Milton von-hesse - inPERU

PERU: INVESTMENT OPPORTUNITIES IN MINING, ENERGY AND INFRASTRUCTURE

Milton von Hesse La SernaExecutive Director

2. Peru: A country with mining and energy potential

3. Projects portfolio: 2012 - 2013

1. Peru: An attractive investment destination

INDEX

PERU: AN ATTRACTIVE INVESTMENTDESTINATION

PROINVERSIÓN is a public agency, under the scope of the Ministry of Economy and Finance. It is self-governed intechnical, functional, administrative and budgetary matters.

19961991

1991-2002 Comission for the Promotion of Private Investment(COPRI) and Special Committees / Leg. Decree N°674 – Law on the

Promotion of Private Investment in State-owned Companies

1998 2002

2002 – to date PROINVERSIÓN

Executive Division FOPRI + COPRI + NationalCommission of Foreign Investment and Technology(CONITE) + Management of Economic Promotion ofthe Comission for the Promotion of Peru –PROMPERÚ / Supreme Decree 027-2002-PCM

1996-1998 Comission forthe Promotion

of PrivateConcessions–PROMCEPRI and SpecialCommittees

SupremeDecree 059-96

– PCM Concessions

Single RevisedText

PROMCEPRI dutiestransferred to

COPRI / UrgencyDecree N°025-98

Agen

cies

pro

mot

ing

priv

ate

inve

stm

ent

2008

Legislative Decree1012 – Framework

Law for PPP

PROINVERSION

PROINVERSION’S EXPERIENCE

Since 1991, COPRI (former commission for privatizations) and to date Proinversion, have carried out 381 projects achieving US$ 35 billion in investment commitments.

US$ 35 billion in investments for national development

Modality N° of processTransactions in US$ million

(VAT not included)Estimated Investment in US$

million (VAT not included)Privatizations 267 9,591 20,858Concessions 66 648 12,989Transfer options 23 23 438Capitalizations 4 897 -Private initiative 7 22 344FITEL's projects 11 - -Other modalities 3 178 247Total 381 11,359 35,040

Inflation (annual % variation )

MACROECONOMIC OVERVIEW

GDP real (annual % variation )

Outstanding macroeconomic performance over the last 10 years

5.04.0

5.06.8

7.78.9

9.8

0.9

8.8

6.9

0.0

2.0

4.0

6.0

8.0

10.0

12.0

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

1.52.5

3.5

1.5 1.1

3.9

6.7

0.2

2.1

4.7

0.01.02.03.04.05.06.07.0

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

Source: Central Reserve Bank of Peru - BCRP.

8.4 9.2 10.5 12.315.1

19.5

27.3

22.4

29.534.6

0

5

10

15

20

25

30

35

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

Private investment(US$ billion)

A FUTURE PERSPECTIVE

Source: IMF, Central Reserve Bank of Peru - BCRP.

3.0

3.4

3.7

4.3

4.7

4.8

6.0

Venezuela

Mexico

Argentina

Brazil

Chile

Colombia

Peru

GDP World and Peru(variation % real)

Peru will continue leading regional growth for the next years

Forecast - LATAM: Real GDP 2012-2014(Average annual % variation)

Source: IMF, Central Reserve Bank of Peru - BCRP.

4.0 4.0

1.5

-2.3

4.03.0 3.2 3.6 3.9 4.0

7.78.9

9.8

0.9

8.8

6.9 5.66.0 6.0 6.0

-4.0

-2.0

0.0

2.0

4.0

6.0

8.0

10.0

12.0

2006 2007 2008 2009 2010 2011 2012* 2013* 2014* 2015*

Mundo Perúworld Peru

Country S&P Fitch Moody�s

Chile A+ A+ Aa3Mexico BBB BBB Baa1Brazil BBB- BBB Baa2Peru BBB BBB Baa3Colombia BBB- BBB- Baa3Bolivia B+ B+ B1Venezuela B+ B+ B2Argentina B B B3Ecuador B- B- Caa2

The responsible economic policy granted Peru the investment grade and investors’ confidence

INTERNATIONAL CONFIDENCE RECOGNITION

Investment gradeLatin American benchmarking

Source: Standard & Poor`s, Fitch Ratings and Moody´s. Updated to March 2, 2012

Country

1 Chile

2 Peru

3 Uruguay

4 Colombia

5 Brazil

6 Paraguay

7 Argentina

8 Ecuador

9 Bolivia

10 Venezuela

Source: Annual ranking of top economies for business 2011, Forbes magazine

Peru ranks second in the list of the best places for doing business in Latin America

Non discriminatory treatment: Foreign investors receive the same treatment as localinvestors.

