Rns...11 Sep 2013 15:35
Essar Energy plc
11 September 2013
Essar Energy agrees new US$300 million corporate loan facility
September 11, 2013: Essar Energy plc [LSE: ESSR], the India-focused integrated energy company, today announced that it has upsized its existing US$150 million loan facility with Axis Bank to US$450 million, with the Export-Import Bank of China (Exim Bank) providing US$300 million as a new lender.
The US$150 million facility originally agreed with Axis Bank was signed and disbursed in September 2012 and allowed for an increase to US$450 million. Both facilities mature in 2017.
The proceeds of the upsized loan will be used to repay an outstanding amount of US$233 million under an existing bridge loan facility and for general corporate purposes.
Essar Energy Chief Financial Officer Deepak Maheshwari said: "The upsizing of the existing Axis facility following Exim Bank's agreement to lend a further US$300 million marks a further milestone in our programme to strengthen our balance sheet and improve liquidity within Essar Energy. We continue to make good progress with our refinancing activities across our power and oil and gas businesses to lower risk, lower costs and extend repayment maturity time frames."
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Essar Energy
Mark Lidiard, Director of IR & Communications +44 20 7408 8714 or +44 7554 440421
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Brunswick
Andrew Mitchell or Mike Smith +44 (0) 20 7404 5959
About Essar Energy
Essar Energy (LSE:ESSR) is a world class, low-cost, integrated energy company with an established track record.
Essar Energy, through its subsidiaries, owns one of India's largest private power producers with 3,910MW of installed capacity and projects under construction to expand its capacity to 6,700MW.
Essar Energy, through its subsidiaries, owns one of India's fastest growing private sector oil and gas companies with a diverse portfolio of exploration and production assets. The Vadinar refinery, located in Gujarat, is India's second largest private sector oil refinery with throughput capacity of 20 million metric tonnes per annum, or 405,000 barrels per day. The Stanlow refinery is the UK's second largest refinery with throughput capacity of 296,000 barrels per day, or 14.6 million metric tonnes per annum.
About Essar group
Essar is a multinational corporation with annual revenues of c.US$39 billion and investments in Steel, Energy, Infrastructure and Services. With operations in more than 25 countries, it employs over 73,000 people.
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This announcement contains certain forward-looking statements, including statements regarding Group's plans, objectives and performance. Such statements relate to events and de