Advising Batman regional pipeline in Luzon

PNOC in the Philippines is looking to realise a series of pipelines in Luzon and has decided to develop the first ground-breaking project, the Batangas-Manila 1 pipeline, through a PPP approach with support from Rebel.

Solid case needed
Leading up to the implementation of the pipeline PNOC, through cooperation with the PPP Centre of the Philippines, retained Rebel to provide feasibility study and transaction advisory services, including technical and legal advice. Batman I is to be first of a series of networked pipelines aimed at transporting and supplying natural gas to markets in high-growth areas of Luzon such as Batangas, Laguna, Cavite and eventually to Metro Manila. Rebel was to help develop a robust and well tested business case and advise and support on contracting approach, financial structuring and tendering before starting development and operations.

Provided all-round advice and support
We developed a full technical study, economic review, financial model, financing plan, pricing structures, risk allocation scheme and a regulatory framework for the realisation of the (natural) gas pipeline and the other requirements for putting in place a solid national framework for gas transport infrastructure. Due care was given to budgetary impacts, contingent liabilities and PNOC funding requirements related to this complex project. Services included identifying potential funding sources, developing all required due diligence financial documents and project management.

The stepping stone
The Batman I gas pipeline project will be the first step in the direction of developing a veritable networked gas infrastructure for domestic use in the Philippines. We are glad to contribute to laying a vital stepping stone towards this goal.

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