Qatar's Nakilat seeks $940m loan for ships-bankers

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MONEY MATTERS: SMBC is acting as adviser for the conventional tranche, while BNP Paribas is adviser on the Islamic tranche. (Getty Images)

Qatar Gas Transportation Co (Nakilat) is looking to secure a $940 million loan to back the acquisition of liquefied natural gas (LNG) carriers, two banking sources close to the deal said.

The financing is split between a conventional tranche and an Islamic tranche and will also include a subordinated tranche, one of the bankers told Reuters Loan Pricing Corp.

SMBC is acting as adviser for the conventional tranche, while BNP Paribas is adviser on the Islamic tranche.

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The $940 million facility is the third phase of financing for Nakilat's $7.5bn acquisition of 25 LNG ships and will fund payments required between October 2009 and July 2010, the banker said.

The first phase was a $2.2bn financing arranged in December 2006, while the second phase was a $1.5bn facility agreed in July 2008.

LNG is natural gas cooled and shrunk to liquid for transport in specially designed ships. It is regasified at a terminal for transport ashore through pipeline. (Reuters)