ATE VII – Foz do Iguacu Transmissora de Energia S.A.

active

In November 2006, Abengoa was awarded in a competitive bidding process organized by the regulatory agency ANEEL the 30-year contract to build and operate a 116.4-km transmission line located in the state of Parana (Cascavel Oeste – Foz do Iguacu Norte). Besides Abengoa, eleven other companies took part in the contest: ESP - EMPRESA DE ENERGIA DE BOGOTA; CPFL ENERGIA; SCHAHIN ENGENHARIA S.A.; CME - CONSTRUÇÃO E MANUTENÇÃO ELECTROMECÂNICA S.A. ; ELETROSUL CENTRAIS ELÉTRICAS S.A.; COPEL TRANSMISSÃO S.A.; ALUSA COMPANHIA TECNICA DE ENGENHARIA ELETRICA; ISA - INTERCONEXIÓN ELÉCTRICA S.A. E.S.P.; TERNA PARTICIPAÇÕES S.A.; CONSÓRCIO FUAD RASSI - J. MALUCELLI; ELECNOR S/A. The initial winner in the bidding process was Alusa, which later waived its rights, and the project was then granted to Abengoa. The bidding criteria set by ANEEL was the lowest required annual revenue. The lowest offer presented was of US$ 2.65 million (BRL 5.78 million), 8.3% below the ceiling set by the regulatory agency. The contract was signed in October 2007, and the sponsor created the company ATE VII – Foz do Iguaçu Transmissora de Energia S.A. to lead the project during the 30-year contract period. A Abengoa Holding atualmente controla ATE VII – Foz do Iguacu Transmissora de Energia S.A. The sponsor committed US$ 27.4 million (BRL 54.8 million) in the transmission line. Financial closure was achieved in June 2009, when the sponsor was granted a US $ 21.15 million (BRL 42.3 million) loan from BNDES. The remaining cost was set to be financed with the sponsors’ internal resources.