SYLLA & PARTNERS assisted the Government of the Republic of Guinea in negotiating with China Export Import Bank for the implementation of the Credit Agreement signed on September 4, 2018 for the construction of the Souapiti hydroelectric dam. The amount of the Credit Agreement is 1,175,468,700 US dollars.
The Souapiti dam constitutes one of the most important energy infrastructure projects ever undertaken in Guinea. With a capacity of 450 megawatts, this hydroelectric dam is intended to significantly transform the country’s energy supply, contributing to improved access to electricity for Guinean populations and to national economic development.
This large-scale project required the establishment of a complex financing structure involving multiple conventions and agreements between the Government of Guinea, China Export Import Bank (China Exim Bank) as lender, the EPC (Engineering, Procurement and Construction) contractor responsible for construction, and various other stakeholders.
Structuring project financing of this magnitude requires in-depth legal expertise covering banking aspects, security interests, energy law, construction contract law and coordination between the multiple contractual documents governing the project.
Our firm provided comprehensive legal assistance to the Government of Guinea throughout this financing negotiation and implementation process, mobilizing our expertise in project finance, infrastructure and security interests.
The services performed by SYLLA & PARTNERS as counsel to the Government of Guinea included the preparation of periodic memos presenting to chief negotiators the strengths and weaknesses of the positions being defended, active participation in negotiations with China Exim Bank and other parties, thorough review of all project documents including concession agreements, the EPC construction contract, power purchase agreements (PPA), the operation and maintenance contract, the transmission contract and the coordinated management contract.
We also ensured the negotiation of all financing documents including the Master Account Agreement, escrow account control agreements, the multiparty direct agreement (Multiparty Agreement) and security contracts governed by Guinean law. We accomplished the formalities for registering security interests at the Trade and Movable Credit Register (RCCM), and prepared reports of negotiation sessions.
This type of assignment illustrates our firm’s ability to support the Government of Guinea in structuring and negotiating financing for very large-scale infrastructure projects, ensuring the protection of the State’s interests while ensuring the legal and financial viability of projects.
The SYLLA & PARTNERS team was led by Mohamed Sidiki SYLLA, assisted by Pierre Kodjo AVODE, Madigbè KABA, Watta KAMANO, Alpha Toubab MILLIMONO, Issiaga KEITA and Almamy Samory TRAORE.
To discover other major infrastructure financing projects that our firm has completed in Guinea, visit our references page. For any questions regarding our services in energy project financing, please do not hesitate to contact us.