POLARIS ENERGY NICARAGUA S.A
Status: Completed investmentWhy disclosure?
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In case of questions
In case of questions, please contact us at disclosure@fmo.nl
Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
Polaris Energy Nicaragua S.A. (PENSA) owns the San Jacinto Tizate geothermal concession covering a 40 km2 area near León, Nicaragua. This area is estimated to have a geothermal resource of more than 200 MW capacity.
What is our funding objective?
FMO's investment will fund the development and construction of a geothermal power plant. The two-phased 72 MW San Jacinto Tizate Geothermal Project is located in the vicinity of several young active volcanoes.
Why do we fund this investment?
Nicaragua is highly dependent on expensive fossil fuels, which contribute to greenhouse gasses and have resulted in a structural balance of payment deficit for the country. The project aims to offset more than 350,000 ton of CO2 equivalents per year. Moreover, geothermal energy provides a clean source of energy for the base load of the country. FMO provides much needed long-term funding in order to increase Nicaragua’s energy supply to reduce power outages.
More investments
| Date | Total FMO financing |
|---|---|
| 12/22/2021 | USD 60.40 MLN |
- Region
- Latin America & The Caribbean
- Country
- Nicaragua
- Sector
- Energy
- Effective date
- 8/10/2011
- End date
- 7/5/2022
- Total FMO financing
- USD 8.00 MLN
- Funding
- Building Prospects
-
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - B+