Geothermal District Heating Project (ADB-51186-001)

Countries
  • China
Where the impacts of the investment may be experienced.
Specific Location
Nation-wide
Whenever identified, the area within countries where the impacts of the investment may be experienced. Exact locations of projects may not be identified fully or at all in project documents. Please review updated project documents and community-led assessments.
Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Active
Bank Risk Rating
B
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Dec 14, 2017
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
Arctic Green Energy Corporation Private Limited/ Sinopec Green Energy Geothermal Development Company
The holder of the loan, grant, or other investment.
Sectors
  • Energy
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 250.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Loan Amount (USD)
$ 250.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 250.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ ADB website

Updated in EWS Nov 20, 2019

Disclosed by Bank May 2, 2018


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Project Description

According to the bank document, the project involves

(i) a loan of up to US$200 million equivalent to Sinopec Green Energy Geothermal Development (SGE) to support the company's construction and operation of a series of geothermal-based district heating networks;

(ii) a loan of up to US$50 million to Arctic Green Energy, a shareholder in SGE, to refinance certain existing debt which restricts AGE's ability to invest in SGE's expansion.

The project will support the construction, acquisition, rehabilitation, and operation of a series of urban district heating systems based on geothermal energy. ADB will extend financing on a subproject-by-subproject basis, subject to defined environmental, social, development, and financial criteria. Subprojects will be identified during the project implementation stage. By facilitating the delivery of clean and reliable heating services, the project helps mitigate air pollution and climate change, which are key development challenges for the PRC.

Investment Description
  • Asian Development Bank (ADB)
Contact Information

Responsible ADB Division: Infrastructure Finance Division 2

Responsible ADB Officer: Roberts, Scott C.

Project Sponsor(s): Sinopec Green Energy Geothermal Development Company Limited

ACCOUNTABILITY MECHANISM OF ADB

The Accountability Mechanism is an independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an Asian Development Bank-financed project. If you submit a complaint to the Accountability Mechanism, they may investigate to assess whether the Asian Development Bank is following its own policies and procedures for preventing harm to people or the environment. You can learn more about the Accountability Mechanism and how to file a complaint at: http://www.adb.org/site/accountability-mechanism/main