Avance Gas announced the successful signing and completion of the $104 million sustainability-linked term facility with a bank syndicate previously announced in May 2021.
The transaction will secure financing of the two first dual fuel newbuildings, Avance Polaris and Avance Capella, scheduled for delivery in Q4 2021 and Q1 2022.
The facility has a maturity at the earlier of five years from delivery of the second newbuilding and June 2027. The financing is expected to be drawn upon delivery of the vessels from the shipyard.
The facility has an annual sustainability margin adjustment mechanism linked to the Company’s ambition to reduce and outperform the carbon intensity targets set in the Poseidon Principles.