Chad Said to Seek Delayed Repayments on Glencore-Led Oil Loans

Chad is seeking to delay repayment of more than $1 billion of Glencore Plc-led oil-for-cash loans after crude prices plunged, the second time the African country has looked to restructure the debt in two years, according to people familiar with the matter. Glencore has approached the banks that supported the deal to start talks, while Chad has already appointed financial and legal advisers for the discussions, the people said, asking not to be named because the matter is private, Bloomberg News reported. The proposed rescheduling highlights the risk Glencore and the banks have taken in Chad, lending the landlocked country the equivalent of almost 15 percent of its gross domestic product. The country, with few sources of foreign exchange other than oil, is one of the most underdeveloped countries in the world, ranking 184th out of 198 in the United Nations Human Development Index. "Glencore is engaged in constructive discussions with the government and banking partners," the company said in an emailed statement. The debt negotiations come as the relations between Glencore and Chad cool. Read more.
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