by John Konrad (gCaptain) Gunvor, the energy trading firm and shipowner cofounded by sanctioned Russian Oligarch and Putin’s long-time friend Gennady Timchenko, has secured sustainability loans worth $912 million.
The credit facility, which was launched initially at US$500 million in April 2022, got strong support from 23 banks and closed oversubscribed by over 82 percent. Gunvor may upsize the loan thanks to a US$200 million accordion feature to accommodate banks that are interested in providing loan capital after June 2022.
This is the first time Gunvor has borrowed via a sustainability-linked loan structure that tracks key Environmental-Social-Governance (ESG) performance indicators that include climate, energy transition, and human rights.
Also Read: Gunvor Requests Jones Act Waiver to Deliver Gasoline to U.S. East Coast
“We are grateful for the tremendous support from our banking partners during this extremely challenging period of record volatility and uncertainty,” said Gunvor regional CFO Jean Rohr. “Our partners found confidence in our strong financial results, solid liquidity management, and commitment to the energy transition”.
The question remains, however, how much of Gunvor’s past history was investigated by these ESG banks and how energy traders are dealing with increased geopolitical risks moving forward.
Gunvor’s Mixed ESG History
While Gunvor claims it’s no longer connected to Russia – Timchenko sold his stake in Gunvor to his Swedish…
