The sale of 56.71% of the shares the Republic of Colombia owns in the Empresa de Energia del Pacifico S.A. E.S.P. is expected to be completed by the month of May. The minimum price established by the Colombian Government is 550 million dollars. EPSA is a vertically integrated company that serves the Departamento del Valle del Cauca and has a generation installed capacity of 841 MW.
Other opportunities for power generators result from the current development of the gas pipeline of national coverage, which will allow to build new gas-fired plants in a variety of locations, like the following that are already being developed :
- Termoberrio (300 MW) ;
- Casanare (160 MW) ;
- TermoSantander (96 MW) ;
- Mamonal 3 (150 MW) ;
- TermoEmcali (220 MW) ;
- TermoOpon (200 MW).
Additionally, ISAGEN S.A. E.S.P. is currently promoting, among others, the following generation projects :
- construction of the TermoCesar (300 MW) coal-fired thermal plant under a BOOM scheme ;
- development and construction of the Sogamoso River Hydroelectric Project, which would have an installed capacity of 1035 MW ;
- Andaqui Project for the development of the Caqueta River, which would have four generation units with an installed capacity of 700 MW ;
- Encimadas and Canaveral Hydroelectric Projects, which would have an installed capacity of 94 MW and 68 MW respectively.
A second phase of the privatization plan includes initially the distribution companies that supply the Departments of Cauca, Narino, Tolima, Quindio and the Electric Company of the Atlantic Coast -CORELCA- and its subsidiaries; for said purpose private investment bankers are being contracted as advisors to the Government of Colombia, in order to implement the definitive required strategies.
Prepared by Jose Luis Suarez and Gonzalo Alvarez from Gomez Pinzon & Asociados. These notes are intended to provide only a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
GOMEZ PINZON & ASOCIADOS Carrera 9 No. 73-24 Pisos 1, 2, 3 y5 Santafe de Bogota, Colombia Telephone: 571 - 310 7055/5066 Facsimile: 571 - 310 6646/6657 http://ourworld.compuserve.com/homepages/GOMEZP_LAW