Lukoil has mandated the European Bank for Reconstruction and Development (EBRD) and Calyon as mandated lead arrangers to arrange a US$300mn loan under the EBRD A/B loan structure.


The facility consists of a US$150mn A loan which will be provided by the EBRD and a US$150mn B loan which will be syndicated to international banks. Calyon will act as sole bookrunner for the B loan. Syndication was launched on April 27.


The EBRD A/B facility comprises a 10-year A loan of US$150mn and a seven-year B-loan of US$150mn. The A loan is for the account of EBRD whilst the B loan is being syndicated to commercial banks.


The EBRD is the sole signatory of the loan agreement and remains the lender of record for both A and B loans. Banks will participate by means of a funded participation agreement with the EBRD.


The B loan pays a margin of 0.45% per year with a margin grid based on credit rating. The purpose of the facility is to finance the company’s environmental remediation programme.


Banks have been invited to participate at one of the following levels: arrangers with US$15mn or more at 45bp flat; co-arrangers with US$10mn at 35bp flat; lead managers with US$5mn at 25bp flat.