Case study · Energy

Reficar Refinery

Portland acted as Financial Advisor to US-EXIM on the $5.7bn expansion and upgrade of the Reficar oil refinery in Colombia sponsored by Ecopetrol.

Deal value
US$5.7bn
Portland's role
Financial Advisor to US-EXIM
Year
2011
Transaction background

US$5.7bn project financing for the expansion and upgrade of the Reficar oil refinery in Colombia sponsored by Ecopetrol. Portland acted as Financial Advisor to US-EXIM.

Transaction structure

Project Financing — Reficar Oil Refinery Expansion. Financial Advisor to US-EXIM.

Selected highlights

The Portland team advised throughout the project finance-raising process including:

  • Project appraisal and identification of critical issues
  • Review of project agreements
  • Review of project model
  • Assistance with the preparation of internal papers
  • Assistance with negotiation of Ex-Im term sheet
  • Assistance with project due diligence and loan documentation.

The financing was structured as a project financing with tolling support from Reficar. As a result of the project, the refinery’s capacity increased from 80,000 barrels per day to 165,000 bpd and its Nelson complexity rating improved from 5.1 to 10.5. US-EXIM supported goods and services from a number of US companies led by Chicago Bridge and Iron, Inc. (EPC contractor). US Ex-Im Bank support for the project amounted to US$2.75 billion, making it one of the largest single financings undertaken by US Ex-Im Bank.