IFC supports landmark Wind Power and Transmission Project to boost clean energy supply, jobs, and private investment in Argentina

Buenos Aires, March 6, 2026 - The International Finance Corporation (IFC), a member of the World Bank Group, is providing financing to PCR (Petroquímica Comodoro Rivadavia S.A.) for the development and construction of the Olavarria Wind Farm in the Province of Buenos Aires, as well as investments to expand transmission capacity along the Bahía Blanca-Abasto high-voltage corridor, connecting a region with best-in-class wind resources to the country's largest demand center. The project is co-developed with Acindar Industria Argentina de Aceros S.A. (a company part of the ArcelorMittal group), Argentina's largest steel producer, which will source renewable energy from the project to support the decarbonization of its operations.

The investment represents a totalcost of US$275 million and includes the installation of 29 wind turbines supplied by Vestas, with a total installed capacity of 185.6 megawatts. It also includes the construction of a 25 km transmission line connecting the wind farm to the Olavarría substation, as well as the expansion and upgrading of capacitors at the Olavarría and Ezeiza substations. The project has been approved under the Government of Argentina's RIGI scheme (Large Investment Incentive Regime).

The project is the country's first renewable energy generation initiative to incorporate privately financed transmission infrastructure integrated into the Argentine Interconnection System (SADI). By pioneering privately led transmission expansion, the project is expected to catalyse further investments in critical transmission assets that replicate this model, unlock additional renewable energy capacity nationwide, and improve the efficiency and resilience of Argentina's power system.

The investment is expected to support the continued development of Argentina's abundant cost-competitive renewable energy resources and to diversify and grow its energy matrix. The Olavarría Wind Farm will generate clean energy equivalent to the annual electricity consumption of approximately 230,000 households. It will deliver significant climate co-benefits, including the reduction of approximately 320,000 metric tons of CO₂ equivalent emissions per year.

By supplying cost-competitive energy to private offtakers, the investment will enhance industrial competitiveness, generating significant indirect economic benefits, including quality job creation and new private sector investment. The project will help attract new businesses dependent on reliable clean energy, promote workforce skills in renewable energy and transmission engineering, and increase opportunities for small and medium-sized suppliers in the region.

"Investments that expand competitive renewable energy, modernize. infrastructure, and create jobs are essential for Argentina's sustainable development," said Makhtar Diop, IFC's Managing Director. "Our partnership with PCR mobilizes private capital to deliver reliable and affordable power while expanding transmission capacity-helping drive growth, strengthen competitiveness, and unlock Argentina's full economic potential."

"From PCR, we reaffirm our commitment to Argentina's energy and productive development. This financial agreement with IFC enables us to move forward with a project that integrates strategic infrastructure, renewable energy, and the creation of opportunities for communities and value chains. This type of initiative strengthens the country's competitiveness, promotes long-term investment, and consolidates a solid foundation for sustainable growth that benefits society as a whole," said Martin Brandi, CEO of PCR.

In addition to financing, IFC will provide technical advisory support to help ensure that the project meets international environmental and social standards, in line with IFC's Performance Standards. This will contribute to strengthen sustainability practices, improve risk management, and help mobilize additional private investment into Argentina's renewable energy and infrastructure sectors.

Note to editors

IFC is acting as lead arranger of a US$110 million senior corporate loan, expandable up to US$140 million, granted to a dedicated affiliate of Generación Eléctrica Argentina Renovable I S.A. (GEAR S.A.), guaranteed by PCR. The package includes a US$30 million loan from IFC's own account and US$80 million mobilized from B-loan and parallel loan participants.