Partners Ben Farnsworth, Naomi Bergman, Jodi Reinmuth advise
Allens has confirmed that it assisted a syndicate of lenders with financially closing BCI Minerals’ $981m financing on 4 October in connection with the Mardie Salt Project, described by the firm as Australia's first large-scale salt project in decades.
The deal team of Allens included Ben Farnsworth, banking and finance partner in Perth; Louise Barbato, banking and finance senior associate; Madeleine Ninkov and Megan Lee, banking and finance associates; and Mariella Panegyres, banking and finance lawyer.
In the area of real estate and development, the Allens deal team included Naomi Bergman, Sydney-based partner, and Layth Zumot, associate. On the other hand, for projects, the deal team included Jodi Reinmuth, Perth-based partner, and Lewis Pope, associate.
“We are proud to have played a key role in this significant financing deal for the Mardie Project,” said Farnsworth, lead partner for Allens, in the firm’s news release.
The firm said that it will be continuing to work alongside the lenders and with BCI on satisfying further conditions to the first drawdown of the construction loan facilities.
The syndicate of lenders included the Northern Australia Infrastructure Facility, Export Finance Australia, Export Development Canada, Westpac Banking Corporation, and Industrial and Commercial Bank of China Limited, according to the news release from Allens.
The financing package was composed of $830m for construction loans, $70m for bank guarantees, and $81m for potential cost overruns. Allens shared in its news release that the salt project has been accredited as a green loan in line with the green financing framework.
“This not only represents a major investment but also highlights the growing importance of sustainable financing in the global market,” said Farnsworth in the firm’s news release. “The Green Loan accreditation underscores the project's commitment to environmental sustainability and economic growth.”
“The financial support from the Northern Australia Infrastructure Fund and Export Finance Australia is a critical part of our funding package, and we look forward to continuing to work closely with government to deliver a great, sustainable and responsible project for Australia,” said Brian O’Donnell, chairman of BCI Minerals, in the company’s media release.
BCI Minerals shared in its media release that it has begun operations at the Mardie Project after receiving all the needed Western Australian and Commonwealth government environmental approvals. Construction of the project’s salt-first component is more than halfway finished, with over $700m invested, the media release added.
According to its media release, BCI Minerals expects the project to have an operating life of six decades, to contribute $4.8bn to the GDP, and to create 750 jobs during construction and 140 permanent full-time jobs in the course of operations.
