Corporate report

Issued cases designated as Category A

Published 22 June 2021

Issued cases designated as Category A, having high potential environmental, social and human rights (ESHR) impacts, where UKEF has contingent liabilities outstanding.

1. Angola

1.1 Project: Construction and operation of 240km transmission line (Lauca)

Year of issue

2018-19

Applicable ESHR risk framework

OECD Common Approaches

Product

Reinsurance (to EKF, Danish ECA)

Project Phase

Construction

Key risks

  • Health and safety
  • Noise and air quality
  • Biodiversity
  • Physical resettlement and economic displacement
  • Waste management

Monitoring summary

First self-monitoring report received and reviewed by IESC.

2. Bahrain

2.1 Project: Upgrade and modernisation of the existing BAPCO refinery

Year of issue

2019-20

Applicable ESHR risk framework

OECD Common Approaches and Equator Principles

Product

Project Finance

Project Phase

Construction

Key risks

  • Environmental pollution
  • Health and safety
  • Noise and air quality
  • Waste management

Monitoring summary

Virtual monitoring visit by the Independent Environmental and Social Consultant (IESC) in March 2021. Monitoring reports received and reviewed. One incident recorded in 2020.

3. Brazil

3.1 Project: Petrobras oil and gas exploration and production in three offshore Brazilian basins, Line of Credit (LOC) Phase I

Year of issue

2011-12

Applicable ESHR risk framework

OECD Common Approaches

Product

Line of Credit Guarantee

Project Phase

Operations

Key risks

  • Environmental pollution
  • Labour and working conditions
  • Health and safety
  • Waste management
  • Community safety / stakeholder engagement
  • Emergency response
  • Decommissioning

Monitoring summary

Monitoring related to Petrobras Phase I is included within monitoring of Petrobras LOC III.

3.2 Project: Petrobras oil and gas exploration and production in three offshore Brazilian basins, Line of Credit (LOC) Phase II

Year of issue

2015-16

Applicable ESHR risk framework

OECD Common Approaches

Product

Line of Credit Guarantee

Project Phase

Operations

Key risks

  • Environmental pollution
  • Labour and working conditions
  • Health and safety
  • Waste management
  • Community safety / stakeholder engagement
  • Emergency response
  • Decommissioning

Monitoring summary

Monitoring related to Petrobras Phase II is included within monitoring of Petrobras LOC III.

3.3 Project: Petrobras oil and gas exploration and production in three offshore Brazilian basins, Line of Credit (LOC) Phase III

Year of issue

2018-19

Applicable ESHR risk framework

OECD Common Approaches and Equator Principles

Product

Line of Credit Guarantee

Project Phase

Operations

Key risks

  • Environmental pollution
  • Labour and working conditions
  • Health and safety
  • Waste management
  • Community safety / stakeholder engagement
  • Emergency response
  • Decommissioning

Monitoring summary

Monitoring reports received and reviewed.

4. Egypt

4.1 Project: Design, construction, operation and maintenance of two monorail lines

Year of issue

2020-21

Applicable ESHR risk framework

OECD Common Approaches

Product

Buyer Credit Guarantee

Project Phase

Construction

Key risks

  • Health and safety
  • Air, noise and soil quality
  • Wastewater and waste management
  • Gender-based violence
  • Economic displacement
  • Cultural heritage

Monitoring summary

First IESC report expected in 2021.

5. Ghana

5.1 Project: Development of oil and gas exploration and production facilities in the offshore Sankofa and Gye Nyame gas fields and Sankofa East oil field, part of the Offshore Cape Three Points (OCTP) block, utilising a floating production, storage and offloading unit (FPSO) and an onshore gas receiving facility (ORF)

Year of issue

2016-17

Applicable ESHR risk framework

OECD Common Approaches

Product

Buyer Credit Guarantee / Direct Lending

Project Phase

Operations

Key risks

  • Environmental pollution
  • Labour and working conditions
  • Health and safety / contractor management
  • Biodiversity
  • Emergency response
  • Decommissioning

Monitoring summary

Annual monitoring report received and reviewed.

6. India

6.1 Project: Design and supply of goods for upgrade and expansion of a petrochemical plant

Year of issue

2014-15

Applicable ESHR risk framework

OECD Common Approaches

Product

Buyer Credit Guarantee

Project Phase

Operations

Key risks

  • Environmental pollution
  • Labour and working conditions
  • Health and safety and security
  • Waste management
  • Social issues / stakeholder engagement

Monitoring summary

No known material environmental or social issues.

7. Iraq

7.1 Project: Construction and operation of a 750MW power station (Dhiqar)

Year of issue

2018-19

Applicable ESHR risk framework

OECD Common Approaches

Product

Buyer Credit Guarantee / Direct Lending

Project Phase

Construction

Key risks

  • Health and safety
  • Noise and air quality
  • Wastewater and waste management
  • Resource efficiency

Monitoring summary

First semi-annual IESC report received and reviewed.

7.2 Project: Construction and operation of a 750MW power station (Samawa)

Year of issue

2018-19

Applicable ESHR risk framework

OECD Common Approaches

Product

Buyer Credit Guarantee / Direct Lending

Project Phase

Construction

Key risks

  • Health and safety
  • Noise and air quality
  • Wastewater and waste management
  • Resource efficiency

Monitoring summary

First semi-annual IESC report received and reviewed.