Unrestrictive access to most economic sectors *. Free transfer of capital. Free competition. Guarantee for Private Property. Freedom to purchase stocks from locals. Freedom to access internal and external credit. Freedom to pay royalties. Network of investments agreements and member of ICSID and MIGA. Peru participates in the Investment Committee of the Organization for Economic Co-

operation and Development (OECD) – It promotes the implementation of the Guidelines forMultinational Enterprises.

*Investments that require authorization: Located within 50 km in the frontier line and those destined to arms, ammunitions and explosive. Likewise, aprincipal local partner for investments in maritime cabotage as well as in air transport is required.

FRIENDLY INVESTMENT ENVIRONMENT

Peru offers a favorable legal framework for foreign investment …

PERU: A COUNTRY WITH MINING AND ENERGY POTENTIAL

Peru promotes private investments to foster competitiveness and sustainable development by encouraging PPP in infrastructure projects as well as

investments that make possible the country reaches its productive development

PERU

INVESTMENT OPPORTUNITIES IN A WIDE RANGE OF ACTIVITIES

PERU: A MINING COUNTRY

Source: U.S.Geological Survey-USGS – Report 2012

Metal South Americarank

World rank

Gold 1 6

Silver 1 3

Zinc 1 3

Tin 1 3

Lead 1 4

Copper 2 2

Leader in mining production

Metal World rank

% World reserves

Gold 8 4%

Silver 1 22%Zinc 3 8%Tin 6 6%

Lead 4 9%Copper 2 13%

Great mining potential to be explored

Peru is leader in mining production and is one of the countries with the largest reserves of silver, copper, zinc,

lead, tin and gold in the world

INVESTMENT WORLD DESTINATION IN MINING EXPLORATION 2011

Source: Metal Economics Group, 2012

In South America, Peru is the second most important destination for exploration after Chile

MINING PROJECTS

Copper Projects

Gold Projects

Iron Projects

The ongoing mining projects totals an estimated investment for US$53 billion

Source: Ministry of Energy and Mines, April 2012

Silver Projects

PERU: A COUNTRY WITH ENERGY POTENTIAL

Source: Ministry of Energy and Mines

Energy resources Total potential(MW)

Capacity used(MW)

Hydroelectric 70,000 3,118

Wind power 22,000 142

Biomass 450 27,4

Geothermal 3,000 0

Peru has a huge potential for energy generation

Peru’s energy matrixEnergy production 2011

Energy potential

Hydrocarbons Proven reserves Probable reserves

Oil (million of barrels) 582 942

Natural gas (billion of cubic feet) 12,462 10,622

Oil and gas natural reserves(2010)

Lots with exploitation contracts for oil operations 2010

Lots with exploration contracts for oil operations 2010

HYDROCARBONS OPERATIONS

PACIFIC OCEAN

BRAZIL

Source: Ministry of Energy and Mines.

Natural gas projectsOil projects

Dynamic private investment in hydrocarbons projects

SOME INTERNATIONAL COMPANIES THAT ALREADY INVEST IN PERU

Canadá

SILVER

GOLD

Canada

USA

South Africa

COPPER

Canada

Mexico

Switzerland

USA

China UK - Australia

South Africa

United Kingdom

PHOSPHATE

Brazil

ZINC

Canada

Peru

Brazil

Source: PERUPETRO, Ministry of Energy and Mines.

