The project sponsor is IEH, owned 88.33% by an investment vehicle (the “InterEnergy Fund”) managed by InterEnergy Partners Ltd. (“InterEnergy”) and 11.33% by investment vehicles managed by Portland Private Equity (“Portland”). InterEnergy’s majority and controlling shareholder is Basic Energy Ltd. (Bahamas) (“BEL”), which is also an anchor investor in the InterEnergy Fund. InterEnergy’s minority shareholder is InterBolsa Investments Ltd. (BVI). BEL is led by Mr. Rolando Gonzalez Bunster, an Argentinean entrepreneur who was the pioneer in the independent power producer (IPP) industry of the DR. Portland is a firm founded and led by Mr. Michael Lee-Chin, a prominent Jamaican born Canadian citizen.

IEH owns interests in three operating companies: (i) Consórcio Energético Punta Cana Macao S.A. (“CEPM”), which is 100% owned through its holding company CEPM Energy Ltd. (Cayman); (ii) La Compañía de Electricidad de San Pedro de Macorís S.A (“CESPM”), which is controlled by IEH through an aggregate 60% interest in its parent company CESPM Holdings Ltd (Cayman) controlled by IEH; and (iii) La Empresa Generadora de Electricidad Haina S.A. (“EGE Haina”) through a 51.3% indirect economic interest in Haina Investment Company Ltd. (BVI), the private sector investor in EGE Haina with 50% interest.

IFC will invest up to $50 million in equity. In addition, ALAC is considering an up to US$50 million equity as well. IEH will use the proceeds from the IFC/ALAC Fund equity investment to fund its pipeline projects.

50.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan
Equity	50.0

* These investment figures are indicative

IEH is incorporated in Cayman Islands. Its existing and planned future investments will be located in the Caribbean and Latin America.

Development impact from the proposed IFC/ALAC equity investment is manifold. The Company is among the few domestic/regionally based IPP companies in the Caribbean region and considers "high developmental impact" synonymous with "long-term commercial success" as its core strategy. IEH through BEL invested in the sector when others were exiting, and has successfully turned around then-problematic companies (e.g. EGE Haina and CESPM) or started out distribution utilities in remote places where there was no electricity supply to support tourism development (e.g. CEPM and CEB) Thus, the Company''s success is hoped to help catalyze more generation investments and companies following a similar long-term developmental perspective in the DR and the region. The projects within the pipeline, if successful, could alter the energy map of the DR region with a profoundly positive economic impact - a significant reduction in electricity generation costs and an alleviation of balance of payment problems.

IFC has closely collaborated in the past with BEL. BEL relied on IFC for long term loans for financing one of its operating subsidiaries, CEPM- an 8.25 MW wind power project in 2005 and a transmission project in 2007. IEH will leverage on IFC''s sector and country-specific knowledge and will work together with the IFC in determining potential projects to invest in. IFC''s equity participation in the Company would be a natural evolution of this close working relationship between IFC and a private sector company, whose focus is to achieve higher commercial returns through investments facilitating economic development in frontier regions/countries. In this context, the proposed IFC investment would contribute to: (i) supporting a DR-based, second-tier sponsor to grow regionally (i.e. south-to-south transactions), (ii) promoting power sector investment in countries with challenging sector environments, (iii) enabling IEH to mitigate the risk of its investment through IFC''s international sector experience and World Bank relationships.

Indicator	Metrics	Comments	Calendar Year 2022	Calendar Year 2023	Calendar Year 2024
Taxes and Other Payments ($M)	Annual Payments ($M)		Not Available	Not Available	Not Available
Employment (#)	Female Employment (#)		Not Available	Not Available	Not Available
Employment (#)	Total Employment (#)		Not Available	Not Available	Not Available
Infrastructure: Power Generation (GWh and Customers #M)	GWh Produced		Not Available	Not Available	Not Available
Infrastructure: Power Generation (GWh and Customers #M)	Residential Customers		Not Available	Not Available	Not Available
CORE - Occupational Injury: Frequency (per million man-hours)	New Injury Cases (#)		Not Available	Not Available	Not Available
CORE - E and S Management Systems (Y/N)	System Improved		Not Available	Not Available	Not Available

This is a Category A investment because of the potentially significant and diverse environmental and social impacts and risks associated with IEH’s CAPEX program: a Greenfield LNG terminal and an associated 30-40 km gas pipeline to connect the LNG terminal to its various power generation assets; a power transmission line to interconnect the DR with Haiti; and potential additional solar and wind generation projects, among others. Key risks and issues related to this investment include the Company’s capacity to: i) undertake adequate social and environmental assessment commensurate with the impacts of the Company’s projects during both construction and operations phases including the assessment of potential cumulative impacts; ii) manage the social, environmental, health and safety performance of its contractors in accordance with good international practice; iii) ensure fair, safe and healthy working conditions during construction and operations for direct employees as well as for the contract workers; iv) ensure proper handling of hazardous materials, and management of air emissions, wastewater, solid and hazardous waste during construction and operations; and v) ensure appropriate management of the impacts of construction and operations on local ambient air quality, community health, safety and security and consult and engage with potentially project-affected communities in accordance with local requirements and IFC Performance Standards. IEH companies have been operating energy generation facilities and transmission lines in the Dominican Republic for over 20 years, and have demonstrated capacity to manage such facilities in compliance with local ESHS regulation and aligned with good international industry practices (GIIP). For a summary of potential ESHS impacts and risks of this Project, IEH’s proposed ESHS management strategy, as well as any additional specific measures IEH will be required to implement to ensure compliance with the IFC Performance Standards on Environmental and Social Sustainability please refer to the Environmental and Social Review Summary (ESRS).

Please refer to the related Environmental and Social Review Summary (ESRS) document for this project.

Please refer to the Environmental and Social Action Plan (ESAP) tab in the related Environmental and Social Review Summary (ESRS) document for this project.