Rabo India arranges Rs 62-crore debt for Sanjana Cryogenic

Mumbai: Sanjana Cryogenic Storages has raised a debt of Rs 62 crore, which was arranged by Rabo India. Several domestic banks participated in the syndication.

The debt was for Sanjana’s two ammonia import infrastructure facilities — one on the east coast for Hind Lever Chemicals and the other on the west coast for Indo Gulf Corporation.

Sanjana has taken up the project of setting up third-party ammonia storage facilities on a build-operate-own-transfer (BOOT) and a build-operate-own (BOO) basis in India. Currently, it is the only private sector enterprise in India providing infrastructural tank terminal facilities for ammonia storage.

“India, being an ammonia deficient country, has to import ammonia. Imported ammonia is stored at -330C at atmospheric pressure before it is despatched to fertiliser manufacturing units,” said a Rabo India press release.

Hind Lever has entered into a long-term 25-year BOO contract with Sanjana for a similar terminal to be set up by September 2003. Assured monthly payments from Hind Lever, to be trapped in escrow, will provide the returns on the investment for the project.