OIL AND NATURAL GAS

PROJECTS PORTFOLIO: 2012-2013


SECTOR N°PROJECTS

ESTIMATED INVESTMENT/TRANSACTION

(US$ MILLION)%

Roads 2 3,851 37%Railroad 1 3,000 29%Hydrocarbons 3 1,090 11%Telecommunication 3 718 7%Energy 5 585 6%Agriculture and irrigation 2 503 5%Airports 1 420 4%Ports and Navigability 2 139 1%Sanitation 1 36 0.3%Tourism 1 11 0.1%Culture 1 ---- ----Capital Markets 2 ---- ----Mining 2 ---- ----Total 26 10,352 100%

Private investment promotion process 2012 - 201326 projects


o Roads

o Railroads

o Airports

o Ports and navigability

o Energy

o Hydrocarbons

o Telecommunication

o Tourism

o Agriculture and irrigation

o Culture

o Sanitation

o Mining

o Capital markets

LIMA AND CALLAO ELECTRIC MASS TRANSPORTATION SYSTEM- LINE 2

Location: City of Lima.

Description: The project traverses 12 districts ofMetropolitan Lima with an extension around 35 km fromthe initial point in Ate to the final point in Callao.

It also comprises financing, design, construction,operation, provision of electromechanical equipment androlling material, and maintenance of the line.

• Estimated investment: US$ 3,000 million.

• Concession term: To be defined

• Type of concession: Comprehensive project bid.

Current status: The pre-investment studies are underelaboration and then the call for tender will be made.

Award date: IV Quarter 2013

TO BE CALLED

ELECTRIC MASS TRANSPORTATION SYSTEM NETWORK

Line 1 (South – North)From Villa El Salvador to San Juan de Lurigancho

Line 2 (East – West)From Ate Vitarte to Callao

Line 3 (South – North)From Santiago de Surco to Carabayllo

Line 4 (East –West)From Ate Vitarte to Callao

Line 5 (South – North)From Chorrillos to Miraflores

Location: Departments of Arequipa, Moquegua andTacna.

Description: Concession to build, operate and transfersections: Dt. Quilca – Dt. Arequipa; Dt. Matarani – Dt.Moquegua; Dt. Ilo – Tacna – La Concordia. It will havean estimated length of 430 km and will be part ofPanamericana Sur highway: Ica – border with Chile.

• Estimated investment (VAT not included): US$50.8 million approximately.

• Type of concession: Comprehensive project bid.Self-sustaining.

• Concession term: 25 years.

Current status: The final version of the contract ispublished on Proinversión’s web site and waiting foropinion by MTC, MEF and OSITRAN.

Award date: III Quarter 2012.

PANAMERICANA SUR HIGHWAY: ICA – BORDER WITH CHILE: SECTION DT. QUILCA – DT. AREQUIPA; DT. MATARANI – DT. MOQUEGUA; DT. ILO – TACNA – LA CONCORDIA

LA CONCORDIA

TACNADV. ILO

DV. MOQUEGUA

DV. AREQUIPA

DV. MATARANI

DV. QUILCA

AREQUIPA

MOQUEGUA

TACNA

THE CALL FOR TENDER WAS MADE

TO BE CALLED

Description: Concessions for building roads by sectionsestablished by the MTC to interconnect Peruvian townsand cities.Likewise, these roads will allow to lay pipelines alongthem for the installation of optical fiber.

• Estimated investment (VAT included): US$3,800million (approximately)

• Concession term: To be defined.• Current status: Under evaluation by the Ministry of

Transport and Communication –MTC, Ministry ofEconomy and Finance – MEF and Proinversion.

Award date: As from 2013

ROAD CONCESSIONS *

* Road section projects established by the MTC part of Longitudinal de la Sierra and Longitudinal de la Selva, IIRSA Centro among others are included.

NEW INTERNATIONAL AIRPORT OF CHINCHERO –CUSCO

Location: District of Chinchero, Province of Urubamba,Department of Cusco.

Description: Concession to design, build, finance, manage,operate, maintain and exploit the new internationalairport of Chinchero – Cusco.

• Estimated investment (VAT included): US$ 420million

• Type of concession: Comprehensive Project Bid.

• Concession term: 40 years

Current status: The scheme project is under evaluation.

Award date: As from 2013.


GENERAL SAN MARTÍN PORT TERMINAL (PISCO)

Location: District of Paracas, province of Pisco, region ofIca, 220km from Callao port.

