Vila do Conde Transmissora de Energia Ltda.

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In March 2005, the consortium Vila do Conde Transmissora de Energia Ltd. was officially awarded a contract by ANEEL, Brazil’s power regulator, to construct, operate and maintain a 324km, 500Kv transmission line in northern Para state for 30 years. The project was designed to carry power from the Tucurui power plant, safely discharge its full generating power, and supply the power needs of Para state. Vila do Conde Transmissora de Energia Ltda. was equally owned by Isolux SA, Elecnor SA and Cobra Instalaciones y Servicios SA. The project was previously tendered on September 30, 2004 at a public auction. The winning was offered by Isolux SA for 36% below annual maximum revenues. In December 2006, BNDES, the Brazilian development bank, financed US $87.4 million for the construction, operation and maintenance of the transmission line. Total investment requirements were estimated at US $125.5 million. At this time, BNDES also financed #3777 Cuiaba – Itumbiara Transmission Line and #4353 Porto Primavera - Dourados – Imbirissu. MIGA issued a guarantee to Cobra Instalaciones y Servicios SA for $US 5.4 million to cover its $6.0 million equity investment in a transmission line project in the State of Para, Brazil. The coverage is against the risks of transfer restriction and breach of contract for up to 15 years. In March 2010, the shareholding structure was again modified when a Chinese state – owned company, SGID, acquired Vila do Conde Transmissora de Energia and other transmission projects from Plena Transmissora de Energia (Isolux, 33,3%; Elecnor, 33,3%; Cobra Instalaciones y Servicios, 33,3%), which held 100% of the shares of the project company at the time the transaction took place. SGID invested US$ 1.72 billion (BRL 3.1 billion) in the acquisition of Plena Transmissora de Energia. MIGA issued a guarnatee to Cobra Instalaciones y Servicios SA in 2007 for $US 5.4 million