8. Kuwait

8.1 Project: KNPC Clean Fuel Project (CDP)

Year of issue

2018-19

Applicable ESHR risk framework

OECD Common Approaches and Equator Principles

Product

Buyer Credit Guarantee

Project Phase

Construction

Key risks

  • Health and safety
  • Noise and air quality
  • Wastewater and waste management
  • Worker welfare

Monitoring summary

IESC monitoring report received and reviewed. One incident recorded in 2020.

9. Mozambique

9.1 Project: Development of offshore gas fields

Year of issue

2020-21

Applicable ESHR risk framework

OECD Common Approaches and Equator Principles

Product

Project Finance

Project Phase

Construction

Key risks

  • Labour and working conditions, health and safety, and security
  • Air, noise and soil quality
  • Wastewater, waste and hazardous substances management
  • Physical resettlement and economic displacement
  • Biodiversity
  • Cultural heritage

Monitoring summary

Force Majeure was called by Total in April 2021 due to the deteriorating security situation and therefore IESC monitoring is on hold.

10. Oman

10.1 Project: Construction and operation of a natural gas liquids (NGL) extraction plant, NGL pipeline and a petrochemical complex

Year of issue

2015-16

Applicable ESHR risk framework

OECD Common Approaches

Product

Project Finance

Project Phase

Construction

Key risks

  • Environmental pollution
  • Labour and working conditions
  • Health and safety / contractor management
  • Social issues / stakeholder engagement
  • Emergency response

Monitoring summary

IESC monitoring reports received and reviewed.

10.2 Project: Construction and operation of Duqm oil refinery

Year of issue

2018-19

Applicable ESHR risk framework

OECD Common Approaches and Equator Principles

Product

Project Finance

Project Phase

Construction

Key risks

  • Health and safety
  • Noise and air quality
  • Waste management
  • Resource efficiency

Monitoring summary

IESC quarterly monitoring reports received and reviewed.

11. Russia

11.1 Project: Steam compressor station and associated gas pipeline to Portovaya gas compressor station

Year of issue

2010-11

Applicable ESHR risk framework

OECD Common Approaches

Product

Buyer Credit Guarantee

Project Phase

Operations

Key risks

  • Environmental pollution
  • Labour and working conditions
  • Health and safety
  • Social issues / stakeholder engagement

Monitoring summary

IESC virtual monitoring visit conducted in July 2020. IESC monitoring report received and reviewed.

12. Saudi Arabia

12.1 Project: Construction and operation of Saudi Kayan refinery and petrochemical plant

Year of issue

2010-11

Applicable ESHR risk framework

OECD Common Approaches

Product

Project Finance

Project Phase

Operations

Key risks

  • Environmental pollution
  • Health and safety
  • Emergency response

Monitoring summary

IESC report received and reviewed.

12.2 Project: Construction and operation of Sadara hydrocarbon and chlorine-based production complex

Year of issue

2013-14

Applicable ESHR risk framework

OECD Common Approaches

Product

Project Finance

Project Phase

Construction

Key risks

  • Environmental pollution
  • Labour and working conditions
  • Health and safety

Monitoring summary

IESC monitoring report received and reviewed.

13. Taiwan

13.1 Project: Construction of an offshore wind farm (Formosa 2)

Year of issue

2019-20

Applicable ESHR risk framework

OECD Common Approaches and Equator Principles

Product

Project Finance

Project Phase

Construction

Key risks

  • Health and safety
  • Biodiversity
  • Economic displacement

Monitoring summary

Self-monitoring reports received and reviewed.

13.2 Project: Construction of an offshore wind farm (Changfang and Xiado)

Year of issue

2019-20

Applicable ESHR risk framework

OECD Common Approaches and Equator Principles

Product

Project Finance

Project Phase

Construction

Key risks

  • Health and safety
  • Biodiversity
  • Economic displacement

Monitoring summary

Frist self-monitoring report received and reviewed.

14. Uganda

14.1 Project: Construction of a new international airport at Kabaale

Year of issue

2017-18

Applicable ESHR risk framework

OECD Common Approaches

Product

Buyer Credit Guarantee / Direct Lending

Project Phase

Construction

Key risks

  • Noise and air pollution
  • Water abstraction
  • Labour and working conditions
  • Health and safety / contractor management
  • Physical resettlement and livelihood restoration
  • Biodiversity management
  • Security management and emergency response

Monitoring summary

IESC monitoring report received and reviewed.

14.2 Project: Construction of ancillary works for industrial park

Year of issue

2020-21

Applicable ESHR risk framework

OECD Common Approaches

Product

Project Finance

Project Phase

Construction

Key risks

  • Labour and working conditions, and health and safety
  • Air and noise quality
  • Wastewater, waste and hazardous substances management
  • Physical resettlement and economic displacement
  • Biodiversity
  • Physical resettlement and livelihood restoration
  • Biodiversity management
  • Security management and emergency response

Monitoring summary

First IESC monitoring report not yet received as construction is not yet commenced. IESC monitoring report is expected every 6 months during Construction.

15. Vietnam

15.1 Project: Construction and operation of the Nghi Son petrochemical refinery

Year of issue

2013-14

Applicable ESHR risk framework

OECD Common Approaches

Product

Project Finance

Project Phase

Operations

Key risks

  • Environmental pollution
  • Labour and working conditions
  • Health and safety
  • Social issues / stakeholder engagement

Monitoring summary

IESC monitoring report received and reviewed.