Transfield Names Chile Power Banks

Transfield Services has selected Calyon, HSBC and WestLB to arrange construction financing for the Central Kelar coal-fired power plant in northern Chile. The Australian developer has a contract to build at least 340MW of capacity, but the facility is expected to be up to 660MW and cost some $1.0bn-$1.2bn. The makeup of the financing has not been determined, and syndication is not expected until the spring. The plant should be on line in 2011, and will supply 340MW of power to BHP Billiton’s Escondida and Spence copper mines in the Antofagasta region under a long-term contract, as well as additional power to the grid. Earlier this month, Transfield entered the country with the purchase of 50% of mining services provider Instrumentacion y Servicios for 16m Australian dollars.