1. Overview and Significance
Barun Law LLC advised a consortium of major domestic financial institutions, arranged and syndicated by Hana Bank and Hana Securities, in connection with a project financing (PF) loan of approximately KRW 168.7 billion for the largest solar power generation facility in Jeju, with a total installed capacity of 108MW located in Seogwipo-si. Barun Law successfully provided comprehensive legal advice throughout the transaction, from negotiations on financing agreements and drafting and execution of major project contracts to supporting the initial fund withdrawal.

2. Uniqueness of the Transaction and Barun Law's Role
This project involves a power trading structure under which renewable energy generated by the facility is sold directly to private corporations through a so-called "Direct PPA (Direct Power Purchase Agreement)" scheme, as recognized under the Electric Utility Act.

In addition, the project is subject to the renewable energy bidding system newly introduced in Jeju. Leveraging its legal expertise and in-depth understanding of the Direct PPA regime and the renewable energy bidding system, Barun Law rendered tailored advice for the transaction.

Unlike typical PF structures in which a special purpose company (SPC) directly obtains permits and licenses for project development, this transaction adopted a structure whereby the SPC acquired and operates all contractual rights and positions, including permits, licenses, and site land use rights (surface rights) that had already been obtained by the investor for the solar power facility under development.

Accordingly, identifying and securing the assets and rights essential for project execution emerged as a core issue. Barun Law conducted thorough legal due diligence on the investor, reflected the findings in key financing documents (such as loan agreements and security documents) as well as major project contracts (including the power purchase agreement, EPC contract, O&M agreement, and asset transfer agreement), thereby ensuring the stability and legal completeness of the transaction structure.

3. Conclusion
Through this engagement, Barun Law once again demonstrated its expertise and experience in project finance for diverse renewable energy sectors, including solar, wind, and fuel cell projects. Going forward, Barun Law will continue to provide optimal legal services for increasingly diverse and complex financial transactions.