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Presentación De Powerpoint INFRASTRUCTURE GAP 2016-2025 GAP BY INDUSTRY THROUGH 2025 Other 28% Transport 36% Strategic pillar: Telecoms 17% Energy 19% Total gap: US$ 159,6 billion Source: AFIN NATIONAL INFRASTRUCTURE PLAN STATE MINISTRY OF ECONOMY AND FINANCE o REGIONAL GOVERNMENT PROPOSES o LOCAL GOVERNMENT o MINISTRIES APPROVES PREPARES COMPILED BY MULTIANNUAL INVESTMENT PLAN MINISTERS CABINET MULTIANNUAL INVESTMEN REPORT Strategic planning: Choose right projects OBJECTIVES Promotion: One stop shop for potential investors Follow up: Follow up and accountability GOVERNMENT INITIATIVES Proposals from ministries, regional governments or local governments to build infrstructure or public service projects PLANNING AND Multiannual Investment Plan prepared PROGRAMMING Three year time horizon FORMULATION Determine if technically, financially and legally feasible as PPP project Draft bid documents and project contract STRUCTURING Comments and suggestions period Call for bids Short listing TRANSACTION Proposal filing and assessment Award Contract signed CONTRACT Project built EXECUTION Follow up and oversight 4 UNSOLICITED PROPOSALS Projects filed by the private sector CO-FINANCED SELF-FINANCED 1.- Filed with Pro Inversión on a fixed 1.- Filed with PROINVERSIÓN,ministries, date regional or local governments at any time 2.- Accepted for procesing 2.- Accepted for procesing 3.- Statement of relevance 3.- Statement of relevance 4.- Pre-investment studies prepared 4.- Evaluation report drafted 5.- Viability statement 5.- Project evaluation 6.- Evaluation report prepared 6.- Project structuring 7.- Statement of Interest published (within 7.- Statement of Interest published (within 90 days) 90 days) Have third parties sent expressions of Have third parties sent expressions of interest? interest? NO YES NO YES Direct award Selection process Direct award Selection process PORTFOLIO 2017-2020 54 projects Estimated investment: US$ 20.226 billion Real Estate US$ 500 Irrigation US$ 1,018 Mining US$ 1,950 Energy US$ 1,407 Education US$ 331 Water & 54 sanitation US$ 1,082 Transport US$ 12,176 Telecom US$ 299 Health US$ 1,463 ACCOMPLISHMENTS 2017 US$ 3,065 MM 11 PROJECTS - US$ 971 BILLION TRANSPORT o Amazon waterways AMOUNT: US$ 95 MM / #:1 o Junín wide band TELECOMMUNICATIONS o Amazonas wide band o Puno wide band AMOUNT: US$299 MM / # 7 o Ica wide band o Lima wide band o Tacna wide band o Moquegua wide band ENERGY o TL Aguaytía-Pucallpa AMOUNT: US$603 MM / # 3 o TL Tintaya – Azángaro o Mantaro and Nueva Yanango links Awarded CHALLENGES 2018 24 PROJECTS - US$ 7,305 BILLION¹ 1418 proyectos proyectos - -US$ US$ 1,206 4,560 MMMM US$ 3,065 MM • Salaverry Port Terminal (UP) • Ringroad(UP) TRANSPORT • Huancayo Huancavelica railway • Longitudinal Sierra Highway - Segment 4 AMOUNT: US$2,976 / #: 5 • National navigation aids (PI) WATER AND SANITATION • Tambo and Chilca – Junín Waste Water Treatment Plant (UP) AMOUNT: US$994 MM / #: 3 • Titicaca WWTP (UP) • Headwater works REAL ESTATE • Ancón Industrial Park AMOUNT: US$500 MM / #: 2 • Lima Convention Center MINING • Colca mining project * AMOUNT: US$1,950 MM / #: 3 • Michiquillay Copper Deposits Feb18 • Jalaoca mining project * ENERGY / HYDROCARBONS • Mass use of natural gas • New Planicie substation AMOUNT: US$ 596 MM / #: 8 • Gas transport grid – South Peru* • Compensador MVAR San Juan • Carabayllo TL and Trujillo substation • Modernization of ENOSA (IP) * • Carhuaquero* substation • Street Lighting in Arequipa • ESSALUD-Piura HEALTH • ESSALUD- Áncash AMOUNT: US$289 MM / #: 3 • Hospital waste management (UP) *Amount to be defined ¹Not including unsolicited proposals worth US$863 million. CHALLENGES 2019- 2020 19 PROJECTS - US$ 11,811 BILLION¹ 1418 proyectos proyectos - -US$ US$ 1,206 4,560 MMMM US$ 3,065 MM • Line 3 of Metro of Lima TRANSPORT • Line 4 of Metro of Lima • Longitudinal Sierra Highway - Segment 4 AMOUNT: US$ 9,200/ #: 3 WATER AND SANITATION • Sullana WWTP (UP) AMOUNT: US$88 MM / #: 3 • Puerto Maldonado (UP) • North (UP) HEALTH • Sullana Hospital – Piura (UP) • Cayetano Heredia Hospital –(UP) AMOUNT: US$1,174 MM / #: 6 • Hipolito Unanue Hospital (UP) • Militar Central Hospital (UP) • Huaycan Hospital (UP) • ESSALUD Lima EDUCATION • CER Ate – San Juan de Lurigancho (UP) • CER Comas – San Martin de Porras (UP) AMOUNT: US$ 331 MM/ #: 5 • CER Villa Maria del Triunfo (UP) • CER Lima Metropolitana • COAR Centro (UP) IRRIGATION • Valley Chanchay – Lambayeque (UP) AMOUNT: US$ 1,018 MM / #: 2 • Ica Valley (UP) *Amount to be defined ¹Not including unsolicited proposals worth US$1,100 million. 