Mandated lead arrangers and bookrunners ABN Amro and Calyon are arranging a US$500mn amortising term loan for Novy Urengoy Gas and Chemical Complex (NGCC), a wholly-owned subsidiary of Gazprom.

The facility has a five-year tenor, and is fully guaranteed by Gazprom. The proceeds of the loan will be used to finance the construction and general corporate purposes of a gas and chemical complex in Novy Urengoy in Siberia, as well as to refinance previous debts.
Syndication has been launched, and there will be a bank meeting in London on August 20. Commitments are due in during early September.
Gazprom has some of the world’s largest natural gas reserves, and its share in the global gas production is close to 20%, while its share of the Russian market is closer to 85%.

Moody’s assigns an A3 rating to Gazprom’s senior unsecured debt, while its long-term foreign issuer credit is rated BBB by Standard & Poor’s. Fitch has granted the corporate a BBB rating for Gazprom’s long-term foreign currency denominated debt.