PT Vale Indonesia Tbk (PT Vale) has secured a Sustainability-Linked\nLoan (SLL) facility worth US$750 million, equivalent to approximately\nRp12.96 trillion (assuming an exchange rate of Rp17,286 per US dollar),\nwith an additional greenshoe option of US$250 million or about Rp4.32\ntrillion.<\/p>\n
Chief Financial Officer Rizky Andhika Putra explained that the funds\nwill be used to support the development of the company\u2019s strategic\nprojects.<\/p>\n
In 2026, approximately 50% of the funds will be allocated to the\ndevelopment of the IGP Pomalaa project, around 30% to the IGP Morowali\nproject, and about 20% to the development of the IGP Sorowako\nLimonite.<\/p>\n
Meanwhile, in 2027, the funding will focus on continuing these\nprojects as well as fulfilling participating rights in joint venture\nprojects.<\/p>\n
Rizky explained that the loan facility is at the signing ceremony\nstage and funds have not yet been drawn. The scheme used is a revolving\ncredit facility, allowing funds to be drawn gradually as needed up to\nthe US$750 million ceiling.<\/p>\n
\u201cAs of today, the funds have not been drawn, and this is a revolving\ncredit facility, so it\u2019s essentially a ceiling. We will draw it\naccording to needs up to the stated facility amount of US$750 million,\u201d\nhe said after the signing of the US$750 million Sustainability-Linked\nLoan facility in Jakarta on Thursday (23\/4\/2026).<\/p>\n
He also emphasised that in terms of funding structure, these projects\nare not entirely debt-financed as they still involve an equity portion.\nNevertheless, future funding needs are expected to remain\nsubstantial.<\/p>\n
At least, the company is open to additional funding through debt\nschemes in the coming years, potentially up to around US$1.5 billion to\nsupport expansion and project development.<\/p>\n
\u201cIn the next few years, it\u2019s likely we\u2019ll have significant debt\npossibly up to US$1.5 billion,\u201d he said.<\/p>\n
As is known, the loan is supported by a syndicate of 14 international\nbanks and was oversubscribed by 1.7 times, reflecting high confidence in\nthe company\u2019s business fundamentals and sustainability strategy.<\/p>\n
This SLL facility is structured in reference to the\nSustainability-Linked Financing Framework, which aligns with\ninternational practices in sustainability-based financing. The key\nperformance indicators (KPIs) used include reductions in carbon emission\nintensity and increases in renewable energy usage.<\/p>\n
This sustainability-based syndicated loan is an important milestone\nfor PT Vale, marking the company\u2019s first step into the syndicated loan\nmarket. This move aligns with the company\u2019s increasingly strong growth\ntrajectory, driven by the disciplined, measured expansion of strategic\nprojects in Indonesia, underpinned by sustainability principles.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/vale-secures-nearly-rp13-trillion-loan-to-develop-this-project-1777013720", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }