ICBC’s Argentina branch provides $50 million USD loan to Vientos Neuquinos S.A. for Vientos Neuquinos wind farm project in May 2019

On May 20, 2019, Vientos Neuquinos S.A. took out a $50 million USD loan with ICBC Argentina. The loan will be used for partial financing of the construction of the Vientos Neuquinos 100MW wind farm in Argentina. The loan carries an interest rate of 8.032% with quarterly maturities, spread with 15 quarterly payments and an 18-month grace period. The loan fully matured on February 8, 2023. Construction for this windfarm was contracted with C&I customers under MATER PPA’s. Nordex was selected to render EPC services and supply turbines for the wind power project. Nordex served as the O&M contractor for a period of 2 years. On April 30, 2019, Vientos Neuquinos signed an addendum to the construction contract with Nordex Wind Power to acquire 5 additional wind turbines and the definition of the power of each phase of the project was modified, resulting in a first Phase of 79.7 MW and a second Phase of 20.8 MW under the same contracting conditions. The final project consists of 29 units of AW 132/3000 turbines, each with 3.465MW nameplate capacity. Vientos Neuquinos started operations in the fourth quarter of 2019. As of December 31, 2019, the degree of physical progress of the work was 61% and after the end of the year, Vientos Neuquinos requested a 90-day extension, estimating the completion date of the work during the second quarter of 2020. The project reached full operations in February 2020, increasing 14GWh production. Construction was officially completed in September 2020, adding 30GWh.

Additional details

1. This loan carried a 8.032% interest rate. Sources reported that this loan accrues interest at a variable rate (3-month Libor + 5.50%. AidData calculated the interest rate as follows: 2.532% [average 3-month LIBOR in May 2019] + 5.50% = 8.032%.

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