norsc - Project Finance is secured against a specific project rather than corporate facility which is generally unsecured but looks at overall corporate metrics. Generally Project Finance will as you pointed out look at the specific performance of the secured project and not have covenants around e.g. the market cap derived/credit rating of the company which a corporate facility or corporate bond likely would.
Central have now built Dingo and brought it on to production, the vast majority of revenue is from from fixed price take or pay gas contracts. So you would say construction risk and pricing related risk that could cause the bank to ask for repayment are small (NEGI was not approved when Central bought Mereenie so it is highly unlikely this features in anyway). This suggests that Central have to continue managing operations including operating costs in order to pay back the debt - frankly this is vastly favourable to where many oil and gas companies find themselves at the current time.
CTP Price at posting:
10.5¢ Sentiment: Buy Disclosure: Held