Description: Concession to design, build, finance, maintainand operate the General San Martín port terminal. Estimated investment (VAT not included): US$ 93.20

million. Type of concession: Comprehensive project bid. Self-

sustained. Concession term: 30 years.

Current status: Promotion plan and reformulated TenderDocuments were approved.

Award date: I Quarter 2013


PACIFICOCEAN

UPGRADING AND MAINTENANCE OF NAVIGABILITYCONDITIONS OF RIVERS HUALLAGA, UCAYALI,MARAÑON AND AMAZONAS

Location: Rivers Huallaga, Ucayali, Marañón andAmazonas (Department of Loreto and Ucayali)

Description: Development of dredging works, andsignposting in order to assure the navigability andtherefore the traffic between the port terminals ofYurimaguas, Pucallpa and Iquitos.

Type of concession: Comprehensive project bid.Co-financed.

• Estimated investment (VAT not included): US$ 45.8million

Current Status: The final report of feasibility study isunder evaluation.

Award date: II Quarter 2013.

TO BE CALLED

MASS USE OF NATURAL GAS NATIONWIDE

TO BE CALLED

PACIFICOCEAN

Cities to be supplied : Trujillo, Chimbote, Huaraz, Arequipa,Moquegua, Ilo, Tacna, Cusco, Quillabamba, Juliaca, Puno,Ayacucho, Huancavelica, Abancay, Chiclayo, Lambayeque,Cajamarca, Huancayo, La Oroya, and Tarma. These cities will begrouped for concession purpose.

Description: The distribution system of natural gas includes: Land or sea transport of liquid or compressed natural gas

from the gas liquefaction plant Pampa Melchorita —170km south of Lima— to cities to be supplied.

Re gasification in the borders of the above-mentionedcities.

Supply of natural gas to final users through gas pipelines.• Estimated investment (VAT not included): US$ 600 million.• Type of concession: Comprehensive project bid. Self-

sustaining.• Concession term: 20 years.• Competition factor: Commitment of the largest number of

users connected. Current status: Technical studies are being carried out. The

commitment of liquid gas supply between the State and Repsolis pending to be signed.


Brazil

Location: Southern zone of Lima

Description: Concession to design, finance, operate, and maintain theLPG transport system from the producer facilities (Pisco) to Limaprovince border.The project includes:• A pipe of 250 km approximately from Pisco to a terminal located

between Lurín and Conchán. Initial transportation of 1,000 tonnesof LPG daily is estimated.

• A storage and service terminal to be placed between Lurín andConchán.

• Pumping station, measurement equipment, valve, pig traps andcommunication equipments.

• Estimated investment (VAT not included): US$ 90 million.

• Type of concession: Comprehensive project bid. Self-sustaining.

• Concession term: 20 years plus the construction period (28months).

• Competition factor: The lowest service cost.

Current status: The Tender Documents and the contract first versionare published on Proinversión’s web site.


SUPPLY SYSTEM OF LPG FOR LIMA AND CALLAO


Location: Province of Cañete, Department of Lima.

Description: Concession to design, finance, build, operate andmaintain a supply system that will allow to have a reserve ofliquid natural gas produced at the gas liquefaction plant ofPampa Melchorita - 170 km south of Lima - and re gasify it foremergency periods. The reserve will be used, if necessary, mainlyto supply thermal plants located in Chilca - 64 km south of Lima.

• Estimated investment (VAT not included): US$ 400 million.



• Competition factor: The lowest service cost.

Current status: The financing scheme and Tender Documents areto be defined .


LNG SUPPLY SYSTEM FOR DOMESTIC MARKET

TO BE CALLED

Pucallpa

Puerto Maldonado

STAND-BY RESERVE: 35-40 MW PUCALLPA PLANT AND 15 -18 MW PUERTO MALDONADO PLANT

Location : Departments of Ucayali and Madre de Dios.

Description: Concession of the power and energy supply tonational grid as a Stand-by reserve to ensure supply inemergency periods.

To guarantee supply, the design, financing, constructionoperation and maintenance of two new thermoelectric powerstations to be located in Pucallpa (35 -40 MW) and PuertoMaldonado (15 - 18 MW) is expected.

