The loan is being financed by DBS, OCBC, Standard Chartered, HSBC and UOB.

Singapore Telecommunications’ (Singtel) regional data centre arm, Nxera DCT, has secured a $643 million five-year green loan to finance the development of a new 58MW data centre in Tuas, or DC Tuas.

The loan is being financed by DBS Bank, Oversea-Chinese Banking Corporation (OCBC), Standard Chartered, the Hongkong and Shanghai Banking Corporation (HSBC) and United Overseas Bank (UOB). All the banks have also been appointed as green loan coordinators.

According to Singtel, the proceeds will fund the development and capital expenditure of DC Tuas, which is said to be Singapore’s most hyper-connected green data centre with the highest power density. DC Tuas achieved the Green Mark Platinum certification awarded by the Building and Construction Authority (BCA) and Infocomm Media Development Authority (IMDA).

DC Tuas, which will be operational in 2026, will support the growing enterprise demand for high quality and sustainable digital infrastructure. The data centre will offer a high-density environment that is suitable for artificial intelligence (AI) workloads and operate at a power usage effectiveness of below 1.25 at full load, which is said to be one of the most efficient in the industry.

DC Tuas will also integrate next-generation cooling that can support computing power of over 30kW per rack.

“Sustainability is a core part of our data centre business, and we are committed to developing and growing the industry’s most sustainable, next-generation digital assets,” says Arthur Lang, Singtel’s group chief financial officer (CFO). “This loan will enable us to support Singapore’s digital economy while reducing our carbon footprint in keeping with our net zero goals.”

Shares in Singtel closed 2 cents higher or 0.62% up at $3.23 on Feb 6.