$350 million in loans is secured by Turow power plant

A consortium of 10 banks has signed an agreement with the management board of power plant Turow for a 12-year loan amounting to $100 million. The money will be spent on the third phase of modernization of the plant. The contract was prepared by Pekao S.A. and PKO BP. The loan will be split between two currencies: $70 million dollars will be paid in dollars, but the remaining $30 million will be paid in zlotys. Another consortium consisting of Pekao S.A. and four other banks will now also proceed with providing a $250 million loan to Turow, which it had been discussing for a while whether to grant or not. Modernization of the plant began in 1995 and the whole project will cost $1.6 billion. (Prawo i Gospodarka, page 2) M.M