Federative Republic of Brazil /Loan Insurance in connection with the financing of Braskem’s Petrochemical Facility Construction

August 6, 2020

Nippon Export and Investment Insurance

Nippon Export and Investment Insurance (NEXI, Chairman and CEO: Atsuo Kuroda) has decided to provide loan insurance for a USD 225 million loan facility financing the polypropylene production facility construction project by Braskem S.A. (Braskem), the largest petrochemical company in the Americas. NEXI loan insurance will cover the loan to be extended by ING Bank N.V. Tokyo Branch and BNP Paribas Tokyo Branch.

Through this project, Braskem procures a new polypropylene production line located next to its existing polypropylene production facility in La Porte, Texas. Polypropylene is used in a variety of applications including automotive parts. Polypropylene produced at the new plant is planned to be supplied to Japanese companies and Japanese chemical manufacturers operating in North America for a medium to long term. This project will contribute to stable supply of polypropylene to the Japanese market and will also help ensure more sustainable and efficient value chain for Japanese companies in North America.

As a policy-based financial institution of Japan, NEXI will continue to actively support business projects contributing to the stable supply of industrial raw materials for Japan.

Insured ING Bank N.V. Tokyo Branch, BNP Paribas Tokyo Branch
Insured amount USD 225 million
Tenor 10.5 years
Covered risks Political risks 100%, Commercial risk 90%

Contact: Natural Resources Group Ⅱ, Structured and Trade Finance Insurance Department
Tel: +81-(0)3-3512-7744