Glencore Eyes Colombia Refinery Financing

Swiss-based commodity powerhouse Glencore International is seeking to raise $2bn-$3bn financing in the coming months to invest in Colombia’s Refinaria de Cartagena, says a loans market banker familiar with the matter. Part of the investment for the controlling stake in the oil refinery will include equity, and a significant portion will be raised in the loan market. A multilateral A/B loan may be one route, says a banker, though Glencore is understood to be considering various options. Glencore said in August it had acquired 51% of the oil refinery from Ecopetrol, which owns the remaining 49%, for $630m. It beat a $595m bid from Petrobras for the stake, according to press reports at the time.