The Export-Import Bank has authorized a $64.5 million loan to finance four power units in the People's Republic of China.
"The U.S. Ex-Im Bank agreed to provide financing in the amount of $65 million to the Huaneng Power Co. for four coal-fired electric power units, marking the first Ex-Im Bank loan commitment to China since 1981," said Treasury Secretary James A. Baker III.
An international partnership will build the four units, two at Shijiazhjuang and two at Nantong, for the Huaneng International Power Development Corp. of Beijing.
The total cost of the project is estimated at $588.6 million.
The partnership includes General Electric Co. of New York, Babcock and Wilcox of Canada, Ansaldo-Impianti of Italy and China International Water and Electric Corp.
GE will be responsible for turbine generators; Babcock and Wilcox for the boilers; Ansaldo for civil engineering and balance of plant equipment; and China International for civil works and labor.
The Ex-Im Bank's loan will be made to the Bank of China at an annual interest rate of 8.8 percent. Repayment is in two schedules of 20 semiannual payments.
Financing for other portions of the project will be provided by Canada's Export Development Corp. and Chinese provincial and municipal governments. Inter-American Development Bank
The Inter-American Development Bank authorized a loan of $74 million to help build a 55,000-kilowatt power plant in Costa Rica, according to the monthly IADB newsletter.
The project will involve building the first stage of a geothermal power plant at Miravalles, the first of its kind in Costa Rica.
The total cost of the project is $151 million.
There will be international public bidding among IADB member countries on the goods imported with resources from the loan and on the contracting of firms to drill commercial wells for the project.