Project Description
The proposed project involves a US$150 million debt financing package for ContourGlobal Hydro Cascade CJSC (the “Company”, an existing IFC investee company) in Armenia. In July 2015, the Company acquired the 404.2MW Vorotan cascade hydropower generation plants in southern Armenia, including the 76MW Spandaryan (commissioned in 1989), the 171MW Shamb (commissioned in 1979) and the 157.2MW Tatev (commissioned in 1970) plants along the Vorotan River (together, the Vorotan Cascade). The Vorotan Cascade is among the main power generation complexes in Armenia, providing both peak and base load generation, and performing grid stabilization services. The Vorotan Cascade is supported by a system of five reservoirs: Spandaryan, Angeghakot, Tolors, Shamb and a daily regulation reservoir.
The US$150 million debt financing will include a proposed IFC A Loan and mobilization through an IFC B Loan and/or parallel loans. The purpose of the debt is to primarily finance the second installment of the acquisition and repayment of bridge financing.