• Estimated investment (VAT not included): US$ 55million.


• Concession term: 20 years plus the construction period(24 months).

• Competition factor: The lowest remuneration per poweroffered.

Current status: There are three short-listed bidders: CobraInstalaciones y Servicios S.A., Consorcio Energias del Perú, andConsorcio Servicios Integrales de Energía.

Award date: 05.10.2012

PACIFIC OCEAN


220 kW CARHUAQUERO - CAJAMARCA NORTE CACLIC -MOYOBAMBA TRANSMISSION LINE

Location: Departments of Lambayeque, Cajamarca, Amazonas and San Martin.

Description: Concession to design, finance, build, operate and maintain the line to increase the transmission capacity of electric power to the northern area of the country. It will have 400 km length and will supply power of 220 MVA through a single circuit.




• Competition factor: The lowest cost of total service.

Current status: The Tender Documents and contract seconddraft are published on Proinversión’s web site.

Award date: III Quarter 2012


PACIFIC OCEAN

BRAZIL

Location: Department of Cusco

Description: Concession to design, finance, build, operate and maintain the line to increase the transmission capacity of electric power to the southern area of the country, and reinforce the bidirectional connection between the subsystems of the area and allow the future connection of new charges and/or electric power plants.


• Type of concession: Comprehensive project bid. Self -sustaining.


• Competition factor: The lowest cost of total service.

Current status: The Tender Documents are published onProinversión’s web site.

Deadline to submit a short-listing request: May 25, 2012.


220 kW MACHU PICCHU – QUENCORO - ONOCORA -TINTAYA TRANSMISSION LINE


PACIFIC OCEAN

BRAZIL

Moyobamba

Iquitos

220 kW MOYOBAMBA – IQUITOS TRANSMISSION LINE

Location: Departments of Loreto and San Martín.

Description: Concession to design, finance, build, operate andmaintain the line which length is 600 km approximately, toincrease the electricity transmission capacity to the eastern zoneof Peru (Departments of Loreto and San Martin) and interconnectthe electricity systems in these departments with the NationalGrid.

• Estimated Investment (VAT not included): US$ 330 million.

• Type of concession: Comprehensive Project Bid. Selfsustaining.


• Competition factor: The lowest service total cost.

Current Status: Tender Documents and the contract first versionare published on Proinversión’s web site.

Deadline to submit a short-listing request: June 28, 2012.

Award date: IV Quarter 2012.


PACIFIC OCEAN

PACIFIC OCEAN

BRAZIL

ENERGY SUPPLY TO THE CITY OF IQUITOS 70 MW

Iquitos

Location: Department of Iquitos.

Description: Concession of the supply of power and energy tothe national grid. In its first stage, it will run based on a regularsupply that will end once the operation of Moyobamba – Iquitostransmission line begins. In the second stage, the supply will beas a stand-by reserve. The design, financing, construction,operation and maintenance of new thermoelectric powerstations to be placed in Iquitos (70 MW) are considered.

• Estimated investment (VAT not included): To be defined.



• Competition factor: The lowest payment offered per power,once the plant operates as stand-by reserve.

Current status: The promotion plan has been approved and theTender Documents and contract draft are under elaboration.


TO BE CALLED

899-915 MHZ AND 944 - 960 MHZ BAND IN LIMA AND CALLAO AND 902 - 915 MHZ AND 947 - 960 MHZ BAND FOR THE REST OF THE COUNTRY

Location: Nationwide.

Description: The project involves the selection of atelecommunication operator that will render mobiletelecommunications services in 899-915 MHz and 944-960 MHz Bands in the province of Lima and the constitutionalprovince of Callao and 902-915 MHz and 947-960 MHz Bands for therest of the country.

These Bands of data and voice communication will increase themobile telephony coverage in areas of low penetration and willfoster competition in our country.• Estimated Investment ( VAT not included): US$ 297.7 million• Concession term: 20 years, renewable.

• Type of concession: Special public bid. Self-sustaining.

• Competition factor: The best economic offer.

