Colombia's ISA eyeing LatAm projects worth US$21bn

Colombia's Interconexión Eléctrica (ISA) is pursuing new projects worth up to US$21bn in investments this year as it seeks to expand its Latin America-wide power, telecommunications and roads portfolio, executives said on Friday. 

The figure comprises developments scheduled to be put out to tender in Brazil, Chile, Colombia, Peru and Panama, according to CEO Juan Emilio Posada.

"We'll update our risk analysis of each country as this affects our appetite to participate in specific tenders and we'll continue to act with discipline and care," Posada told a quarterly earnings call. 

Power projects – including transmission lines, substations and battery storage – account for US$15.5bn of potential new investment commitments in 2023 while roadworks represent US$5.5bn, ISA said. No details of telecom investments were mentioned.

Brazil continues to be ISA's most important growth market, comprising 51% of prospective 2023 investment commitments, followed by Chile (24%), Colombia (15%), Peru (5%) and Panama (4%).

ISA has identified investment opportunities totaling US$21bn this year. Source: ISA

Meanwhile, ISA said its 2023-30 investment portfolio currently stands at 22.4tn pesos (US$4.6bn), 52% of which is slated for Brazil, 25% for Colombia, 15% for Chile and 8% for Peru. 

The company expects an investment outlay of 5tn pesos this year, 4tn pesos in 2024, 4.4tn pesos in 2025 and 3tn pesos in 2026. Investments totaled 4.1tn in 2022. 

The forecasts came as ISA reported 2022 net income of 2.2tn pesos, up 32% on 2021. 

ISA is controlled by Colombian state-run oil producer Ecopetrol, which purchased the government's 51.4% stake in the company for US$3.6bn in 2021.