IFLR 1000
The Guide to the World's Leading Financial Law Firms

For most firms the bulk of their project finance practice remains linked to energy and natural resources projects. Singapore remains a hub in Southeast Asia for these types of projects due to its relatively advanced finance markets and the experience that its banks have in the area.

With the demand for infrastructure in many countries in the region still at a high level, Singapore also acts the regional point of reference, providing new projects with a localised template rather than having to look for examples out of Europe or America.

Despite this great demand there is still in some cases a reticence on behalf of certain banks to lend to projects, which fall outside their comfort zone. A certain level of conservatism still exists and many institutions are still only willing to lend to a tried and tested client base.

Export Credit Agencies (ECAs) continue to play a major role in financing and indeed can often have a secondary role providing confidence, through their presence on deals, to the local banks.

Interest in PPP's (public-private partnerships) continues apace and Singapore continues to be a trailblazer in the region for these types of deals.

"A&O understands the commercial side to a transaction well. Creative thinking, out-of-box thinking was required to reach certain agreements and A&O did an excellent job at that. Great work-ethic and strict adherence to deadlines and a tight schedule," says one client of the firm's project finance team which, on the strength of its banking reputation and some solid mandates, retains its tier one position this year. Following the opening of its Australian operations at the beginning of 2010 and the continuing strength of its Tokyo and Hong Kong offices, the Singapore team can rely upon a good stream of mandates emerging from its Asian offices.

Partner Jason Humphreys advised lenders BP, Standard Chartered Bank and ICON Capital on a subordinated financing deal of $2.4 billion for the Jurong Aromatics petrochemical project on Jurong Island, Singapore. The project required complex structuring that was acceptable to senior lenders but still maintained the rights of the subordinated lenders.

In another deal showcasing the firm's Indonesia capabilities, Humphreys and partner Andrew Diggs are advising on an important project in Tayan, West Kalimantan, Indonesia. Showa Denko K.K. and Mizuho are leading the financing: a $450 million injection for the development a chemical grade alumina plant.

Alongside his banking work, lead partner Joseph Bevash continues to be a vital asset to the firm with his knowledge and experience of the Tokyo, Hong Kong and Singapore markets adding crucial weight to multi-jurisdictional transaction advice.

The most active figure in project finance though remains practice group head Stephen McWilliams, who last year advised the lenders on the $2.97 billion financing of the Hongsa Mine-Mouth Power Project. The financing is intended to fund power and mining facilities that will generate the construction of a 1,878MW power plant comprising three ignite-fired power-generating units each. This is the one of the largest project financing deals ever in Asia (excluding India) and is the largest project loan ever raised exclusively in the Thai bank market.

In another project financing transaction, this time in Pakistan, McWilliams represented International Power, the sponsor of the Uch II power project. The lenders, which included the Asian Development Bank (ADB), the International Finance Corporation (IFC), Korea Export-Import Bank and the Islamic Development Bank provided $540 million in funds, partly under Pakistani law, in order to finance the first new IPP (independent power production) facility since the Pakistani government introduced a new power policy in 2002.

Clifford Chance's project finance team was given a huge boost in May 2010 with the relocation of Geraint Hughes from Hong Kong. Highly experienced, Hughes will no doubt enhance the firm's reputation even further and ensure it remains one of the first ports of call for project finance mandates.

The firm, led by partner Ting Ting Tan, represented the ICIC Bank in a $250 million project financing to Adani so that it could acquire coal assets in Asia. The most notable aspect of this deal is its lightening quick completion, lasting only two weeks from start to finish.

Partner Simon Briscoe was also involved in a limited recourse debt financing deal for an A380 aircraft. Hannover Leasing bought the aircraft and leased it to Singapore Airlines. This represents the first Airbus 380 airplane to be fully underwritten by a Singapore bank.

Milbank has a very strong reputation globally for project finance and the Singapore team is no exception.

The firm was involved with two highlight project finance deals this year: the financing for Jurong Aromatics' greenfield development project in Singapore and Hongsa Power Company's power plant in Laos.

Partner James Murray represented Export Import Bank of Korea, Korea Trade Insurance Company, and other commercial bank lenders on $1.6 billion of financing to Jurong Aromatics for the development of a greenfield project on Jurong Island, Singapore.

The financing scheme for the Hongsa Power Company represents Thailand's largest project financing syndication to date. Partner Karen Wong represented Hongsa Power Company in the negotiation and structure of the financing, which includes an approximately $2.71 billion debt facility for a $3.71 billion plant.

Ashurst moves into the rankings because of its work on a landmark project, the Singapore Sports Hub public-private-partnership (PPP), the largest PPP to date in Asia. Partner Matthew Bubb led the firm in advising the lenders, including Credit Agricole, National Australia Bank, BNP Paribas and Standard Chartered Bank, regarding $1.3 billion in financing.

Bubb is also advising the Asian Development Bank regarding three upcoming water and waste PPP projects in India: the Aurangabad Potable Water PPP, Kolhapur Sewerage and Wastewater PPP and Bhopal Improvement of Water Supply Services and Reduction in Non Revenue Water PPP. In a separate transaction, Bubb is also acting for the Asian Development Bank in the financing of two solar projects in Bangchak, Thailand.

"Baker & McKenzie.Wong & Leow focus on solution-finding," says a regulatory client, "When I have a requirement, they'll translate it into something workable for not just us, but the industry as far as regulatory requirements go. They work so that we can get our job done."

The firm has acted for many banks regarding project financing, including Sumitomo Mitsui Banking Corporation, Bank of Tokyo-Mitsubishi UFJ, Mizuho Bank, the Hongkong and Shanghai Banking Corporation, Standard Chartered Bank and Raiffeisen Bank International.

