Washington, D.C./Hong Kong, June 18, 2008
—IFC, a member of the World Bank Group, has agreed to help finance one of a few private-sector oil and gas companies operating in Southeast Asia to promote competition in a market that is dominated by state-owned oil companies and large producers.
With granting a $50 million loan to Salamander Energy plc, IFC is supporting an independent upstream oil and gas exploration and production company with significant natural gas reserves, consistent with IFC’s emphasis on the development of cleaner fossil fuels.
“We appreciate IFC’s commitment to building long-term relationships with their clients,” said James Menzies, Chief Executive of Salamander Energy. “IFC provides us with capital and local knowledge and they are willing to share project and country risks.”
The IFC loan is part of Salamander’s newly signed $200 million reserve based facility for the company’s 2008-2010 investment program. Salamander has operations in Indonesia, Thailand, the Philippines, Lao PDR, and Vietnam.
IFC’s environmental and social experts will help Salamander to further develop its environmental, health, safety and social management system, in line with international best practices and IFC’s Performance Standards on sustainable development.
“This investment in Salamander is an example of IFC’s strategy to support emerging independent oil and gas companies around the globe to help them grow and establish themselves as socially and environmentally responsible operators,” said Somit Varma, IFC Director for Oil, Gas, Mining, and Chemicals.
About IFC
IFC, a member of the World Bank Group, fosters sustainable economic growth in developing countries by financing private sector investment, mobilizing private capital in local and international financial markets, and providing advisory and risk mitigation services to businesses and governments. IFC’s vision is that people should have the opportunity to escape poverty and improve their lives. In FY07, IFC committed $8.2 billion and mobilized an additional $3.9 billion through syndications and structured finance for 299 investments in 69 developing countries. IFC also provided advisory services in 97 countries. For more information, visit
www.ifc.org
.
