Icelandic renewable energy company Landsvirkjun signed a new loan agreement with the Nordic Investment Bank on Wednesday, for the funding of the Budarhals Hydroelectric Project located in southern Iceland.
This agreement, which is the first loan that the Nordic Investment Bank has granted to an Icelandic company since October 2008, amounts to USD 70 million (roughly 8.6 billion ISK). The loan has a Maturity Date in 2027 and has a favourable margin.
The loan is an important milestone in the overall funding of the Budarhals Hydroelectric Project, but funding for the project has been worked on over the past few months.
Hordur Arnarson, Landsvirkjun’s CEO, explained, “The loan agreement is very important for the funding of the Budarhals Hydroelectric Project and we now are one step closer in securing total funding for the project. This also reflects Landsvirkjun’s solid financial position and will furthermore enable the Company to access the debt capital markets”.
For more information about Landsvirkjun, visit www.landsvirkjun.com.