The arrival of partner Adrian Cheng and senior associate Alex Moray at Herbert Smith has added depth to both the firm's project finance practice, which advises prestigious clients such as China Development Bank, Standard Chartered Bank and BNP Paribas.

Cheng represented BNP Paribas and Commonweath Bank of Australia as lenders in a US $80 million secured borrowing base facility for Coastal Energy Company in connection with its interests in the Phu Horm and Bua Ban gas fields in the Khorat and Songkhla bases offshore Thailand.

"I think they can be innovative, conservative and aggressive. Hogan Lovells Lee & Lee's real value is that its lawyers recognize what the client needs at the time," a client says. The firm's noted project finance practice holds steady in the rankings because of its prominent deals and strong client feedback.

Peers are not worried about the impact of the departure of noted partner Ken Hawkes. "Ken Hawkes is a significant loss, but managing partner James Harris was the firm's claim to fame even before Ken. He single-handedly maintains the firm's standing," a practitioner notes.

To offset Hawkes' departure, the firm has transferred partner Philip Robb from its London office, and Alex Wong has been promoted to the partnership.

The firm, led by Harris and Wong, has advised the Singapore Sports Council regarding the Sportshub project, the largest public-private partnership (PPP) in Asia. The Sportshub project involves redeveloping Singapore's National Stadium and required S$1.8 billion ($1.37 billion) provided by 11 banks.

Harris and Wong are also part of the Singapore team advising the National Development and Innovation Committee regarding a greenfield development and construction of a mega-industrial park in Sainshand, Mongolia. It will include a cement plant, coke plant, iron pellet plant, oil refinery plant and power plant, among others, and will require over $10 billion in investment. Other partners involved include Michael Aldrich, who is based in both Mongolia and Beijing.

"The lawyers at Linklaters Allen & Gledhill are very much accessible and responsive," a client says. "We can call them at midnight. If we ask them to work all night for urgent matters, they're willing to do that."

Clients commend the firm's service and expertise in project finance, though peers claim that it is more focused on banking. Regardless, the firm is involved with some of the largest deals in Asia. Partner Richard Ginks and counsel Nathan Dodd advised Singapore's Ministry of Finance regarding the Sportshub public-private-partnership (PPP), the largest PPP in Asia thus far. It required S$1.8 billion ($1.3 billion) in funding.

Ginks, Dodd and counsel Thomas Ng also represented China Development Bank and the Export-Import Bank of China in their first limited resource project financing in India. Other lenders represented include Standard Chartered Bank, HSBC and Bank of Tokyo, who financed US $1.3 billion for a greenfield coal fired power station for the Haryana Power Generating Corporation.

Norton Rose leverages its strength in all corporate and financial areas to provide what many clients describe as a "one-stop shop." Its project finance practice, led by partner Jeff Smith, has participated in landmark deals this year including the heavily-scrutinised Sportshub public-private-partnership (PPP).

The firm has broken its alliance with an Indonesian firm and forged a new association with Susandarini & Partners to assist in handling its formidable Indonesian project finance workload. Smith and of counsel Nicky Davies advised Indonesian electricity utility PLN and the International Finance Corporation in relation to securing US $2.5 billion for the Central Java power project, which is reportedly the largest greenfield project in Indonesia since the Asian financial crisis.

The firm is also representing PLN regarding its 10,000 MW Fast Track Power Programme, which has so far required more than US $3.9 billion of new financing.

Partner Bill McCormack leads Shearman & Sterling's standout project finance practice, which has been involved in the biggest project finance transactions in locales as diverse as Pakistan, the Philippines, Vietnam and Uzbekistan. Clients laud McCormack for his expertise and service. "He was really instrumental in the culmination of our work, and has a very good understanding of the requirements of an international institution," a client comments. "He was very helpful with quality of understanding the sector and also with our local contacts."

McCormack, along with associate Alfred Ng, represented lenders Asian Development Bank, International Finance Corporation, the Islamic Development Bank and Export-Import Bank of Korea in relation to International Power's Uch II power project, which required $525 million.

In another highlight transaction, partner Sanja Udovivic and McCormack are acting for lenders, including Asian Development Bank, in the first multi-source financing project in Uzbekistan. LUKOIL Overseas Uzbekistan is seeking $2 billion in funds for its Khausak Shady and Kandymgas development project.

Partner Ken Hawkes at White & Case is a pivotal addition to the firm's project finance practice. Hawkes and partner Sebastian Buss are representing Island Power Company, a subsidy of GMR International, regarding the proposed S$1.2 billion ($974 million) financing for a power project in Singapore.

Hawkes is also advising Sembcorp Utilities regarding its bid for the Sur IPP, reportedly Oman's largest greenfield project. Project costs are estimated to be between $1.6 and 2 billion.

Partner Martin David of DLA Piper has been involved in several large project financing deals this year, primarily in the Philippines, Thailand and Mongolia. The firm interfaces with the firm's other Asia-Pacific offices and capitalises on its strong India practice to expand its capabilities.

Active clients include the Asian Development Bank, Masan Resources and PetroVietnam Exploration and Production Company.

Watson Farley & Williams have recruited partner Siva Subramaniam to strengthen its project finance practice. In a highlight deal, the firm acted as English legal counsel to a syndicate of six Vietnamese banks, including the Vietnam Commercial Bank for Industry and Trade, regarding $227 million in financing for the Chim Sao field in offshore Vietnam.

The firm also acted for Conergy Renewable Energy Singapore in relation to the development of one of Thailand's largest solar projects.