1. The project finance termsheet Broad characteristics: 12 mln USD for expansion of power plant. Two year grace (construction) period, reimbursement over five years. underlying construction contract: fixed price, with built-in risk mitigants of which the benefits are assigned to the bank fund disbursement strictly controlled: money directly to suppliers security package; includes title over everything financed by the bank, until the full loan is reimbursed. Conditions on the external environment: government energy policy Conditions with respect to the operational efficiency and profitability of the power plant, backed up by guarantees Reimbursement structure through assignment of payments.

2. The project finance termsheet: the elements of the structure General overview Bank Suppliers Power company Fuel suppliers Insurance Electricity offtaker Government Independent consultants Local bank Service providers

3. The project finance termsheet: the elements of the structure Bank Suppliers Power company Underlying construction contract Assigned to bank Performance bonds, warranties, “fines” for not meeting contract specifications Engineering, procurement and construction contract, to deliver a fully operational plant on a date-certain, fixed price basis. Insurance Construction All Risk Insurance

4. The project finance termsheet: the elements of the structure Bank Suppliers Power company Fund disbursement 1. 15 % cash deposit 4. Invoices 5c. Subject to endorsements, payment of invoices against L/C 3. Opening of L/Cs to provide for progress payments 2. Performance bonds Independent consultants 5a. Endorsement

5. The project finance termsheet: the elements of the structure Bank Suppliers Power company Security package Charge over 55% of shares, negative pledge, no dividends agreement Performance bonds etc. Service providers O&M/supply contracts, with penalty provisions Assignment of penalty payments to bank Insurance Bank takes charge over all the assets financed. Property insurance, including cover for business interruption etc.. Escrow Assigned to bank

6. The project finance termsheet: the elements of the structure Bank External environment Government Undertaking not the change the concession agreement, and not to obstruct in any way the operation of the facility Power company Power company needs to obtain all necessary consents, approvals, registrations and authorizations.

7. The project finance termsheet: the elements of the structure Bank Suppliers Power company Ensuring the project´s profitability A) Delay Liquidated Damages; B) Buydown Liquidated Damages, payable in case certain operating criteria are not met. C) Warranties on equipment Fuel suppliers Put or pay fuel supply agreement, with penalty provisions Insurance Property insurance, including cover for business interruption etc.. Assigned to bank Electricity offtaker Take or pay offtake contract with local electricity company, supported by local standby L/C. Prices to be linked

8. The project finance termsheet: the elements of the structure Bank Power company Reimbursement mechanism Electricity offtaker Take or pay offtake contract with local electricity company Local bank Escrow Binding agreement under which the local bank receives all electricity payments Undertaking to remit monthly an agreed proportion of the bills collected.