US$140 million to build Sogamoso Hydroelectric Plant

(Bogota, December 10, 2009).- CAF approved a US$140 million loan for the public utility Isagen S.A. to cofinance construction of the Sogamoso Hydroelectric Plant ((Hidrosogamoso) which will be one of the five largest power generating plants in Colombia.

"It is very important for CAF to contribute to the strengthening of the Colombian energy sector which, in addition to being critical for the country's economic and social development, has been given priority by the national government as one of the sectors of the Productive Transformation Program with a view to achieving world status," CAF President & CEO Enrique García said.

Hidrosogamoso will increase the power generating capacity of Isagen S.A. by 38% from its current 2,132 MW. Located in Santander department in northwest Colombia, the project will have an installed capacity of 820 MW, contributing 5,056 GWh/year to the national power grid, equivalent to 50% of the consumption of Bogota and about 10% of the power consumed in the country in a year.

Isagen S.A. is a public service utility joint venture, attached to the Colombian Ministry of Mines and Energy, which generates and markets electric power. It is the third largest generator in the country by installed capacity.

The total cost of Hidrosogamoso will be approximately US$1.74 billion and the plant is planned to come into operation in 2014.