Financial close achieved for USD204 million Transmission project in Uruguay

IDB Invest, a member of the IDB Group, is providing US$87 million worth of financing for Uruguay’s Financial Trust for the closing of the 500 kV Transmission Ring (Tacuarembó-Salto) project.

The project involves the design, construction, operation, and maintenance of a 365-kilometer-long transmission line at a 500 kV voltage, which will interconnect the substations at the Departments of Tacuarembó and Salto. In addition, as part of the planned works, the Chamberlain substation will be built and the Salto substation will be reinforced. The project complements the 500 kV Melo - Tacuarembó transmission line, another operation also financed by IDB Invest.

The project, with a total cost of US$204 million, is financed by a US$67.6 million IDB Invest loan and a US$20 million mobilization from donor funds managed by IDB Invest. The financial plan will be completed with capital contributions from the sponsor, the National Administration of Power Plants and Electric Transmission (UTE), and a local bond issue.