Legal Framework for International Project Finance module (CP52007)

The Legal Framework for International Project Finance involves the regulations and contractual structures that facilitate large-scale infrastructure and energy projects. It includes the creation of special purpose vehicles (SPVs) to isolate project risks, and the use of non-recourse or limited recourse financing, where lenders rely on project revenues for repayment.

Key elements include risk allocation through contracts, such as power purchase agreements (PPAs) and construction contracts, and compliance with international standards and local laws. This framework ensures that projects are financially viable and legally sound, balancing the interests of investors, lenders, and host governments.

What you will learn

In this module you will:

• have knowledge of the main concepts and approaches related to project finance in the energy, petroleum and mining sectors
• have a critical understanding of the structure of a project financing deal and the key financing requirements of investors and lenders
• critically analyse and understand the mechanisms by which risks can be mitigated
• critically analyse and understand the risk averse nature of banks compared to project sponsors
• have an understanding of the role of multilateral lenders

By the end of this module you will be able to:

• competitively conduct research into particular characteristics of project financing from the perspective of lenders and investors
• critically review and analyse issues related to project finance in the energy, petroleum and mining sectors , informed by development at the forefront of the subject
• participate in negotiations to determine allocation of risk

Assignments / assessment

• 2 x remote online open-book assessment
  • Assessment mid-semester (40%)
  • Assessment end of Semester (60%)

Teaching methods / timetable

You will be taught using:

• lectures
• students’ presentations
• group discussion and teamwork

You will be encouraged to read in advance and participate in discussion.