Chile - Rapel and Huasco Power Project

R E S T R I C T E D Report No. P-213 FILE COPY This report was prepared for use within the Bank. In making it available to others, the Bank assumes no responsibility to them for the accuracy or completeness of the information contained herein. INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT REPORT AND RECOMMENDATIONS OF THE PRESIDENT TO THE EXECUTIVE DIRECTORS ON A PROPOSED LOAN TO THE CORPORACION DE FOMENTO DE LA PRODUCCION (FOMENTO) AND EMPRESA NACIONAL DE ELECTRICIDAD S.A. (ENDESA) IN CHILE December 21, 1959  TNTERNATICNAL BtSNK FOR RECONSTRUCTION A D DEVELOPM7ENT REPORT AND REOI'{RNDATIONS OF T-HE PRESIDENT TO THE EXECUTIVE DIRECTORS ON A PROPOSED LOAN TO CORPORACION DE FOMENTO DE LA PRODUCCION AND EN4PRESA NACIODIAL DE ELECTRICIDAD S.A. IN THE REPUBLIC OF CHILE 1. I submit herewith the following report and recommendations on a proposed loan in an amount equivalent to $32.5 million to Corporacion de Fomento de la Produccion (Fomento) and Empresa Nacional de Electricidad S.A. (Endesa) to finance the foreign exchange cost of expanding Endesats power facilities. PART I -- HISTORICAL 2. The first loan made bAy the Bank for economic develoDnment--as distinc-t from reconstruction--was a loan of $13.5 million made on March 25, 1948, to Fomento and Endesa to finance an early stage of Endesa's program of power development, which included the installation of 81,4 MW of hydro- electric generating capacity and related'facilities. The plants have all been-l in operation since 1955