- HHI has bagged a green syndicated loan worth $388 million from KDB.
- HHI signed an agreement in Seoul with South Korea state bank KDB.
- Green loans are used for financing projects that support the shift to a low-carbon future.
- Hyundai Heavy will use the funding to develop technologies for LNG carriers.
According to an article published in Offshore Energy and authored by Naida Hakirevic, Hyundai Heavy Industries (HHI) has obtained a green syndicated loan worth ₩480 billion ($388 million) from the Korea Development Bank (KDB) and other banks.
Agreement finalized
On 29 May 2020, HHI signed an agreement in Seoul with South Korea state bank KDB; its affiliate KDB Capital; Industrial and Commercial Bank of China’s (ICBC) Seoul branch, and HSBC Korea.
Specifically, KDB has provided a sum of ₩350 billion, while HSBC, ICBC, and the KDB affiliate have awarded ₩ 130 billion to HHI, Yonhap News Agency reported.
Green loans are used for financing projects that support the shift to a low-carbon future. This particular green loan is linked to environmentally friendly shipbuilding.
Development of LNG carriers
Hyundai Heavy will allegedly use the funding to develop technologies for LNG carriers.
The South Korean shipbuilding industry has seen a surge in LNG carrier orders over the last few months. Earlier this week, HHI and compatriot shipbuilders Samsung Heavy Industries (SHI) and Daewoo Shipbuilding & Marine Engineering (DSME) have inked a major deal amounting to ₩23.6 trillion to reserve their LNG shipbuilding capacity in order to meet future orders from Qatar.
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Source: Offshore-EnergyNews
