Georgian Minister of Infrastructure Maia Tskitishvili said earlier today the government cannot continue cooperating with the Anaklia Development Consortium if the latter is unable to fulfill its obligations to secure funding for the project in a timely manner.
Tskitishvili said the Georgian government has still not been informed of additional investors interested in the Anaklia Development Consortium.
The deadline for the Anaklia Development Consortium to come up with the needed capital for the project and finalise agreements with potential investors and financial institutions expires on December 16 and by the end of the year a financial closure should be achieved,” announced the Minister of Infrastructure Maia Tskitishvili earlier today.
Tskitishvili said that there is little time left to fulfil these obligations.
The deadline for the consortium is extended to December 31 and after that Georgian government will carry out actions permissible by the contract,” noted Tskitishvili.
Tskitishvili noted that the deadline of the project has been practically extended by two years.
Georgian government has not canceled the current investment agreement despite the expired deadline (October 15) for the consortium to fulfil its interim obligations which was finalising agreements with potential investors and financial institutions to bring in $520 million in total in investments.
The deadline for the Anaklia Development Consortium to obtain the needed $400 million in loans from international financial institutions and to put forward its own capital of $120 million is the end of 2019.
The Anaklia Development Consortium won the state tender to construct the port and signed a deal with the government in 2016 with TBC Holding as its principal partner, but has faced problems in attracting the $2.5 billion in funds needed to construct the port.
Negotiations held on Anaklia Port: What issues remain unsolved between state, financial institutions?
Construction of Anaklia Deep Sea Port started in 2017, with the opening of the port and the receiving of ships in Anaklia planned for 2021.
The latest timeline presented by the consortium says that the construction of the port will be completed in June of 2022 instead of 2020, announced the Ministry of Infrastructure on July 30.