The U.S. Export-Import Bank approved loans for more than $150 million worth of American-made energy equipment that will head to Uruguay and Mexico.
In specific, Ex-Im Bank approved a $78.6 million direct loan to Abengoa, a company in Seville, Spain, that applies technology solutions for sustainable development in the energy and environment sectors. It also approved a $73.6 million direct loan to Palmatir S.A., a 50-megawatt wind farm in Cuchilla de Peralta, Uruguay, which is owned by Abengoa.
The Palmatir S.A. loan is Ex-Im Bank’s first wind transaction in Uruguay, and it is the largest in the country’s history from the bank. The bank’s loan will support the purchase of 25 wind turbines from Gamesa Technology Corp., which has its North American headquarters in Trevose, Pa. The loan will also help to finance ancillary services and local costs in Uruguay associated with construction of the wind farm.
“These two transactions demonstrate the strength of American energy technology and highlight the importance of this growing sector,” said Ex-Im Bank Chairman and President Fred P. Hochberg in a statement. “In order for the U.S. to compete globally, our companies must continue to produce cutting-edge energy technology.”
The bank’s loan to Abengoa will support the purchase of three General Electric 7FA gas turbines and two generators for use in the 642-megawatt Centro Power Project in Morelos, Mexico. The American exports will be used to help build a power plant for Mexico’s public electric utility.
According to the Abengoa, Ex-Im Bank's support for this project was needed due to foreign competition and limited availability of long-term loans.