VEB may give Power Machines credit for Brazilian power station tenders
MOSCOW. Jan 30 (Interfax) - OJSC Power Machines may receive a Vnesheconombank (VEB) credit for the financing of equipment deliveries to electric power stations in Brazil.
A letter from Russian First Deputy Prime Minister Igor Shuvalov to Prime Minister Dmitry Medvedev says that, as per the prime minister's instructions, the question of concluding a Russian-Brazilian intergovernmental agreement concerning easy-term financing for the delivery of equipment for hydropower stations in Brazil has been worked through. However, "the achievement of a mutually acceptable agreement on financing the terms of an agreement does not appear possible," the letter, which Interfax has seen, says.
Support for Power Machines in Brazil's tenders could be forthcoming with a VEB credit and interest-rate compensation from the budget, the letter says.
The government has given the Industry and Trade Ministry, along with VEB, until April 5 to work through supporting Power Machines projects abroad, the document says.
Power Machines, belonging to Severstal owner Alexei Mordashov, supplies power equipment for a number of Brazilian hydropower stations (Passo San-Joao, Sao Roque).