Dow Jones reported that European Bank for Reconstruction & Development has signed a EUR 200 million syndicated loan to rehabilitate the TES Sostanj thermal power plant in Slovenia.

The EUR 200 million senior loan has been agreed under EBRD's A/B loan structure. Both the A and B loans amount to EUR 100 million with 80% maturing in 15 years and 20% in 12 years. The financing has a five year grace period.

The loan will be used to co finance a new state of the art coal fired unit that will replace five existing low efficiency and high carbon intensity units. The project will utilize highly energy efficient technology and will contribute to significant carbon emissions reduction representing around 8% of Slovenia's total green house gas emissions.

Co arrangers of the B loan are Landesbank Hessen Thuringen Girozentrale, Unicredit, Societe Generale and Caja De Ahorros y Monde de Piedad de Madrid. Kommunalkredit Austria participated as lead manager.

(Sourced from www.dowjones.com)