Guyana Shore Base gets $10M loan from Trinidad Merchant Bank to expand services to oil sector
The Guyana Shorebase Inc., has signed an agreement with the NCB Merchant Bank (Trinidad and Tobago) Ltd, a subsidiary of the Jamaica based NCB Capital Markets Group, for the disbursement of a $10M syndicated term loan.
NCB, in a press release, noted that the loan will allow GYSBI “to expand its capacity in the delivery of secure open and covered storage, berthing for supply vessels, operational personnel, and loading/unloading logistics support.”
GYSBI offers services ranging from waste management, chemical storage, warehousing, construction, supply chain management, expatriate management, and customs and logistics services. The company currently has four berths, 30 acres of developed land at its main port and owns and manages 140 acres of industrial estate.
“We were able to provide financing that is flexible, forward thinking, and facilitative of GYSBI’s business model,” Marli Creese, Head of Corporate and Investment Banking at NCB Merchant Bank said.
He added, “By taking the time to understand Guyana Shore Base, we were able to create a custom-tailored financial solution.”
GYSBI is a Guyanese majority-owned company that provides a multi-use facility offering support and logistical services to satisfy the highly specialised needs of Guyana’s oil and gas industry. Fourteen international oil companies are currently engaged in petroleum operations onshore and offshore in Guyana’s territorial waters.
“This bridging loan agreement is a precursor to a more significant multimillion-dollar deal involving NCB Merchant Bank and three other Guyana banks to provide capital for projects that will further build and enhance GYSBI’s capacity to support Exxon Mobil’s offshore drilling campaign,” GYSBI’s General Manager, Robert Albiez stated.
Guyana’s estimated reserves at August of this year stands at more than 11 billion barrels of oil and 13.2 billion cubic feet of associated gas.
With an estimate of 750,000 barrels of oil per day in the next two years and potential revenues of US$50-US$200 billion by 2050, the industry is ramping up for the long haul.
NCB Merchant Bank been providing financing in Guyana since 2015. It was part of a wider NCB syndicate out of Jamaica that extended a US$20MM loan to the Guyana Sugar Corporation (GuySuCo), and in 2020 NCB Merchant Bank arranged financing for Nabi/KCL Oilfield Construction Services JV to aid in their construction of a corporate campus at Ogle, East Coast Demerara for a prominent energy company.
The NCB Financial Group has assets of USD 12 billion, a capital base of circa USD 1 billion and is publicly traded on the Jamaica and Trinidad & Tobago Stock exchanges. It trades under the ticker symbol NCBFG.
In 2015 Muneshwers Limited, Pacific Rim Constructors, LED Offshore, and Total Tec Oilfield Services – all companies with relevant experience and expertise, combined interests to establish Guyana Shorebase Inc.
The company was later awarded a 5-year mandate to provide ExxonMobil with shore base services which has been subsequently extended to 2032. With the increasing demand for services, GYSBI will now be able to provide increased services as a single source resource to the sector.
