Oil & Gas Terms & Conditions

The Financing

 

1 Purpose of financing

Financing to offshore, onshore and offshore support vessels & logistics companies.

2 Margin of financing

(i) Acquisition of Asset:

 

I. Vessel/air transport services

 
  • Maximum 90% of purchase price / construction (New).

  • Maximum 80% of purchase price / market value (secondhand), whichever is lower
 

II. Machinery/equipment

 
  • Maximum 90% of purchase price
 

(ii) Working Capital:

 
  • 85% of each contract value/invoices
 

3 Tenure of Loan
  • Vessel/air transport services
 

Maximum loan period up to 18 years, inclusive of 3 years grace period (For second hand vessels, their age should not exceed 20 years at the end of repayment period).

 
  • Machinery/equipment
 

Maximum loan period up to 15 years, including of 3 years grace period.

4 Interest rate

Base Lending Rate (BLR) + Maximum 2.7%

5 Security

The types of security acceptable to the Bank shall include, but are not limited to the following:

 
  • Mortgage and Debenture on the Vessel/Asset.

  • Assignment of insurance policies.

  • Directors/Corporate/Shareholder guarantee.

  • Assignment of Charter proceeds/contract payments.

  • Assignment of shipbuilding contract.

  • Debenture on fixed and/or floating assets.

  • Fixed legal charge over other assets of the customer.

  • Kafalah/Bank Guarantee.
 

Financing Amount

 
  • Minimum : RM 20.0 million

  • Maximum : Up to Single Customer Limit (SCL)
 

Eligibility Criteria

 
  • The applicant must be registered and incorporated in Malaysia.

  • The applicant must be majority-owned by Malaysians (at least 51%).