Brazil’s BNDES bank approves loan to Enersul, of Energias do Brasil group

4 September 2007

Rio de Janeiro, Brazil, 4 Sept – Brazilian bank, Banco Nacional de Desenvolvimento Económico e Social (BNDES) has granted a 57.3 million real loan to power distribution company Enersul, of the Energias do Brasil group, the bank said on its Internet site.

The BNDES financing, which is to be applied to Enersul’s investment program until the end of the year, will be granted indirectly via the Santander banespa and Banco do Brasil banks.

According to the statement, the Enersul investment program will ensure the acquisition of new customers and increased power consumption, allowing for reduced losses and improvement of quality indicators established by the sector regulator, ANEEL.

The investments are classified into four main areas, totalling 37 sub-projects, such as replacement of equipment at sub-stations, replacement of materials across the entire existing distribution network, acquisition of metering equipment for transformation stations and reduction of power losses focused on fighting fraud.

Enersul, which is a wholly-owned subsidiary of EDP-Energias do Brasil, is a power distribution company present in 73 municipal areas of the state of Mato Grosso do Sul, which account for 92 percent of the total area of the state.

The company’s current regional system is made up of 54,466 kilometers of network distribution cables.

Energias do Brasil, which is controlled by Portuguese power company EDP-Energias de Portugal, is listed on the new market of the Sao Paulo stock exchange. (macauhub)