Norwegian Eksportkreditt has completed a US$100mn loan to Australian oil and gas company Woodside.

The funds, which are guaranteed by Norwegian Guarantee Institute for Export Credits (GIEK) (90%) and DNB (10%), will be used to support the delivery of subsea equipment for Woodside’s offshore operations in Western Australia.

“The supplier of the equipment is Onesubsea Processing,” Eksportkreditt’s Ivar Slengesol tells GTR.

The loan repayment period is for 8.5 years, he adds.

Law firm Norton Rose Fulbright advised Eksportkreditt as the lender; DNB as agent and arranger, ECA co-ordinator and ECA guarantor; and GIEK as ECA guarantor on the loan and guarantee facility. Meanwhile, Herbert Smith Freehills was advisor for Woodside.

Onesubsea, with manufacturing and processing facilities in Norway, is one of the country’s leading exporters. Together with its subcontractors, the company is one of Norway’s largest employers in the oil and gas sectors.

With the recent volatility in the oil price, Norwegian export credit agencies have been backing even the larger established suppliers, who wouldn’t typically need trade finance support, to secure contracts and work.

“Good co-operation between commercial banks and the export credit scheme is important to us,” says GIEK CEO Wenche Nistad.

“We are very pleased that our collaboration with DnB on this transaction has been so productive, not only facilitating the financing solution but also enabling us to build a relationship with Woodside. We look forward to working together on further agreements of this kind in future.”