Negotiations are underway between the Government of Ecuador and a China-backed joint venture to build the Coca Codo Sinclair project.

Formal talks have started between the Government’s company Cocasinclair S.A. and Sinohydro-Andes JV to build the 1500MW plant.

The Government said that the total budget for the project was estimated at approximately US$2B but it is understood that the JV might be able to bring the majority of the required financing.

The talks have got underway in earnest following the signing of a Letter of Intent (LoI) between the Government and the JV. The Government is expected by June to decide whether to proceed further in project development with the JV.