Tbilisi International Airport

complete

The proposed project will include: (a) construction of a new international terminal, car park, improvements to the apron, taxiway and runway and acquisition of ground handling equipment at Tbilisi International Airport; and (b) construction works and modernisation of equipment and systems at Batumi Airport. The construction works are expected to be completed by the end of 2006 at Tblisi International Airport and by the mid-2007 at Batumi Airport. The new passenger terminal is required to support growing international traffic. The implementing Agency and the Borrower for the Project is TAV Urban Georgia, a concessionaire and SPV for the construction and operation of Tbilisi International Airport. The project will contribute to transition in the following ways: TAV Urban Georgia, the Borrower, is a Special Purpose Vehicle (‘SPV’) established by the Sponsor to implement the project and represents a legal party to BOT (Build, Operate and Transfer) concession with the Tbilisi International Airport Company. The investment is a senior loan of USD 25.9 million to TAV Urban Georgia. The project will be co-financed with the International Finance Corporation (‘IFC’) who will provide a senior loan of USD 25.9 million. The total project cost is USD 77 million. The project was screened B/1. Environmental due diligence, including a site visit by the Bank’s Environmental Specialist confirmed that environmental issues associated with the construction of new airport terminal and modernisation of existing facilities are unlikely to have significant environmental impacts and will bring about safety benefits. An Environmental Impact Assessment (EIA) has been undertaken in accordance with national requirements and an Environmental Management Plan (EMP) is being developed to ensure that the construction and operation of the new international terminal will meet International Civil Aviation Organization (ICAO) standards of safety and environment and applicable Georgian and EU environmental standards. None. TAV Urban Georgia Investment Construction and Operation Tel: (+995 32) 934052 Fax: (+995 32) 920958 Website: www.tav.com.tr Serkan KAPTAN, TAV Investments Director, Istanbul Ataturk International Airport 34149 Yesilkoy, Istanbul – TURKEY Tel: +90 212 465 55 55 ext. 6033 Fax: +90 212 465 31 00