Chilectra Initiates Second International Electricity Bid

Chilectra Initiates Second International Electricity Bid

September 26, 2006

 

    *  New call for bids is being issued jointly with
Electrica de Puente  
       Alto Ltda., Electrica Municipal de Til Til,
Electrica de Colina Ltda.  
       and Luz Andes Ltda., and involves around 78,000 GWh,
which amounts to a  
       transaction worth more than US$3.9 billion.  
 
    *  As part of the process, the companies inviting bids
conducted a road  
       show in New York and Paris, attended by executives
from major energy  
       companies and investment fund representatives. The
Chilean delegation  
       was accompanied by government officials led by
Chilean President  
       Michelle Bachelet   
  
    *  This megabidding process seeks to assure Chile's
energy supplies  
       for the 2010-2024 period and involves a total of
300,000 GWh, worth  
       US$10 billion.  
 

    SANTIAGO, Chile, Sept. 26 /Xinhua-PRNewswire/ --
Chilectra, Chile's main distributor of electricity,
together with Electrica de Puente Alto Ltda., Electrica
Municipal de Til Til, Electrica de Colina Ltda. and Luz
Andes Ltda., issued a second call for international bids to
provide Chile's electricity supply for the 2011-2025 period,
within the terms of Law 20.018.  

    (Logo:
http://www.newscom.com/cgi-bin/prnh/20060926/ARTU001LOGO )


    This second bid, involving around 78,000 GWh and valued
at more than US$3.9 billion, according to current market
prices, follows the first round called for in April 2006,
seeking to guarantee Chile's electricity supply for the
2010-2024 period, with a total 300,000 Gwh, worth an
estimated US$10 billion.  

    Guillermo Perez del Rio, Manager of Energy Regulation
and Management at Chilectra, explains, "Our companies
account for the largest consumption in the Metropolitan
Region, where 40% of Chile's population is located as well
as 45% of the electricity consumption of all distributors
in the country. We're confident that with this second call
for bids we will continue to make the entry of new
generating capacity viable in the Interconnected Central
System, ensuring a safe, reliable supply for all our
regular clients."  

    There are three products being put up for bid by
Chilectra and its associated companies, all of equal annual
energy and different durations (11, 13 and 15 years).
Bidders may offer energy and power in one or more of the
products put up for bid, and the supply can be partially or
totally awarded.  The procedure that has been implemented
for awarding bids seeks to obtain the lowest final price
while providing the total amount of supply required.   

    Bidding conditions can be acquired by Chilean or
foreign corporations, individually, via consortium or
association as long as they have a risk classification
greater than or equal to B in the last 12 months or fulfill
the specifications in the bidding conditions. 

    Bidding conditions are available at
http://www.licitacion.cl , and also at Chilectra's office,
located at Santa Rosa 76, 8th floor, Santiago, from 9:00
a.m. to 3:00 p.m., at a cost of US$5,000.  

    The deadline for submission of bids is Tuesday, July 3,
2007. 
 
    For more information, please contact: 

     Gloria Salgado Rubilar 
     Manager External PR 
     Tel:   [phone] 
 
SOURCE  Chilectra S.A.