Starting news article english 28 July 2010

Clifford Chance advises lenders on project financing for world's largest solar power project

Leading international law firm Clifford Chance has advised the lenders on the landmark project financing of a 74MW solar power plant located in the Lopburi province of Thailand. When constructed, the project will be the largest photovoltaic power project to date.

The project was developed by Natural Energy Development, a joint venture between Hong Kong-based CLP Holdings, Japan's Mitsubishi Corporation (and its subsidiary Diamond Generating Asia Limited) and Bangkok-based Electricity Generating Public Company Ltd. 

Clifford Chance advised the lenders to Natural Energy Development, which include Asian Development Bank (ADB), Kasikornbank pcl, Siam Commercial Bank pcl and Bangkok Bank pcl.

"The transaction highlights the commitment of international energy developers and banks to the development of utility scale solar projects in Thailand. We are pleased to have worked with the banks on this significant step towards Thailand's renewable energy goals," said counsel Joseph Tisuthiwongse, who led the Clifford Chance team advising on the deal.

Construction of the 74MW solar plant in Lopburi, north of Bangkok, starts this month. A power purchase agreement is already in place with the Electricity Generating Authority of Thailand.

With Thailand pledged to supply 20 per cent of its domestic energy needs from renewable sources by 2020, Clifford Chance's leading Thai energy and infrastructure team – headed by renewables specialist Joseph Tisuthiwongse – has now advised on an number of groundbreaking projects in the country.

As well as advising the ADB and other banks on the construction financing for the Lopburi solar plant, Joseph's team recently advised Kasikornbank on the first project financing of a 6MW solar power plant in Thailand, and Wind Energy and Ratchaburi Electricity Holding Public Company Limited on wind turbine supply and service agreements with Siemens for the first utility scale wind-power projects in Thailand.

Joseph was assisted on the Natural Energy Development transaction by partner Fergus Evans, counsel Passawan Navanithikul, associates Tanai Porasupattana, Natchapon Padungkittimal, Nattaporn Pengkul, and Praopetch Srijayanta in Bangkok, and by senior associate Matt Buchanan in Singapore.