BSTDB to finance construction of Lavna coal terminal under agreement with STLC

The Black Sea Trade and Development Bank (BSTDB) will provide State Transport Leasing Company  (STLC) a loan of up to $69 million to finance the construction of Lavna coal terminal in the seaport of Murmansk.  According to STLC, the agreement was signed at the Russian Investment Forum in Sochi in the presence of Prime Minister Dmitry Medvedev by BSTDB President Dmitry Pankin and STLC General Director Sergey Khramagin.

According to the statement, that is the largest loan provided by BSTDB for financing infrastructure development in Russia.

The project on construction of Lavna terminal at the port of Murmansk is a part of the Federal Targeted Programme “Development of Russia’s Transport System”, Strategy for the development of railway transport, Transport Strategy of the Russian Federation and Comprehensive plan for modernization and expansion of main transport infrastructure.

Lavna will be the first concession in Russia’s port sector. The project is aimed at contributing a lot to the development of export infrastructure, enhancing efficiency of coal transportation and developing transit potential of Russia in the region.

Phase 1 of Lavna port (up to 9 million tonnes per year) is to be launched in December 2020, Phase 2 (the same capacity) – in December 2021. Construction of Phase 3 (6 million tonnes of mineral fertilizers) by 2023 is under consideration).

The project provides for introduction of a special technology allowing for minimization of impact on the environment.

The State Transport Leasing Company (GTLK) is Russia’s largest player in the lease market. It leases out aircraft, vessels, rail transport, road vehicles and special equipment to domestic transport enterprises and invests in the development of Russia's transport infrastructure. The company's sole shareholder is the Russian Federation represented by the Ministry of Transport. GTLK holds double-B ratings from the world’s three leading international rating agencies and an A+(RU) national rating from ACRA. As of 31 December 2018, leasing portfolio of GTLK exceeded RUB 927 billion.