The European Bank for Reconstruction ad Development (EBRD) is mulling a senior secured loan to MV Cargo to finance a greenfield development of a new private grain terminal at the Port of Yuzhny, Ukranie.
The total project investment is estimated at US$130 million. The EBRD is considering a senior secured corporate loan of up to US$ 37 million. Furthermore, the project is intended to be co-financed by International Finance Corporation (IFC) that would provide a parallel loan in the amount of up to US$ 37 million.
The project aims to address the existing shortage of modern deep-water grain handling port facilities in Ukraine. The new facilities will have an annual throughput capacity of up to five million tonnes of grain.
MV Cargo will implement the project in partnership with Cargill, a firm focused on providing food, agricultural, financial and industrial products and services in the world, and the Ukrainian Sea Ports Authority, a state enterprise responsible for supervising the functioning, maintenance and development of the Ukrainian seaports and their infrastructure.
Yuzhne is a port city situated on Ukraine's Black Sea coast. The city's port is an internationally important oil terminal, and one of Ukraine's top three ports, with Odessa and Illichivsk. In fact, these three nearby port cities have grown into a single conurbation, and Yuzhne is considered a satellite of Odessa.