Current status: The Tender Documents and the contract first versionare published on Proinversión’s web site. There are two short-listingbidders.



1710-1770 MHZ AND 2110-2170 MHZ BAND NATIONWIDE

Location: Nationwide Description: The project involves the selection of

telecommunication operators that will be in charge of providingPublic Telecommunication Services in Blocks A and B of the 1710-1770 MHz and 2110-2170 MHz bands. The same bidder will not beawarded both bands blocks.The band technical specifications make possible to provideadvanced wireless services (mobile broadband, voicecommunication, new applications, high-speed and high-capacityinteractive and multimedia services )• Estimated investment: To be defined.• Concession term: 20 years, renewable.

• Type of concession: Special public bid - Self-sustaining.

• Competition factor: Best economic offer. Current status: The Tender documents are published on

Proinversión’s web site. Award date: IV Quarter 2012.


NATIONAL OPTICAL FIBER BACKBONE NETWORK

Location: Nationwide. Over 10,000 km of optical fiber will bedeveloped.

Description: The goal of the project is to globalize a broadband inPeru through the installation of optical fiber in the Capital of 195Provinces of the country.

The backbone network will be owned by the Peruvian State.It will be operated by a neutral operator, withoutdiscriminating the companies that require the service. Charges,quality and permanence will be controlled. The bidders maychoose the best routes in order toimprove their technical proposals (support network: pole,energy networks, etc) and economic proposals (the lowest co-financing).

Estimated investment (VAT included): US$ 420 million

Type of concession: Comprehensive project bid. Co-financed byMTC.

Competition factor: The lowest financial contribution requestedto MTC.

Current status: Under formulation stage by the MTC: pre-investment studies.


TO BE CALLED

Pacific Ocean

CHAVIMOCHIC IRRIGATION PROJECT

Location: Department of La Libertad (Province of Virú, Trujillo andAscope)

Description: The project involves the complementation of Chavimochicproject in order to include 50,000 ha of new lands and improve theirrigation system of other 50,000 ha in the valley and inter valleys ofChao, Virú, Moche and Chicama.1) The III Stage involves the construction of the following works:

a) Reservoir of 370 cubic meter capacity in the PaloRedondo sector,

b) Third line of Virú siphon;c) Moche-Chicama canal of 115 km length.d) Automation and improvement of the Main Canal

2) The operation and maintenance of the entire system (I, II and III stage)

3) Water supply services for energy and irrigation purposes, as well as people’s needs.

The public investment already made in the first and second stagetotaled US$ 950 million.• Estimated investment (VAT not included): US$ 498.8 million (III

Stage works)• Type of concession: Comprehensive project bid. Co- financed.

Current status: Feasibility assessment to be concluded. Award date: I Quarter 2013

TO BE CALLED

MAJES-SIGUAS PROJECTLAND SALE OF 1000 Ha LOCATED IN MAJES I

Location: Department of Arequipa, province of Caylloma. Description: Sale of 02 plots of untilled lands of 500 ha

each, with water right of up to 13,500 m3/ha/year.The plots are located in the lower area of Pampa deMajes, sector with unbeatable climatic conditions, andnear to Arequipa city and Matarani port.The Award grants to the respective awardees the right toexercise the Option to Purchase another contiguous lot ofsimilar extension, on condition to obtain water fromMajes irrigation surpluses (valid for up to 03 years)

• Referential base price: US$ 4,000/ha

• Estimated transaction (VAT not included): US$ 4.2million.

• Type of concession: Public Auction.

Award date: II Quarter 2013

POR CONVOCAR

Arequipa

Majes-Siguasproject


OPERATION AND MAINTENANCE, REHABILITATION AND IMPROVEMENT OF 16 SEDAPAL WWTP

Location: Districts of Lima where the sixteen (16) WWTP arelocated.

Description: The project involves the operation, maintenance,renovation and improvement of sixteen (16) SEDAPAL wastewater treatment plants.

The project involves:

•Investments to improve the WWTP design capacity in compliance with the legislation in force.

•At present, the sixteen WWTP treat a flow of 2.5 m3/s and it is expected to reach 4 m3/s by the fourth year of concession.

