Challenge
Our client was a non-operated joint venture partner in an Oil and Gas producing field Offshore Africa. As part of the bank lending facility in place for the project, our client needed to issue to the lender a Letter-of-Comfort to provide a level of assurance to the Bank of the standard of the activities.
Approach
We worked in partnership with our client to obtain relevant HSE documentation from the operator as part of the ongoing operations of the facility. Our experts reviewed the documentation provided and conducted a gap analysis against the requirements of the Equator Principles and International Finance Corporation (IFC) performance standards (PS).
Findings were summarised in a Letter addressed to the Bank.
Solution
The data provided was initially reviewed by our environmental experts for conformity with the IFC PS. Areas where improvement could be made were identified as part of the review. Additional insight was provided by our facilities and maintenance experts on potential underlying issues through a review of the incident reports. Areas of potential concern were flagged to our client and a pathway to further investigate the issues and develop a remedial action plan was proposed.
Outcome
The Telos team produced the required letter addressed to the banks for the lending facility.
In addition, we provided valuable “extra” advice to our client to improve their own assurance process and ultimately support the operator with addressing some of the shortfalls present on the asset under review.