Central Saltillo S.A.

completed

Summary Of Project Information (SPI)Project NameMexico - SaltilloRegionLatin America and CaribbeanSectorProject No009595Projected Board DateNovember 30, 1999Company NameCentral Saltillo S. A. de C. V.Technical Partner and/or Major Shareholders The project sponsor is Electricite de France International, S. A.Project Cost Including Proposed IFC Investment The total project cost is US$160 million. IFC''s investment will comprise US$35 million in "A" loan and US$45 million in "B" loan.Location of Project and Description of Site The Saltillo site is located near the municipality of Saltillo in the industrial zone of Ramos Arizpe, approximately 80 kilometers west of Monterrey in northern Mexico.     Description of Company and Purpose of Project Electricite de France International S.A. (EDFI), the project sponsor, is a wholly owned subsidiary of Electricite de France (EDF), the French government-owned utility. Established in 1992, EDFI is EDF’s investment arm outside France for power generation, transport and distribution. EDFI assets are currently estimated at US$4.8 billion equivalent. The purpose of the project is to design, construct, own and operate a 250MW base load power plant. The project configuration includes one Westinghouse 501 F combustion turbine generator (CGT) rated at 180 MW (ISO), a recovery steam generator ("HRSG") and a 107 MW steam turbine generator. The proposed technology (501F Westinghouse gas turbines) is considered an advanced technology with high thermal efficiency of about 55%. The plant output will be sold to Comisión Federal de Electricidad under a 25-year power purchase agreement. By investing in Saltillo, IFC will continue to support large and visible high priority infrastructure projects, play a significant mobilization role to provide the required long-term debt maturity, introduce advanced efficient and environmentally friendly technology and low cost power to Mexico. Combined cycle power projects using natural gas are an efficient and cleaner alternative energy source to fuel oil to meet the growing demand for power in Mexico. The IFC investment will also help develop the Monterrey area by providing greater access to gas and reliable power for local industrial production. The project will procure locally up to 32% of its construction material, equipment and labor, and will provide electricity to CFE at a very low cost. Environmental Category and Issues This is a category A project under IFC’s environmental review procedures. Environmental and social issues associated with this project include: air emissions and air quality impacts; noise from plant operation; water supply and availability; liquid effluents; construction of associated facilities (gas pipeline, transmission line, etc.); fire protection and emergency response; general workplace safety; and economic dislocation caused by land acquisition for the power plant or associated facilities. The sponsor prepared an Environmental Impact Assessment (EIA) that addresses these issues and demonstrates that the project will comply with the Government of Mexico and World Bank environmental requirements. The EIA also includes documentation on the results of a comprehensive public consultation program. The EIA has been released in-country and to the World Bank InfoShop. The is from the Public Information Center.Host country location of environmental documents(1) Municipality of Ramos Arizpe (until end of October 1999). (2) Compania Mexicana de Ingenieria y Servicios S.A. de C.V. (COMINSE) office in Ramos Arizpe.Date SPI sent to InfoShop October 28, 1999“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”For Additional Information contact: Corporate Relations Unit -telephone: (202) 473-7711facsimile: (202) 974-4384Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).