Waste management/disposal

The proposed investment is a senior loan, of BRL42 million (approximately US$16 million), to Foxx URE BA Ambiental Ltda (the "Project Company") for the construction of a greenfield Waste-to-Energy ("WtE") facility in the municipality of Barueri, So Paulo, Brazil (the "Project"). Along with IFC, Caixa Econmica Federal ("Caixa") will also be providing a senior loan to the Project Company of BRL183 million (approximately US$69 million). The Project`s sponsor, Haztec Investimentos e Participaes S.A. ("FoxxHaztec"), is the first company to win a mass burn WtE contract in Brazil and is the third largest waste management company in Brazil. Municipal Solid Waste ("MSW") incineration and WtE refer to the same basic process of mass burning of MSW with an added energy-recovery component in the case of WtE. In 2011, FoxxHaztec was awarded by the municipality of Barueri, through a competitive process, a 30 year private public partnership ("PPP") contract to build operate and transfer a WtE facility in Barueri. The WtE facility will have a processing capacity of 825 tons/day (300,000 tons/year), sufficient to process the waste of Barueri`s 270,000 inhabitants and additional waste from surrounding municipalities corresponding to about 550,000 inhabitants. With an installed capacity of 19MW and a 17.3 MW continuous power generation capacity (14.75MW net capacity) the WtE plant is forecasted to produce approximately 117giga watt hours for export to the grid. The WtE facility will take 3 years to construct and will employ 47 people during operations.

Brazil