RAS GAS.pptx

7/25/2019 RAS GAS.pptx

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The use of the capital markets

to fund the Ras Gas Project

Group No-428NMP Dhananjay Rastoi

28NMP !arsimran "aur28NMP#2 $ahid %hmed28NMP#& 'M PR%"%(!28NMP )ikas


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*ntroduction-Ras Gas Project

Ras +affan Ntaural Gas company is ,. o/ned 0y 1atar eneral petroleum corporation and .o/ned 0y Mo0il 3orporation

North field is one of the larest natural as fields in the /orld /ith atleast trillon cu0is feet ofnatural as

Ras Gas /as constructed a 52 million metric ton per annum +NG facility in he *ndustrial arear of Ras+affan6 %ppromiately 5 Miles from Doha

7acility /ill consist of t/o indentical +NG process6 offshore drillin platforms and onshore storaefacilities

9pected cost of project /as :4 0illion and /as e9pected to 0e funded /ith upto ,5. de0t and 25.

e;uity pro


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Ras Gas Project (tructure


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(teps to/ards financin Ras Gas project

Goldman sachsestimatedproject cost :50illion initially

Took sos

- 3ontracted-%rraned7inancin

- (tandard 7inancin conditions

laid do/n for 0iddin

Raisin funds from?onds financin


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*n


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(o


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3oncerns of 1atar = Mo0il in 7inancin

A Ma9imiin the amount6 term and a


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3ontractor H%rraned 7inancin

Makin use of the company>s le


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(tandard 7inancin 3onditions K(73>sB

The (73>s /ere desined to 0e a road map for the 0iddin roups

(73>s /ere desined in a /ay that /ould 0e fair to all the lenders6 /ho /ould 0e a lareand disof urope6 %sia = C( from early stae of ?iddin process

3%s and ?anks reconied the importance of includin capital markets de0ts in Ras Gasproject

(73s only contemplated a t/o-train project6 /hile the construction contracts /ere 0id asa sinle train /ith company options to 0uild a second train

This /as done 0ecause Ras Gas /as confident in its a0ility to sell additional


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3apital Market 'fferin %ttracti


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Funds to be Raised

$3.4 Billion

$ 1.3Bn$1.2B

Expected Funds

MobilQM

QatarGeneralPetroleu

m

;uity *n


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*e Proect Finance Bonds

$1.2 Billion

$4//M $//M

oupon rate o5 6.7 8

Matures in 2//7

13 basis points abo9e %treasuries

on:recourse

For institutional bu;ers onl;

oupon rate o5 .3 8

Matures in 2/14

16. basis points abo9e %treasuries

on:recourse

For institutional bu;ers onl;


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3apital Market 'fferin %ttracti


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?ond Market (tratey

?ond financin /as possi0le 0efore closin ?ank and 3% financin

?ank and 3% financin /as scheduled close to mid-Decem0er

?ond marketin started for the first t/o /eeks in Decem0er

Road sho/s as a marketin stratey started in C( and Middle ast

?ond offerin /as into t/o Tranches H (horter tranches for uropean 0anks and lon tranchesfor C( in


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Marketin %ctis nationalstratey to des des ro/th stratey

The increasin utiliation of natural as 0y residential6 commercialand industrial end markets in "orea is a national o0jecti


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3'N3+C(*'N

3apital Markets offerins could 0e attracti


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1uestions for Discussion

A 3ritically e9amine the Ras Gas financin strateyDo you think that the capital markets ha

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RAS GAS.pptx