Grid expansion in Chile: KfW IPEX-Bank finances four power grid projects
News from 2018-12-27 / KfW IPEX-Bank
KfW IPEX-Bank is contributing a total of approx. USD 120 million to the financing of four power grid projects of Transelec Concesiones S.A., Chile's largest power grid operator. The Canadian EDC and the Japanese bank MUFG are providing additional debt capital of around USD 240 million. The total investment volume adds up to approx. USD 435 million.
In providing the financing KfW IPEX-Bank is supporting the export of European technology and know-how as the main construction and operating components are to be supplied by Siemens AG. The Spanish company Abengoa and the French construction firm Engie are also each party to one of the projects.
The power grid projects involve the construction of two new substations - Nueva Charrúa and Nueva Porto Montt - including the respective transmission lines as well as the construction and expansion of two complementary transmission lines including the substations Los Changos 1 and Los Changos 2.