Present an overview of water infrastructure market in Latin America: - Infrastructure spending as a catalytic tool to overcome the financial-economic crisis -Structuring the process “getting it right!” -Strengthening the Water Sector: Confronting The Challenges Discuss the role/participation of private sector: - Finance projects in distressed markets - Emerging new opportunities

1. Water Infrastructure in Latin America: Key Challenges and Business Opportunities in 2009 Omar Del Valle Colosio CG/LA Infrastructure LLC Water Executive Forum 2009 Philadelphia, PA. March 30-31, 2009

8. 1. LAC Water Infrastructure Overview Generation Transmission Distribution Access Quality Clean water Sewage Safe drinking water Safe sanitation Private Sector Participation Facing Challenges New Business Opportunities

15. 4. Business Opportunities Generation Transmission Distribution Source: Ringskog (1998) Option Ownership Financing Operations Service Contract Public Public Public then some private Management Contract Public Public Private Lease Contract Public Public Private Concession Public Private Private BOT Private then public Private Private BOOT Private then public Private Private Reverse BOT Public then private Public Private Joint ownership Private then public Private and Public Private and public Sale Private Private Private

16. Investments opportunities by industry and sectors in 2009 (1= more likely) Sector/Industry Financing Engineering & Construction Equipment and Technology Services Water / Waste Water 2 2 1 1 Highways 2 2 2 2 Ports & Logistics 3 3 2 2 Tourism 3 3 3 1 Oil & Gas 1 1 1 1 Electricity 2 2 1 2 Urban Massive Transportation 1 2 1 1

18. 4. Business Opportunities Country Project Sponsor Value US$m Phase Type BRA Vale do Sao Francisco Irrigation Public Private Partnership Brazilian Ministry of Planning 100.00 Feasibility Private Operation/ Concession BRA Wastewater Network Expansion in Eastern Rio de Janeiro Rio de Janeiro City Government Feasibility Private Operation/ Concession BRA SABESP Ambiental, Partnerships and Water Loss Reduction Sabesp 600.00 On-going Performance Contracts CRI Wastewater Management Program in San Jose - environment improvement JBIC & AyA 230.00 Construction/Procurement Public Procurement DR Clean-up of the Ozama River 1,000.00 TBD TBD DR West Aqueduct (Santo Domingo) CAASD 300.00 TBD Public Procurement SLV Procurement Projects and Water Treatment Plants ANDA 20.00 Construction/Procurement Public Procurement MEX Aqueduct Zapotillo CONAGUA 385.00 Tender Public Procurement MEX Aqueduct Falcon-Matamoros CONAGUA 634.00 Tender Public Procurement MEX Aqueduct El Realito CONAGUA 120.00 Tender Public Procurement MEX Agua Prieta Water Treatment Plant CONAGUA 139.00 Tender Design-Build/Turnkey MEX Atotonilco Water Treatment Plant (Valley of Mexico) CONAGUA 583.00 Tender Design-Build/Turnkey PER Project Majes-Siguas II: Hydric Reinforcement ProInversión 373.00 Tender (IV T 2009) Private Operation/ Concession PER La Chira Water Treatment Plant and Submarine Emissor ProInversión 141.00 Tender (II T 2009) Private Operation/ Concession

19. Water Infrastructure in Latin America: Key Challenges and Business Opportunities in 2009 Omar Del Valle Colosio CG/LA Infrastructure LLC [email_address] 202.776.0990 Water Executive Forum 2009 Philadelphia, PA. March 30-31, 2009