Revista Nueva Minería

It is expected in early December remains defined the short list of potential buyers, which must submit non-binding bids

At least a dozen of companies have looked at so far 50% of Gasatacama 50% which is held by the investment fund Southern Cross (SC).

Knowledgeable of the process, which has seen the signing of confidentiality agreements with all participants commented that Electricité de France (EDF) is one of the companies contacted by Goldman Sachs, the investment bank that is responsible for the disposal of the percentage of the electric utility operating in the Northern Interconnected System (SING).

This is a new approach of state giant gala to the national electricity market, as recently formalized its partnership with Local Australis Power to study the development of the Octopus project, initiative located in the Bio Bio Region, which includes the installation of a floating regasification terminal of liquefied natural gas (LNG) and the construction of a complex of generation from this fuel.

The European would assume operation of the power plant and participate as a partner in the regasification plant, next to the U.S. Cheniere.

Short List in December

Knowledgeable of the operation said that this operation is still in informal stage, which would extend for at least a month, until early December.

At that time, it will be defined a short list of stakeholders who will have access to details of the numbers and the reality of the company, which considers hold meetings with the administration of the generator, headed by general manager Rudolf Araneda. After that, the companies made non-binding offers that will lead to the due diligence phase.

The sources explained that at this stage, potential buyers that were contacted agreed to the background produced by the investment bank.

However, the process is expected to close during the first months of 2014.-

With 767 MW of net installed capacity divided into two units, Gasatacama is the largest natural gas thermoelectric complex in the country and in late July amid the valuation differences, Endesa Chile, which owns the other half of the company, denied to using their preferred option for 50% of the firm, percentage with through arbitration, Southern Cross in 
 offered U.S. $ 300 million.

This milestone unlocked the sale by the fund linked to entrepreneurs Raul Sotomayor and Norberto Morita, which was released in 2011 to divest ownership of electricity, as the shareholders’ agreement with a subsidiary of Enersis in 2007 when Southern Cross bought 50% in U.S. $ 80 million, provided for the prohibition of sale for a period of three years.

The contract signed with a group of mining companies, to avoid bankruptcy of the company in 2007, forces Gas-Atacama to deliver up this year and at its cost a capacity of 600 MW as a backup to the SING.

Source: Diario Financiero