TRP is owned 53.1% by P&O Australia Ports Pty Ltd., 39.4% by the AIG-GE Capital Latin American Infrastructure Fund L.P., 5.0% by Mitsui & Co. Ltd. and 2.5% by FMO. P&O Australia Ports Pty Ltd. is a world leader in port development and operation, operating 27 container terminals in 18 countries, with other cargo handling interests and logistics operations in more than 100 ports around the world.

The total project cost is estimated at $98.5 million. The proposed IFC investment comprises an A Loan of $35 million, for IFC’s own account, and a syndicated B Loan of $10 million, for the account of participant banks.

35.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	35.0
Equity

* These investment figures are indicative

TRP’s terminals are located in the Port of Buenos Aires (Puerto Nuevo).

The Port of Buenos Aires is the country’s largest port; about 40% of Argentina''s foreign trade and more than 90% of container traffic pass through the port. TRP operates three of the five terminals of the port. In Argentina, imports and exports have grown each from about 12% of GDP in 2000 to some 23% in 2005. Thus, as Argentina becomes more integrated in the global economy, an efficient Buenos Aires port operation brings substantial benefits to the country. IFC''s proposed investment in TRP will help the Company increase port handling capacity and operating efficiency. Increasing volumes of trade handled by TRP’s terminals will benefit consumers, producers and transporters alike.

IFC worked with TRP in 2001 to arrange the refinancing of its debt following the acquisition of TPA in 2000, but the onset of the Argentine crisis prevented IFC from completing the transaction. Given Argentina’s improved economic situation and TRP’s need to expand to meet a growing market demand, the Company would like to fund its current investment program and refinance its existing debt. IFC’s proposed investment would help TRP achieve this objective. IFC will provide long-term financing at a tenor which is not otherwise available. In assisting TRP, IFC would help a port operation whose increasing efficiencies support Argentina’s export-oriented industries. IFC’s involvement will also help mobilize other long-term financing through a B loan.

This is a Category B project according to IFC’s Procedure for Environmental and Social Review of Projects. The following potential environment, health and safety and social impacts of the project were analyzed during appraisal:

- Health, Safety and Environmental organization and management;
- Compliance with the International Ship and Port Safety Code (ISPS);
- Liquid effluent and storm water management;
- Oil/hazardous materials storage and handling;
- Waste disposal;
- Ship support operations;
- Handling and storage of dangerous cargoes;
- Maintenance dredging and dredge spoil disposal;
- Emergency response planning and preparedness; and
- Employee health and safety (including training).

The review of this project consisted of appraising technical and environmental/social information submitted by TRP. Based on this review, IFC concludes that the proposed project will meet the applicable World Bank/IFC environment and social policies and environmental, health and safety guidelines upon successful implementation of the agreed mitigation measures.
Location of environmental documents In locally affected community
Environmental documentation will be made available at the following locations:

- www.trp.com.ar

- Terminales Rio de la Plata S.A.
Av. Ramón S. Castillo y Av. Cdro. Py
1104, Buenos Aires
Argentina