Ram Power gets USD-160m loan for geothermal project in Nicaragua

Aug 17, 2011 - US-based geothermal energy company Ram Power Corp (TSE:RPG) on Monday said it had fulfilled the resource requirements to close a USD-160-million (EUR 111m) credit facility for the 36 MW second-phase expansion of its San Jacinto-Tizate project in Nicaragua.

The company said it had met all conditions to borrow under the credit facility and requested an initial draw of USD 104 million, with some USD 35 million of the amount being distributed to it to compensate part of its equity investment and the remaining amount being used for future project costs for the next four months and contingency reserves.

Ram Power has met the needed injection capacity for the two expansion phases of the existing 10 MW geothermal project.

Construction of the project's 36-MW first-phase expansion is 85% finished. Mechanical completion is slated for October and start of operation seen by the end of the year, the company said.

Ram Power added that it had amended the USD-77-million credit facility for the first phase, and now it totals USD 85 million.

(USD 1 = EUR 0.694)

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