Focus – June 2023

Welcome to this edition of Focus. Since the last edition, the Trinity team have been busy with new transactions across the globe, including in Cambodia, Lao PDR, India, Congo-Brazzaville, Equatorial Guinea, D.R.C., Mozambique, Mauritius, Nigeria, Ghana, Sierra Leone, Rwanda. Burkina Faso and Botswana. We look forward to sharing more about these in future editions of Focus.

With many countries’ ambitious clean energy targets looming on the horizon, it is notable that we are working on both green hydrogen transactions (in Africa and the Middle East) and numerous projects (in Africa and Asia) that incorporate battery storage systems as a key component. The Trinity team recently hosted a series of insightful seminars on this topic, and in this edition of Focus Lucy Johnson, Senior Associate, has turned her attention to certain key issues when developing and financing battery storage projects in emerging markets.

In addition to considering the rapid increase in the development of battery storage projects in recent years, our team have explored the various foreign exchange challenges faced in the projects we work on across frontier markets and the protections available against potential financial instability, as well as the latest case law emerging from the English courts with respect to fixed and floating charges.

As mentioned in the previous edition, we launched our disputes and arbitration practice across the London and Paris offices and the team has hit the ground running. Recently, Natasha Peter, Partner, joined a panel at Paris Arbitration Week to discuss recent case law developments and Poupak Anjomshoaa, Partner, moderated a panel discussing the impacts of and fallout from the Covid-19 pandemic in the mining industry at the World Association of Mining Lawyers 2023 Conference in Germany. The Trinity team also enjoyed meeting many of our clients at London International Disputes Week and joining the conversation about international arbitration and dispute resolution in emerging markets.

On the topic of conferences, we are pleased to be sponsoring the Africa Energy Forum in Nairobi and are looking forward to hosting our annual Trinity party. We hope to see you there!

The Trinity Team

Financing Battery Storage in Emerging Markets

With countries across the globe facing ambitious clean energy targets, and the proliferation of intermittent renewable power generation, it is no surprise that energy storage systems are fast becoming an essential component in the development of energy markets worldwide. In this article, we consider the reasons why this is the case, as well as certain key issues when developing and financing battery storage projects in emerging markets. Read more.

FX Challenges in Power and Infrastructure Projects in Africa: Contractual and Non-Contractual Protections

Foreign exchange (FX) challenges pose significant risks to the viability and financial stability of the projects we work on across frontier markets. In this article, we explore the various FX challenges faced in those projects and discuss both contractual and non-contractual protections available to mitigate these risks. Read more.

The Spectrum of a Fixed Charge: Re Avanti Communications Limited (In Administration)

In the first major case since the seminal House of Lords decision in Re Spectrum Plus, the court analysed the existing case law and academic commentary on fixed and floating charges and held that the chargee’s security was fixed, despite the chargor having some limited rights to dispose of some of the assets without the chargee’s consent. We consider the impact of this decision and whether it provides any further clarity on this vital charging instrument. Read more.