Siderurgica de Guatemala, S.A. (Aceros)

completed

Summary Of Project Information (SPI)Project NameGuatemala - Sidegua S.A. (Sidegua)    RegionLatin America and CaribbeanSectorProject No007057Projected Board DateOctober 6, 1996Company NameSidegua S.A. (Sidegua or the Company)Technical Partner and/or Major Shareholders Sidegua S.A. is 100% owned by Aceros de Guatemala S.A.. Project Cost Including proposed IFC investment Project cost is estimated at US$51.6 million (of which US$38.2 million represent the construction of a power plant and the balance of US$13.3 million entails upgrading and modernizing the existing steel facilities. IFC’s total investment will be US$25 million (of which US$18 million A Loan, and US$7 million B Loan).Location of project and Description of site Escuintla Department, 67 kms south of Guatemala City, where Sidegua’s mini-mill is located.Description of Company and Purpose of Project Sidegua is a sister company within the Aceros de Guatemala Group (“ The Group ”). It manufactures billets, a key raw material for The Group’s final products, which are: rebars, profiles, sheets, wire and flats. The Group was established in 1963. It is the leading supplier of steel products in Guatemala and the only one with steel melting facilities producing from scrap the steel billets for the rolling mills. Sidegua’s proposed US$51.6 million investment program to be implemented by mid 1998 will help the Company to reduce production costs and obtain a more streamlined and efficient plant configuration to meet the growing demand for its products. Environmental Category and Issues This is an environmental category B project according to IFC''s environmental review procedure. The is from the Public Information Center.Host country location of environmental documentsCentro de Energía Escuintla, Avenida de las Americas 18-81, Zona 14. Guatemala City, Guatemala.Date SPI sent to PIC September 6, 1996 For Additional Information contact: Corporate Relations Unit -telephone: (202) 473-7711facsimile: (202) 676-0365Environmental 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).