• Estimated investment (VAT not included): US$ 35.6million



• Competition factor: The lowest price rate per cubic meterof treated waste water.


POR CONVOCARPRIVATE INITIATIVE ON PROCESS

KUELAP CABLE CAR

Location: District of Tingo, province of Luya, department ofAmazonas.

Description: Concession to design, finance, build, equip andoperate the cable cars system for a fast and modern accessroute to Kuelap Fortress.

The cable cars route will be 4,400 meters in order toovercome the distance of 965 meters between Tingo localityand Kuelap fortress.

• Estimated investment (VAT included): US$ 10.6 million

• Concession period: 20 – 30 years.

• Type of concession: Comprehensive Project

• Current status: The feasibility study of the project hasbeen updated. Currently administrative papers of landsdestined to stations and services are being arranged. Theservice concession scheme is also under evaluation.


TO BE CALLED

Location: At the intersection of two of the most important avenues ofLima (Javier Prado and Aviacion avenues) in the district of San Borja,province and department of Lima. The NGT, the National Library of Peruand the National Museum will constitute “The Cultural Axis of Lima” .

Description: Private- Public Partnership that includes the management ofthe Theater, with participation of private investment in order to providehigh quality performance for which it was designed, built andimplemented.

Main characteristics

• The NGT has a capacity of 1500 persons and counts with 7 floors and4 basements.

• The stage measures 60 meters deep, one of the largest worldwide.

• The orchestra pit will include mobile platform and high technology,not found in local theaters.

• Adaptable state-of-the-art sound system for any type of shows.Mobile stages to perform up to 3 shows in the same day.

Watch video of NGT (youtube)

• Estimated O&M costs (20 years): US$ 95 million.

Current status: Tender Documents are under elaboration to make thecall.


MANAGEMENT OF THE NATIONAL GRAND THEATER - NGT

Play Lobitos

TO BE CALLED

HUAYDAY AMBARA MINING PROSPECT

Location: District of Lucma, rural community ofLucma, province of Gran Chimú, department of LaLibertad.

Description: The project involves the concession of a totalarea of 3,000 ha. The land presents a coal prospect withgold exploration potential in the influence area.

The existing coal layer is classified as “clean anthracite”that can be used in steel and concrete productionprocesses, and foundries for its high calorific value (overthan 8.000 kcal). The potential for coal to be extracted is2,3 billion of MT, which 1,23 million of MT (53%) areinferred resources. The estimated annual production is66.000 MT and the mine life is at least of 20 years.

• Estimated investment: To be defined.

• Type of concession: Contract of transfer option.


TO BE CALLED

LUCMA

LA LIBERTAD

CONCESSION OF REMAINING MICHIQUILLAY PROJECT

Location: District of Encañada – Community of Michiquillay,province of Cajamarca, department of Cajamarca, 47 kmnorth east of Cajamarca; and 908 km from Lima.

Description: The project involves the transfer to the privatesector of two remaining deposits of Michiquillay of 14, 927ha.

These deposits have limestone reserves, in three differentgeological formation, with over 15 billion MT.

The limestone quality is good reaching over 97% ofCaCO3 with low content of impurity mainly SiO2,Al2O3,Fe2O3, MgO and others. Due to its strategic location nearto Yanacocha mine and other gold and copperprojects, the prospect will also permit theexploration of these metals.

• Estimated investment: To be defined

• Type of concession: Contract of Transfer Option.


TO BE CALLED

CAJAMARCA

SECTOR/ PROJECT CURRENT STATUS ESTIMATED INVESTMENTUS$ MILLION

ESTIMATED AWARDDATE

1.- Sale of shares held by FONAFE (Xtrata Las Bambas, Telefonica S.A., Clinica Internacional, Norsac, Telefonicadel Peru S.A.A. and Xtrata Tintayacompanies)

To be called Auction III Quarter 2012

2. Sale of shares of Cayalti, Pomalca and Tuman

Under process – Law29288

Not applicable – Direct sale to workers May 2012

CAPITAL MARKETS PROJECTS PORTFOLIO

[email protected]

Milton von-hesse - inPERU

Business

Transcript of Milton von-hesse - inPERU