Deutsche Bank & ECAs finance $3.1 billion Indonesian fossil fuel project

(Risk Net, London, 26 September 2024) Last year, Deutsche Bank was selected as sole hedge co-ordinator and hedge arranger for a landmark $3.1 billion project-financing deal in Indonesia. Deutsche Bank declined to say who the client was, only that it was a processing and petrochemical company that wanted to modernise and expand an oil and gas refinery in the country. The project is part of Jakarta’s strategy for reforming the country’s oil and gas sector. Indonesia’s economy remains heavily dependent on oil and gas, and yet for several years has imported far more of the commodity than it has produced. The $3.1 billion project-financing deal was one of the largest ever done in Indonesia, involving three export credit agencies and 22 commercial lenders.