Uniper needs €8b credit line: German Parliamentary study

Uniper, a subsidiary of Finnish energy company Fortum needs an €8-billion credit facility from Germany's state-owned KfW bank in order to ensure liquidity, according to a paper from the parliamentary committee on climate action and energy, reported German news agency dpa.

Uniper, which has been hit hard by the reduction in gas supplies from Russia via the Nord Stream 1 pipeline, announced this week that it had completely exhausted its €2-billion credit facility from KfW and was requesting more loans.

In order to fulfil its contracts, the company has resorted to buying more expensive gas on the market, which has led to liquidity problems. The government is currently working on an aid package for Uniper.

According to the paper from the Committee on Climate Action and Energy, which was seen by dpa on Wednesday, an €8-billion credit facility is necessary to provide short-term liquidity, as well as to secure its margin positions.

A Uniper spokesperson declined to comment on the contents of the paper.

The company agreed to the credit line with KfW at the beginning of January, in view of the looming invasion of Ukraine. At the end of March, extended it until the end of April 2023 as a precautionary measure.

Earlier on Monday, Uniper has drawn on its €2 billion credit facility from Germany's state-owned KfW bank.