Indonesian law firm RBP Asia has advised the Export-Import Bank of China (Exim Bank) on an agreement for an undisclosed amount to finance an aluminium smelter development project in Kalimantan.
RBP Asia acted as counsel alongside Chinese law firm Jingtian & Gongcheng, assisting with a comprehensive legal due diligence review that spanned corporate standing, licensing and regulatory compliance, land and project documentation, material contracts, and other key legal considerations related to the proposed financing structure.
The RBP Asia team included counsel Muhamad Destianto and Zuhesti Prihadini, as well as associate Nurdinah Hijrah and legal intern Shelina Theodora.
“Our advice to the Export-Import Bank of China covered various Indonesian regulatory and compliance matters in connection with the proposed financing transaction and related security package,” Destianto told Asia Business Law Journal.
“In addition, we advised on the enforceability and perfection of security interests under the Indonesian Civil Code, with a particular focus on the borrower’s existing pledge arrangements. Our advice included assessing the validity and scope of the existing security, identifying any legal limitations arising from it, and evaluating the feasibility of creating additional security interests to protect Exim Bank’s interests under the proposed financing.”
Destianto said one of the key challenges was safeguarding the lender’s interests, while a key highlight was advising the Export-Import Bank of China on various aspects of Indonesian law.
“The key highlight of the engagement was advising Exim Bank on the Indonesian legal and regulatory requirements applicable to the proposed financing and security structure,” he said.
“The primary challenge was ensuring that the lender’s interests were adequately protected while maintaining compliance with Indonesian law. We provided practical guidance on the required corporate approvals, regulatory matters, and borrower deliverables necessary to ensure the enforceability of the facility and security package.”
