By OGJ editors
HOUSTON, July 17 -- The International Financial Corp. has signed a $150 million loan agreement that will help Cairn Energy PLC secure a further $850 million in financing to support oil and gas development in Rajasthan, India.
Cairn expects fields it has discovered in the region to produce 150,000 b/d (OGJ, Jan. 23, 2006, p. 35).
Social and environmental due diligence for the 9-year IFC loan provided a group of international commercial banks assurance to provide 5-year funding for the rest of the package, IFC said.
IFC and Cairn will help small, local companies provide support services such as food, transportation, security, and grounds-keeping. They also will help farmers develop cooperative dairy ventures.