railway is a high standard railway line that is being built between Yerkoy YHT Station in Yerkoy district of Yozgat and Kayseri YHT Station in Kocasinan district of Kayseri and will be integrated with Ankara-Sivas high speed railway when completed.

Central Asia Export Finance Deal of the Year

 

Borrower: Kazakh Temir Zholy

Volume: $667 million

ECA (guarantor): Bpifrance

Exporter: Alstom

Facility Agent: Societe Generale

Global Coordinator: Societe Generale

MLA: Societe Generale, Natixis

Description: Bpifrance covered loan for the financing of freight and passenger locomotives procured by Alstom. Financing structure encompasses a Green Loan facility for the passenger locomotives, as Alstom trains operated in Kazakhstan have 89% less gCO2/passenger km compared to cars, according to Alstom’s operational data.

 

Manufacturing Export Finance Deal of the Year

Borrower: Northvolt

Debt volume: $2.48 billion

Type: ECA-backed project finance

Tenor: 11 years

ECAs: European Investment Bank, the Nordic Investment Bank, Kexim, UKEF, NEXI, Euler Hermes, K-Sure and the Swedish National Debt Office (Riksgalden)

MLAs: BNP Paribas, Societe Generale, ING, SMBC, Deutsche Bank, Santander, Standard Chartered, SEK, KfW IPEX Bank, Intesa Sanpaolo, Natixis, Danske Bank (senior MLAs), Credit Agricole, SEB, DNB, ABN Amro, Swedbank, JP Morgan, MUFG (MLAs), Bank of Montreal, Siemens Bank, Rabobank, the NIB, Citibank (lead arrangers) and the EIB.

Legal counsel (borrower): Allen & Overy

Legal counsel (lenders): Millbank

Description: This ECA-backed project financing will enable the refinancing of the $1.6 billion debt package raised in July 2020 for the first 16 GWh phase of cell manufacturing capacity at Northvolt – the first fully circular battery cell manufacturing site in Europe.

The financing covers the construction of an expansion of the existing facility to reach up to 60 GWh of cathode active material and cell manufacturing together with the company’s first large scale battery recycling facility, Revolt Ett. The 10+-year door-to-door debt package is provided by a group of 23 commercial banks, five ECAs, the Swedish National Debt Office (Riksgälden) as well as the European Commission. The financing has been issued under the company’s Green Financing Framework and is one of the largest non-recourse green loans ever raised globally. Financial close is expected in H1 2024.

Blended Export Finance Deal of the Year

Borrower: H2 Green Steel

Volume: €4.15 billion

Type: ECA-backed project finance

Tenor: 12.75-year

Signed: 21 December, 2023

ECA: Euler Hermes

Direct loan: EIB

MLAs: ING Bank, ABN Amro, Santander, BNP Paribas, Deutsche Bank, KfW IPEX-Bank (also financial advisor), Societe Generale (also financial advisor), Nordic Investment Bank (NIB), SEK, UniCredit and Intesa Sanpaolo (is also an MLA).

Offtakers: Schaeffler, Scania, Mercedes-Benz, Bilstein and Marcegaglia

Description: A 2020 start-up raising €4.15 billion of non-recourse loans for a project partially underpinned by offtake contracts that are almost six years shorter than the tenor on the debt – it is the kind of ambition that normally raises sniggers from forensic bank credit committees, even when half the debt comes with cover.

Doing that for a global first – a pathfinder hydrogen-powered steel manufacturing mega project – turns sniggers into howls, and takes communicating the credit risk and mitigants to another level. And reading the willingness of steel buyers to accept long-term take or pay contracts at a 20%-plus premium to traditional steel verges on offtaker-whispering.

H2GS has pulled off all three – the deal speaks for itself.

 

Africa Export Finance Deal of the Year

Sponsor: Government of Angola

Borrower: Ministry of Finance of Angola

Volume: €1.5 billion

Type: ECA-backed loan

Signed: 14/04/2023

Tenor: 25 years

ECA (guarantor): Euler Hermes

EPC (exporter): China Gezhouba Group

Bookrunner: UniCredit, Commerzbank

ECA Agent: UniCredit

Documentation agent: Commerzbank

Lenders: Commerzbank, UniCredit, LBBW, Helaba, AKA

Legal counsel (lender): Baker McKenzie

Description: A €1.5 billion ($1.67 billion) Euler Hermes-backed facility for Angola’s Caculo Cabaca hydro-electric power (HEP) project. The official borrower is the Ministry of Finance (MoF) of Angola. The 2,172MW project, located in the province of Cuanza Norte in the Middle Kwanza Basin, is key to the Angolan government’s plan to diversify its energy mix as the African country looks to become less dependent on oil for energy generation and to support general electrification of the country.

The Caculo Cabaca HEP project, which is being implemented by the state-owned China Gezhouba Group, has an estimated overall cost of $4.5 billion. The project is one that has been under various stages of planning and construction for many years, so this development is a big step forward to safeguard its completion. The ECA facility has a tenor of up to 25 years.

Industry Choice Awards 

ECA Borrower of the Year Award

Reliance Industries

Deal one

Borrower: Reliance Industries Limited (RIL)

ECA (guarantor): Export Import Bank of Korea – KEXIM

ECA Coordinator: ANZ (Australia and New Zealand Banking Group)

ECA direct lender: Export Import Bank of Korea – KEXIM

Exporter: Samsung Heavy Industries

Legal (lender): Milbank LLP

Lender: Citi, HSBC, MUFG, Mizuho

MLA: ANZ (Australia and New Zealand Banking Group)

Description: KEXIM is covering a loan, as well as a providing direct loan, to finance RIL’s procurement of a Floating Production Storage and Offloading (FPSO) vessel.

Deal two (Finnvera)

Description: Reliance Jio Infocomm has closed a $1.6 billion export financing, covered by Finnvera, for the procurement of 5G telecoms equipment from Nokia. The network operator Reliance Jio Infocomm plans to make substantial investments in upgrading the telecommunications infrastructure in India in the coming years, including upgrading the existing mobile network to the latest ultra-fast 5G technology.

Deal three (EKN):

Description: EKN is covering a loan for Reliance Jio Infocomm Limited, proceeds will be used for financing of the 5G telecom equipment from Ericsson.

Deal four (EDC)

Description: Proceeds will be used to finance part of the procurement of equipment, related software and services from Nokia for setting up of 5G telecommunication network infrastructure pan-India. This would be the largest and fastest roll out of 5G services globally.