10 UNDER STRUCTURING UPGRADE OF THE Objective. To design, finance, build, operate and maintain the 500 kV transmission line in Peru’s middle north region and provide a Reactive CARABAYLLO - Variable Compensation equipment for the Trujillo SS. These projects will CHIMBOTE - strengthen the 500 kV transmission system comprised in the National Interconnected Electric System (SEIN). TRUJILLO 500 KV, TRANSMISSION LINE Responsible body : Ministry of Energy and Mines . 1000 MVA. Modality: Self-financed government initiative VARIABLE REACTIVE Investment amount (w/o VAT): USD 64.4 million COMPENSATOR Term: 30 years plus construction time (33 months). (SVC OR SIMILAR) +400/-150 MVAR FOR Area of influence: Lima, Ancash and La Libertad THE TRUJILLO 500 Estimated award time: Second half 2018 KV SS 11 PREPARATION STAGE REACTIVE VARIABLE Objective: Improve the reliability of power supply to Lima region. COMPENSATOR Responsible body : Ministry of Energy and Mines (SVC OR SIMILAR) Modality: Self-financed government project +400/-100 MVAR FOR Investment amount (w/o VAT): USD 24.8 million THE SAN JUAN 220 Term: 30 years plus construction time (24 months). KV SS Area of influence: Lima Estimated award time: 2018 12 UNDER STRUCTURING NEW LA PLANICIE Objective: Provide electric power to Lima’s urban área 500/220 KV SS Responsible body : Ministry of Energy and Mines Type of project: Self-financed government initiative Investment amount (w/o VAT): USD 20 million Term: To be determined Area of influence: Lima Estimated award time: 2018 13 PREPARATION STAGE NEW Objective. To design, finance, build, operate and maintain a SS (switch CARHUAQUERO 220 yard) for easier line handling in Chiclayo and Cajamarca, in Peru’s north KV SS region. Responsible body : Ministry of Energy and Mines Type of project:: Self-financed government initiative Investment amount (w/o VAT): USD 9.5 million Term: 30 years plus construction time (30 months) Area of influence: Cajamarca Estimated award time: First semester 2018 14 UNDER STRUCTURING MODERNIZING THE Purchase through a new Special Purpose Corporation (EPE in Spanish) the right to subscribe new shares in ELECTRO NOROESTE S.A. ELECTRO (ENOSA) accounting for at least 50% of stock. FONAFE would cede its NOROESTE S.A. subscription rights to the EPE over at least 217,972,175 new Class E shares for a total value of S/. 1,.536,893, with face value of S/.1.00 each POWER UTILITY plus a S/. 0.50 subscription premium. Responsible body : Ministry of Economy and Finance, Ministry of Energy and Mines, FONAFE Modality: Unsolicited proposal in Assets projects Investment amount (w/o VAT): USD 101 million Area of influence: Piura and Tumbes Estimated award time: Second half 2018 15 16 TRANSACTION OPEN MASSIVE USE OF Objective: To design, finance, build, operate and maintain natural gas distribution pipeline networks in seven (7) regions of Peru´s NATURAL GAS. Center and South, and their transfer to the Peruvian State at the CENTRAL AND end of the concession period. SOUTHERN PERU Responsible body: Ministry of Energy and MInes Modality : Self-financed government initiative Investment (exc. VAT): USD 350 million Concession term: 32 years Influence area: Ucayali, Junín, Huancavelica Ayacucho, Apurímac, Cusco and Puno Estimated award date: First half 2018 17 18 UNDER STRUCTURING MICHIQUILLAY Objective: Developing Michiquillay, a porphyry copper and molybdenum deposit over 1 billion MT, with 0.63% Cu and 0.014% Mo grades, and a MINING PROJECT potential production rate of 80 thousand tons of ore per day. Responsible body: Ministry of Energy and Mines Modality: Self-financed government initiative Investment amount (w/o VAT): USD 1.95 billion Area of influence: Cajamarca, La Encañada district, at 3 950 masl Estimated award date: First Half 2017 19 PREPARATION STAGE COLCA MINING Objective: Developing a copper - gold porphyry project spanning 14,100 hectares. Two important mineralized zones have been identified, PROJECT surrounded by other important properties with clear mining potential. Further drilling would define the deposit´s potential and size. Responsible body: Ministry of Energy and Mines Investment amount (w/o. VAT): ): To be determined Concession term: To be determined Area of influence : Cotabambas and Tambobamba distrricts, Cotabambas province, Apurímac department. Estimated award date: 2018 20 PREPARATION STAGE JALAOCA MINING Objective: Developing two of the four identified targets: Pucasalla, a Cu- Au porphyry-skarn deposit, and Llamoja, a Cu-Mo porphyry deposit. PROJECT Further drilling would help determine the deposit´s potential and size. Responsible body: : Ministry of Energy and Mines Modality : Self-financed government initiative Investment amount (w/o. VAT): To be determined Concession term: To be determined Area of influence : Apurímac department Aymaraes and Antabamba provinces, at 4 500 masl. Estimated award date: 2018 21 22 TRANSACTION OPEN LONGITUDINAL DE LA Objective: To provide for improvement and rehabilitation works (117 km),
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