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IFC Financing to Termorubiales Power Plant Supports Increasing Energy Needs of Colombian Oil Field


In Bogota:
Angela Maria Fonseca
Phone: (57 1) 319 2335
E-mail:
amfonseca@ifc.org

In Washington D.C.:

Adriana Gomez
Phone: (202) 458 5204
E-mail:
agomez@ifc.org

Zibusiso Sibanda
Phone: (202) 473 0605
E-mail: zsibanda@ifc.org


Washington, D.C./ Bogotá, Colombia, November 17, 2009—IFC, a member of the World Bank Group, will provide  a $16.5 million loan to Colombia’s Termorubiales S.A. to build a power plant that will help ramp up production of the Rubiales oil field to more than 100,000 barrels a day.

This will support the Colombian government’s goal of increasing local oil production and private investment in the oil and gas sectors through the reliable provision of electricity.

The new Termorubiales power plant, located in Eastern Colombia, will help resolve a bottleneck of energy supply that the Rubiales oil field faces due to its remote location and lack of access to the national electricity transmission grid. The plant will have an effective gross capacity of 64.5 megawatts at a cost of $68.5 million. It is being developed by the Miami-based Energy International Inc, and is receiving additional financing from Corporación Andina de Fomento and the Inter-American Investment Corporation.

“The investment in Termorubiales by IFC and other multilateral agencies clearly reflects confidence and support in the Colombian power and oil sectors, said” Brett Hall, Vice President of Finance at Energy International. “We are pleased to have IFC as a partner as we help develop these sectors that are essential for Colombia’s economic and social development.”

Bernard Sheahan, IFC Director for Infrastructure, said, “IFC is very pleased to work with Energy International, a key player in the power sector, in its operations to expand electricity services in Latin America.”  


IFC’s strategy in Colombia focuses on supporting sectors that are essential to social and economic development, including infrastructure, health, education, and public-private partnerships to build ports, roads, and airports. IFC assists leading Colombian companies modernize and expand their businesses internationally. IFC also promotes access to finance for micro, small, and medium enterprises. In fiscal year 2009, IFC committed $224 million to private sector projects in Colombia. As of October 2009, IFC’s committed portfolio in the country was nearly $1 billion, its third largest in the Latin America and the Caribbean region. For more information about IFC in the region, please visit: www.ifc.org/lac.

IFC is the only international financial institution focused exclusively on the private sector, the engine of sustainable development in emerging markets. Along with IBRD, it is currently seeking a capital increase to strengthen its ability to create opportunity for the poor in developing countries—including by helping address energy supply challenges in Colombia.

About IFC
IFC, a member of the World Bank Group, creates opportunity for people to escape poverty and improve their lives. We foster sustainable economic growth in developing countries by supporting private sector development, mobilizing private capital, and providing advisory and risk mitigation services to businesses and governments. Our new investments totaled $14.5 billion in fiscal 2009, helping channel capital into developing countries during the financial crisis. For more information, visit www.ifc.org.

About Energy International
Energy international is a full-service engineering, procurement and construction company concentrating our expertise in the energy production market. For more information, visit www.energyinternational.com.