to Infrastructure CEE Gas Conference , 15-16 February 2017 Ksenia - PowerPoint PPT Presentation

Focus on Interconnectivity and Access to Infrastructure CEE Gas Conference , 15-16 February 2017 Ksenia Manyushis Principal banker, Natural Resources OFFICIAL USE

Who we are Cumula lativ ive Busines iness Volu olume me • Mult ltilater ilateral l fina nancia ncial l institutio ution. n. Mandate to promote the transition to market economies by Debt (LHS) Equity (LHS) Net Cumulative ABV (RHS) investing primarily in 12 Net cumulative business volume Annual business volume or ABV the private sector. 105 10 90 • Owned ed by 65 countries ies 8 75 (EUR bn) (EUR bn) plus us two o inter er- 60 6 gover ernme nmental ntal bodies ies 45 4 (the European 30 Commission and the 2 15 European Investment 0 0 Bank). In 2016, China na 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 became a member. • In 2016, 6, EBRD inves ested ed Shar arehold eholdin ing Structu ture Country Group oup Portf tfoli olio o Distr trib ibutio ion EUR 9.4 bn bn throug ugh 378 operati ations ons, 82% South EBRD Southern & Eastern of which in the private region non- Eastern Europe sector. More than EUR EU, 7% Med, 9% 19% 115 bn has been Cyprus & Japan, 9% Central Asia Greece, 2% invested to date in 10% USA, 10% more than 4,800 Russia Turkey projects. 17% 10% EU 28 Others countries Eastern 11% Central 63% Europe & Europe & Caucasus Baltics, 15% 18% 2 OFFICIAL USE

Where we are Operations ions in 36 36 • countr ntries ies across central and eastern Europe, central Asia, and the southern Mediterranean. • In 2011, the Bank expanded its region of operations to include Egypt pt, , Moroc occo co, Tunis isia ia and Jordan n (Southern and EBRD RD Top op 5 invest stees es in 2016 (EUR R m) Eastern 1 Turkey 1,925 Mediterranean region or SEMED). 2 Kazakhstan 1,051 In 2015, the Bank 3 Poland 776 • was granted a special 4 Egypt 744 mandate to operate in 5 Bulgaria 621 Greece eece and Cyprus us until 2020. • Lebano non is in the process of becoming a country of operation. 3 OFFICIAL USE

EBRD Transactions: Case Studies Ungheni-Chisinau Gas Pipeline, Moldova – Gas interconnector EBRD Financ ance EUR 82 million loan jointly with EIB and EUR 10 million EU grant to the Republic of Moldova. Funds will be on-lent to VestMoldTransgaz (VMTG), the transmission system operator of the Romania-Moldova interconnector and . the Project. Projec ect t EUR 92 million project to construct a new 120-km natural gas trunk pipeline, which will bring gas to Moldova's capital, Chisinau, from Romania. The pipeline will have capacity of 1.5 bcm/year and connect with the existing gas infrastructure at Ungheni. The EBRD worked in partnership with the EU, the Energy Community and SIDA. The latter provided cooperation funds for the Project’s technical, regulatory, environmental and social assessments. Risks and their ir mitigants gants Political/Regulatory Strong support from the EU, policy dialogue with the Government to ensure reform implementation, “Energy Sector Reform Action Plan” Gas Supply Harmonised transmission tariff; Romanian increase in gas production; coming on stream new gas pipeline projects such as BRUA Completion EBRD to support the PIU established by the Government (TC) 4 OFFICIAL USE

EBRD Transactions: Case Studies The Trans-Adriatic Pipeline Regional – Trans-national gas pipeline Possible Po le Structure ture of Financ ancing ing Loans by EBRD of EUR 1.9bn A/B Loan and EIB and ECAs of EUR 4.6bn to TAP AG, constructor, owner and operator of the TAP pipeline, owned by six companies: SOCAR, Snam, BP, Fluxys, Enagás and Axpo. Projec ect t USD 6.2 billion for the construction of a 878 km cross-border natural gas pipeline with initial capacity of ca. 10 billion cubic metres per annum, to transport gas of the Shah Deniz field in Azerbaijan being the main export route for Caspian gas to Europe. Risks and their ir mitigants gants typic ical al to to such projec ects Construction Sponsors with experience who will support the project during construction phase Downstream-Upstream Interface Ship-or-pay contracts, very large sponsors support all projects Tariff/Sales/Volume The transportation agreements to be ship-or-pay, long-term; stable tariff; new gas discoveries and new sources can add to the shipping volumes Regulatory Crossing three countries – 2 HGAs to ensure consistency between the national laws and the project arrangements 5 OFFICIAL USE