2012 Equator Principles – Number of projects financed by risk category and regions
Region Category A Category B Category C
Europe: EU 5 2 10
Europe: non EU 1 3 0
North America and Mexico 0 0 1
Total 6 5 11
The Ichthys LNG project is among the largest developments in the oil and gas sector. The 889 km pipeline,
which is currently under construction, will link Western Australia’s offshore production sites to liquefied
natural gas (LNG) production plants in Darwin. Darwin Harbour and its surrounding areas are rich with several
species of nationally protected flora and fauna – primarily benthos, turtles and corals. It is also home to the
Aboriginal and Torres Strait Islander peoples. As a result, a comprehensive four-year environmental and social
impact assessment was carried out to avoid or minimize the project’s effect on the local culture, ensuring that all
environmental, social, economic and safety criteria are met. As an arranger, UniCredit has been vigilant in checking
that the project has been designed in close consultation with independent, experienced environmental advisors.
The Ichthys LNG project is working to be in compliance with Australian environment laws, the OECD Common
Approaches, IFC Performance Standards on Environmental and Social Sustainability, the Equator Principles and the
relevant export credit agency standards. An IFC Performance Standards action plan has been put in place in order to
ensure ongoing compliance.
As a financial advisor for the Etlik PPP project in Turkey, UniCredit explained to sponsors the merits of
bringing the project into compliance with the Equator Principles. We assisted them in mandating local and
multinational consultants to conduct thorough environmental and social impact assessments in line with
international standards. Environmental and social risk management systems and an action plan will be
prepared in the coming stages, with the aim to ensure that the Etlik PPP project is in full compliance with
International environmental and social standards as the IFC Performance Standards, the OECD Common
Approaches and the European Bank for Reconstruction and Development (EBRD) Performance Requirements.
UniCredit also supported the Izmir Airport project as Coordinating and Structuring Mandated Lead Arranger
(MLA). From the beginning, our Equator Principles Team was involved to ensure that Izmir Airport, as a
“brownfield” project, is in compliance with all matters related to the environment and the Equator Principles.
In this context, the borrower produced an Environmental & Social Impact Assessment, an Environmental
and Social Management Plan for the construction and operation of the airport’s new domestic terminal and
implements the Environmental & Social Action Plan.
In 2011, we reported on the environmental and social management system and action plan related to the
Eurasia Tunnel Project in Turkey (see our 2011 Sustainability Report for more information). In 2012, this project
was awarded the European Deal of the Year 2012 by Project Finance magazine and Middle East and Africa
Turkish Infra Deal of the Year by Project Finance International magazine (Thomson Reuters). As the project’s
advisor, we regard these achievements as further confirmation that applying best practices to the field of
environmental and social management yields clear benefits.
UniCredit · 2012 Sustainability Report 15