Driving Secure and Strategic Financing
In a project pivotal to the economic growth of Albania, OTP Bank engaged PLANET as Lenders’ Technical Advisor (LTA) to safeguard the financing of a 35-year concession contract awarded to MBM Port. The project entails constructing and operating a state-of-the-art fuel and cargo terminal at Porto Romano, Durres. The consultancy's role is to ensure that all technical, operational, and financial risks are mitigated, enabling the concessionaire to fulfill its debt obligations seamlessly.
Navigating the Complexity
PLANET's involvement extends across technical due diligence, construction monitoring, and ongoing operational assessments. With potential risks such as delays, cost overruns, and performance shortfalls, meticulous oversight is critical to ensuring project success. Key challenges include analysing capital expenditures, environmental compliance, and the capabilities of contractors within a rapidly evolving infrastructure landscape.
PLANET provides comprehensive advisory services, including:
- Technical Due Diligence: Reviewing construction progress, investment adequacy, permitting status, environmental and social risks, and financial model assumptions.
- Progress Certification: Conducting monthly site visits and certifying construction progress as a condition for disbursement under the Facility Agreement.
- Final Reporting: Preparing a Final Report post-construction to confirm adherence to contractual specifications.
- Operational Monitoring: Conducting annual evaluations during the first three years of operation, ensuring performance aligns with industry standards and agreements.
Outcomes
By delivering detailed due diligence, progress reporting, and operational assessments, PLANET empowers OTP Bank with the insights needed to manage risks effectively and make informed decisions. This partnership not only ensures timely project execution but also reinforces the sustainable operation of Albania's critical port infrastructure.
