RE:RE:RE:Pieridae Eligible to Benefit From Additional Conditional Loa@R1sk: makes sense, but you are not correct. (though maybe on to something)
This UfK being announced is only for the upstream stuff (starting with absorbing IKM). But they do not FORMALLY have the UfK yet, or they would have said so. They just "re-announced" the "written confirmation of eligibility in principle" they have long had. You absolutly cannot take that to the bank for a loan, and PEA has zero creditworthiness (less than zero with IKM in the bag) without a SIGNED loan guarantee from the German government.
But like I said, I read that PEA knows they have the UfK in the bag. Where you may be on to something is that the German government awaits the FID.
This will be a bullshit FID- there will be zero financing behind it for the LNG plant. But you give me an idea: the appearance of an FID will be sufficeint cover for the German government to award the UfK (for upstream only). "See. Pieridae is going ahead with the FID for the LNG plant. On that basis we can grant them the UfK for the upstream acquisitions and activity."
quote=R1skNeutral]@CS9, Of course the Germans wouldnt grant the UFK prior to Goldboro LNG taking FID and project sanction.
My reading of this announcement's meaning is that if Goldboro LNG gets financed and sanctioned, the company is eleigible to access US$1.5bn in upstream development loan guarantees.
Knowledge of this eligibility may go a long way in giving assurance to the bank that underwrites the 1.5 billion upstream debt.
With the upstream debt available, PEA can much more easily acquire enough upstream reserves to satisfy supplying the Goldboro LNG facility. This in turn facilitates clearing the necessary condition of 'Securing the Gas Supply' for financing the LNG facility.
Now, where IS our permit to construct? I hope it wasn't sent by Canada Post! ;-)[/quote]