[China-Venezuela Joint Fund] CDB provides $603.57 loan for La Cabrera (José Felix Ribas) Power Plant Construction Project (Linked to Record ID#58677)

[China-Venezuela Joint Fund] CDB provides $603.57 loan for La Cabrera (José Felix Ribas) Power Plant Construction Project In March 2010, Sinohydro and PDVSA signed a commercial contract for the development of La Cabrera thermoelectric power plant in Maracay, Aragua state.

The total project cost was $603.57 million, funded by the China-Venezuela Joint Fund l (see Record ID#58677 for information about the fund).

The project was also funded by the Fondo Nacional para el Desarrollo Endógeno (FONDEN), Fondo Independencia 200, and the Fondo Cambio, which are all Venezuelan state-owned development funds. It is unclear how much each fund contributed to the total project cost. The contractor was Sinohydro. The first turbine was put into operation on December 25, 2012.

The project was completed on April 3, 2014, and it began generating 320 MW. The project is composed of two 160 MW turbines. A plant was originally constructed on the same site in 1974, but this project represented a significant upgrade.

In a 2019 Andorran lawsuit, it was alleged that the cousin of the former president of the PDVSA took bribes from Sinohydro for this project and TermoCarabobo I (see Record ID#91257).

A special commission of the National Assembly found a discrepancy of USD 359 million between the contract cost and estimated costs for installing the two turbines. Sinohydro did not appear before the commission to address these concerns. As of 2021, the plant has been described as suffering 'constant failures'.

The Government of Venezuela reportedly defaulted on its repayment obligations under the loan agreement for the La Cabrera (José Felix Ribas) Power Plant Construction Project. However, Sinosure made an indemnity payment worth $14.99 million in December 2015.