China to fund Costa Rica refinery revamp
China agreed terms to finance a $ 1.24 bn oil refinery revamp in Costa Rica, the Central American country's state oil company said.
Costa Rica's refiner Recope said the China Development Bank will loan up to $ 900 mm for the project that will begin next year and be finished at the end of 2013.
The remaining costs of the project will be split between Recope and China's state oil company CNPC.
The expansion of the refinery at the Caribbean port of Moin, Costa Rica's only refinery, will more than double the country's oil processing capacity to 60,000 bpd, up from 25,000 bpd.
The deal was possible after Costa Rica dropped its diplomatic recognition of Taiwan in favour of China in 2007.
The Chinese bank's credit line will become available Dec. 13, 2012, Recope said in a statement.
Australian contractor Worley Parsons will oversee management of the engineering phase of the project, according to Recope.