Engie Chile UCL

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 The proposed investment entails an up to ten-year senior unsecured Green and Sustainability-Linked Loan (“SLL”) for up to US$[400] million to Engie Energía Chile S.A. (“EECL” or the “Company”). EECL is a leading integrated utility company in Chile and subsidiary controlled by Engie S.A (“Engie” or the “Sponsor”), an existing client of IFC. The use of proceeds would consist of financing or refinancing of capital expenditures (incl. VAT and IDCs) of solar and battery energy storage systems (BESS) incurred in the last 36 months (including acquisitions), as indicatively follows: • - Parque Solar Coya, Capacity: 180MW, Location: Maria Elena, Antofagasta Region• - Parque Solar Capricornio, Capacity: 88MW, Location: Antofagasta, Antofagasta Region• - BESS Coya, Capacity: 139MW, Location: Maria Elena, Antofagasta Region• - BESS Capricornio, Capacity: 47MW, Location: Antofagasta, Antofagasta Region• - BESS Tamaya, Capacity 68MW, Location: Tocopilla, Antofagasta RegionAdditional renewable energy projects may be developed by EECL and may be considered for use of IFC proceeds, provided they meet the agreed upon criteria as described below, such that E&S impacts are limited. The financing will exclude Monte Redondo wind power and Parque Andacollo solar projects, any new wind power assets or high voltage transmission lines. The proposed investment would follow IFC’s criteria for structuring unsecured covenant-lite corporate loans as well as the Green and Sustainability-Linked Loan principles, which do not result in a) significant involuntary resettlement, b) risk of adverse impacts on lands to which indigenous peoples maintain collective attachment, c) significant risks to, or impacts on, the environment including biodiversity, or d) significant occupational health and safety (OHS) risks. Engaged in a decarbonization pathway, Chile has committed to becoming a net zero emission country by 2050. EECL, by investing in renewable energy projects, is contributing to this transition. The investment plan will enable EECL to reduce CO2 emissions from its energy production activities in Chile by 80% by 2026, as compared to 2018 levels.