I. Introduction Medium- to long-term foreign exchanges loans can be offered to domestic investors or project companies provided that projects met ICBC credit policy. Purpose of such loans is to support domestic enterprises to invest in overseas resources development projects.
II. Business features Financing on Overseas Resources Development Projects refers to credit support provided by bank to such kind of projects on the premises of limited recourse or non-recourse. Credit is based on earnings generated from the project itself, combined with such instruments as insurance and third party guarantee and credit upgrade measures.
III. Prospective clients Project financing can be a choice if overseas resources development projects involve huge investment and long payback period. ICBC mainly support development projects on domestic spares resources, such as oil, natural gas, non-ferrous metals (copper, aluminum, nickel, zinc, gold), iron, and coal.
IV. Application Procedure 1. Customers come to ICBC to discuss their projects intended to invest and submit elementary information such as investment plan and feasibility studies. ICBC will issue Letter of Intent on Financing after initial study.
2. ICBC will discuss with customers on project contracts related to investment, construction, product sales and purchase, insurance as well as project financing structure, and reach an agreement on main clauses.
3. ICBC will conduct final review on the project and issue loan commitment.
4. According to the terms and conditions agreed, ICBC sign agreements on investment, construction, sale and purchase, insurance, project financing and guarantee with respective owners and project companies
5. After all matters related to fund withdrawal are settled; ICBC will start financing to the project.
V. Contacts us Banking Department of ICBC Head Office Tel: (010) 66108420/7903/8433 Fax: (010) 66108429 E-mail: email@example.com