|
|  |
| Summary of Project Information (SPI) |
| This Summary of Project Information is prepared and distributed to the public in advance of the IFC Board of Directors’ consideration of the proposed transaction. Its purpose is to enhance the transparency of IFC’s activities, and this document should not be construed as presuming the outcome of the Board decision. Board dates are estimates only. |
 | |
| Project number | 22455 |
| Project name | Aceitera General Deheza |
| Country | Argentina |
| Sector | Agriculture And Forestry |
| Department | Agribusiness |
| Company name | Aceitera General Deheza S.A. |
| Environmental category | B |
| Date SPI disclosed | May 21, 2004 |
| Projected board date | June 22, 2004 |
| Status | Active |
| Previous Events | Invested: October 21, 2004
Signed: June 28, 2004
Approved: June 22, 2004 |
|
| Description of company and purpose of project |
Aceitera General Deheza (AGD or the company) is one of the major agribusiness groups in Argentina. Its core business is oilseed crushing, where the company ranks in leading market positions for soybean, sunflower, and groundnut. The production comprises crude oil, pelletized meals, and refined oil. In addition to that the Group’s portfolio comprises confectionery peanuts, peanut butter and branded products such as mayonnaise, soybean milk, bottled oil, and other value added products. With a total oilseed volume crushed in 2003-04 of over 4 million tons, AGD is one of the largest crushers in Argentina, exporting over 90% of its production, working with about 6,000 farmers and supplying Argentina and 45 countries in five continents. The company has an annual turnover of about $1.2 billion and employs around 2,250 people.
The project sponsor, Aceitera General Deheza S. A. is an Argentine agribusiness corporation whose principal activity is crushing and oil extraction from soybeans, sunflower-seeds, and peanuts. AGD ranks among the leading oilseed crushers in Argentina, exporting over 80% of sales, employing over 2,250 people, working with about 6,000 farmers and supplying Argentina and 45 countries in five continents.
The project entails assisting the sponsor with implementation of its 2003-2006 investment program that includes:
- construction of new warehouses;
- crushing capacity increases; and
- high-protein soybean meal production. |
|
| Project sponsor and major shareholders of project company |
| The project sponsor is AGD; owned by the Urquía family. |
|
| Total project cost and proposed IFC investment |
| The total project cost is estimated $164 million. The proposed IFC investment includes, for IFC’s own account, an A Loan for up to $50 million and a C Loan for up to $20 million , and a B Loan of up to $50 million. |
|
| Location of project and description of site |
| Project funding will be directed to investments in the Santa Fé, Santiago del Estero, Córdoba, Chaco, and Buenos Aires provinces in Argentina. |
|
| Project Development Impact and IFC's Role |
IFC’s participation will assist the leading local competitive crusher and exporter to secure unavailable long-term financing for its expansion strategy. In addition, IFC’s participation will attract private funding institutions back into Argentina through their involvement under IFC umbrella (B Loan). AGD is a major operator in the Argentine oilseed sector and one of the few local (Argentina) players in a sector dominated by global / international traders. Because of the country risk, it does not benefit from the same access to international sources of financing.
IFC Role:
IFC’s participation in the proposed project will provide long-term capital not accessible today from the markets and enhance the operational and financial sustainability of an important domestic agro-exporter and support the participation of foreign banks through a B loan, which is still a challenge in the countries’ current political and economic environment. |
|
| Environmental and social issues - Category B |
This is a Category B project according to IFC’s Procedure for Environmental and Social Review of Projects because a limited number of specific environmental and social impacts may result which can be avoided or mitigated by adhering to generally recognized performance standards, guidelines or design criteria. The review of this project consisted of appraising technical and environmental social conditions at the following facilities: Terminal (T6), T6 Industrial (T6I), Aceitera Chabas (ACHA), General Deheza Oil Plant, General Deheza Refinery, General Deheza Peanut Plant, General Deheza Bottling Plant, and Santa Eufemia Swine Farm. The following potential environment, health and safety and social impacts of the projects were analyzed at each site:
Health and safety management systems;
Ambient and point source air emissions, including workplace air quality;
Liquid effluent management, including stormwater drainage and treatment; and
Solid waste management.
The findings at each site are summarized in the Environmental Review Summary (“ERS”).
To view the environmental documents for this project, click here |
|
| Location of environmental documents in locally affected community |
| The ERS will be available to the public in the “Intendencia” or the Library (“Biblioteca”) of General Deheza, Province of Córdoba, Argentina. |
|
| To contact the project company, please write to: |
Miguel Acevedo, CFO
Aceitera General Deheza S. A.
Avenida E. Madero 1020, Piso 16
1106 Buenos Aires
Argentina |
|
|
|