JBIC, 3 Banks to Give 200-M.-Dollar Loans to Power Supply Project in Mexico

JBIC, 3 Banks to Give 200-M.-Dollar Loans to Power Supply Project in Mexico

Jul 20 - Jiji Press English News Service

Kyushu Electric Power Co. said Tuesday that its electricity supply project in Mexico, to be launched jointly with Mitsubishi Corp. , will receive 200 million dollars in loans from the government-affiliated Japan Bank for International Cooperation and three commercial banks.

The commercial banks include the two Japanese banks of Bank of Tokyo-Mitsubishi and Mizuho Corporate Bank and Britain's Standard Chartered Bank.

A special purpose company, owned 70 pct by Mitsubishi Corp. and 30 pct by Kyushu Electric Power, will on Wednesday begin the construction of a 495,000-kilowatt thermal power plant in Tuxpan, Veracruz, some 250 kilometers northeast of Mexico City.

Under a 25-year contract with Mexico's electricity agency, Comision Federal de Electricidad, the company will supply power chiefly to the capital from September 2006.

The project is estimated to cost some 300 million dollars.

The Mitsubishi-Kyushu Electric pair already has been operating another 495,000-kilowatt plant at a nearby site in Tuxpan.

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