Latham Advises on US$1.2 Billion Refinancing of Al Dur Independent Water and Power Project

Latham & Watkins has advised the commercial banks, Islamic financiers, and hedging banks on the US$1.2 billion refinancing of the Al Dur Independent Water and Power Project (Al Dur IWPP) in Bahrain, which consists of a commercial term loan facility and an Ijara facility. Al Dur IWPP is a flagship project in Bahrain, accounting for significant portion of the country’s power and water production.

The project relates to the private generation of electrical power through a gas to power plant of 1,234 MW net power capacity and the production of desalinated water by a 48 MIGD desalination facility.

The sponsors of the project company are Kahrabel F.Z.E. (a wholly owned subsidiary of Engie), Gulf Investment Corporation G.S.C., Social Insurance Organisation, and Kyushu Electric Power Company.

The Latham team was led by London finance partner Tom Bartlett with associates Sam Burleton and Daniel Chen, and Dubai associate Isabel Overton. Advice on derivative matters was provided by London counsel Delyth Hughes and associate Alexia Leckie.