Baker McKenzie represented Gulf Energy Development Public Company Limited (GULF) in relation to a USD 820 million loan for the purpose of financing the construction of a portfolio of 12 renewable energy projects in Thailand comprised of eight ground-mounted solar photovoltaic (PV) plants with contracted capacity of 393 MW and four ground-mounted solar PV plants with battery energy storage with contracted capacity of 256 MW and 396 MW-hours of energy storage. The financing package was led by the Asian Development Bank (ADB) and includes USD 260 million from ADB’s ordinary capital resources, and USD 529 million in parallel loans from the Asian Infrastructure Investment Bank, DEG – Deutsche Investitions- und Entwicklungsgesellschaft (German Development Finance Institution), the Export-Import Bank of China and KEXIM Global (Singapore), among others. In addition, ADB will also provide blended concessional financing of USD 31.35 million from the Clean Technology Fund to take in to account the higher execution and operating risks of solar–battery energy storage system projects.
GULF, listed on the Stock Exchange of Thailand, is one of Thailand’s leading energy producers which invests in a diverse range of businesses including power generation (renewable energy and natural gas), infrastructure and utilities, and digital infrastructure. ADB is a regional development bank and leader in climate finance which supports green technologies that help developing member countries meet Sustainable Development Goals.
Commenting on the deal, lead Partner Chavapol Akkaravoranun stated “This financing will significantly scale up solar and battery storage projects in Thailand, marking a major step forward in our commitment to sustainable energy solutions. Working alongside GULF, ADB and other MDBs has been an enriching experience, and their expertise and dedication have been instrumental in bringing this project to fruition.”
Partner Tatcha Thumpramoth adds “I would like to extend my heartfelt gratitude to our exceptional team for their unwavering commitment and hard work. We are proud to continue being the sponsors’ go-to counsel and look forward to supporting more transformative projects in the future.”
The Baker McKenzie team included Partner Chavapol Akkaravoranun and Partner Tatcha Thumpramoth, Energy & Infrastructure Practice Group, Bangkok, with support from Associate Rawin Herabat and Associate Roypim Ransigutta.
