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MDGIF Investment Policy Statement

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Applicable to: MDGIF Project Promoters
Equity Partners
MDGIF INVESTMENT POLICY STATEMENT (MIPS)

Code: MDGIF Guide 1001 - 2024

Effective Date: 17th May 2024

This document is a property of the Midstream and Downstream Gas Infrastructure Fund. All rights reserved.
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ii.
All idle funds would be invested in short-to-medium term, low-risk financial instruments
to generate income while prospecting for profitable and commercially viable
investment opportunities in the midstream and downstream gas sector.
iii.
The Executive Director shall manage investment of the MDGIF’s idle funds on a day-
to-day basis in line with this MIPS and investment program approved by the Governing
Council.
4.11.2 Investment Criteria for Idle Funds
i.
Liquid instruments: Idle funds are only permitted for investment in instruments that are
highly liquid and easily convertible to cash, to allow the MDGIF quick and flexible
access to capital when a profitable midstream and downstream gas infrastructure
project emerges. The MDGIF shall maintain a sufficient level of liquidity to meet its
cash flow requirements.
ii.
Low-risk: The investments should be low-risk to protect the capital and ensure the
preservation of funds for the eventual investment in the gas infrastructure
opportunities.
iii.
Instruments: The idle funds should be invested in instruments which may include, but
are not limited to; money market instruments, short-to-medium term government
securities, or certificates of deposit (CDs).
iv.
Yield: The investments should provide a reasonable yield that is consistent with short-
to-medium term investment returns.
v.
Currency: The MDGIF shall invest its idle funds in instruments denominated in both
local and foreign currencies with the ultimate goal of preserving capital in its original
currency value while prospecting for suitable midstream and downstream gas
infrastructure investment opportunities.