Kuwait Energy signs $50m World Bank loan

23 September 2009

Financing plan to develop assets in Egypt and Yemen

Kuwait Energy will borrow $50m from the International Finance Corporation (IFC), part of the World Bank, to develop its assets in Egypt and Yemen.

The financing package consists of a $35m reserve based facility and a $15m income participation facility. The financing uses a murabaha structure, commonly used in Islamic finance transactions.

The IFC is also planning to conduct a corporate governance assessment for Kuwait Energy to help it prepare for a potential listing on an international stock exchange.

Kuwait Energy has ten exploration and production blocks in five areas in Egypt.

It has five exploration wells and five development wells scheduled for drilling during the second half of 2009.

The company also holds a number of exploration blocks in Yemen.

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