OREANDA-NEWS. October 29, 2010. State Corporation ‘Bank for Development and Foreign Economic Affairs (Vnesheconombank)’ and a club of banks including Banco Bilbao Vizcaya Argentaria, S.A., BNP Paribas, S.A., Credit Agricole Corporate and Investment Bank ("CA-CIB") (Mandated Lead Arrangers), Caja de Ahorros y Pensiones de Barcelona, Societe Generale, S.A. и Banco Español de Credito, S.A. (Arrangers) signed the Common Terms Agreement and Individual Loan Agreements for financing of the Khabarovsk Oil Refinery’s reconstruction.

Within the scope of the above documents the club of banks will provide to Vnesheconombank two loans under CESCE coverage for the amount of USD 239 million (CESCE USD Facility Agreement) and EUR 218 million (CESCE EUR Facility Agreement) and a commercial loan (the Commercial Facility Agreement) for the amount of USD 233.2 million. The total tenor of CESCE backed financing is 12.5 years.

Thus, the total amount of Agreements signed under the Common Terms Agreement is USD 770.5 million.

Banco Bilbao Vizcaya Argentaria, S.A. is acting as a Facility Agent and CESCE Agent.

This project carried out by the Spanish engineering group Tecnicas Reunidas will enable the Khabarovsk Oil Refinery to produce 1.8 million tons per year of top-quality diesel fuel, aviation kerosene, auto petrol by. The Khabarovsk Oil Refinery would increase oil processing depth up to 92%, and the refinery complexity index (the Nelson index) will amount to 9.9, thus making it economically feasible to process  up to 4.5 million tons per year of crude.

Vnesheconombank’s participation in financing of this project was approved by the Bank’s Supervisory Board in December of 2009.