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Abengoa will construct a 670 kilometer transmission line in Peru

March 13, 2008

Madrid, March 13th, 2008.- The Private Investment Promotion Agency in Peru, Porinversion awarded Abengoa Peru to exploit the 220 kv and 670 kilometers line connecting the towns Carhuamayo-Paragsha-Conococha-Huallanca-Cajamarca-Cerro Corona-Carhuaquero. The investment, estimated by Proinversion, is over 250 million dollars, and includes construction, operations and line's maintenance during 30 years.

The project comprises the construction of two new substations and the enlargement of five existing substations, which must be carried out in a term of 30 months. The Line's average height will reach 3000 meters above sea level, and it will be over 4800 meters in some areas.

This line, which is part of the Guaranteed Transmission System, has the target to reinforce the National Interconnected Electric System (SEIN) so improving reliability that electric energy will be better transport from existing and new power generators, like BPZ, CH Olmos o CH Quitaracsa to new lines.

Abengoa has permanent presence in Peru for more than 14 years, and it has been actively participating in creating new infrastructure in several projects in energy, mining, industry, sanitation, telecommunication and services sectors. Nowadays, Abengoa was hired by Sedapal, the public company that supplies potable water and sewerage services in Peru, to execute the biggest project of the program "Agua para Todos", that will serve potable water and sanitation services to more than 50 000 inhabitants.

Abengoa has an important participation in the company Red Eléctrica del Sur S,A., which is the concessionaire of an 440 kilometers electric system. Furthermore, through Befesa, Abengoa runs the only infrastructure with license to manage industrial and hazardous waste.

To Alfonso González, director of Abengoa Perú, "it is satisfactory to be awarded for the concession of this project, confirming our interest and confidence in Peru. In addition, Abengoa will participate in other projects like Mantaro-Carveli and Chilca-La Planicie Transmission Lines and in the Huascacoccha-Rimac Derivation Project."

"With this last granted concession, Abengoa reaches 5000 kilometers of transmission lines that owns, operates and maintains in Brazil, Chile and Peru", concluded Alfonso González.

Abengoa is a technology company that applies innovative solutions for sustainable development in the infrastructure, environment and energy sectors. Abengoa’s shares are listed in the stock exchange and have a capitalization of 1,905.29 millions of Euros (13/03/2008). Abengoa is established is seventy countries, where operates its five business areas: Solar, Bioenergy, Environmental business, Information technologies and Industrial engineering and constructions.

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