Milbank advises banks in Chevron's sale of Indonesian renewable assets

The assets have combined capacity of 650MW.

 Milbank, Tweed, Hadley & McCloy LLP advised a group of international banks in connection with the multi-billion dollar acquisition of certain geothermal assets in West Java , Indonesia. 

The assets, sold by affiliates of Chevron Corp., have a combined capacity of 650 megawatts – enough to power about 3 million homes in Indonesia – and include the Darajat and Salak projects. The Salak project is one of the largest geothermal facilities in the world.

The loans, which are supported by a multi-jurisdiction cross-border guarantee and security package, were provided to a wholly owned subsidiary of a consortium comprising Star Energy Group Holdings Pte. Ltd., Star Energy Geothermal Pte. Ltd., AC Energy Holdings, Inc. (a subsidiary of Ayala Corporation) and Electricity Generating Public Company Limited.

The Consortium was selected as the winning bidder of these assets after an extensive and highly competitive bid process held in 2016.

Milbank advised the mandated lead arrangers Bangkok Bank Public Company Ltd., Bank of China Ltd., BPI Capital Corp., BDO Unibank Inc., DBS Bank Ltd., RCBC Capital Corp., Sumitomo Mitsui Banking Corp., Singapore Branch, and The Bank of Tokyo-Mitsubishi UFJ, Ltd.

The Singapore -based Milbank team was led by Asia Managing Partner David Zemans and senior attorney James Orme , and included Pablo Malay , Cristy Cross , Daniel Elliott , Martin Wong and Robert Wyse Jackson . Additional support was provided by Stuart Harray , Patrick Holmes and Sarah Ullathorne , in Milbank's London office.