f v-CJC l I · Kozloff Keith From Sent To Cc Subject James Mahoney@exim gov Thursday May 22 2003 2 06 PM smartinez@pluspetrol com ar amoons@pluspetrol com ar Karl Kendall@exim gov Popi Artavanis@exim gov j smartinez@pluspetrol com ar Keith Kozloff@do treas gov jbonelli@mem gob pe Vasilios Giannopoulos@exim gov Van Houten Paola Meetings in Washington - June 4 and 5 Dear Sandra Per the discussion with you Popi Artavanis and me earlier today we understand that you will be arriving in Washington on June 4 2003 to discuss outstanding issues associated with the Camisea project We have scheduled a meeting at Ex-Im Bank with you and others from Pluspetrol from 2 00 PM to 4 00 PM on Wednesday June 4 here at our offices at 811 Vermont Ave N W in room 1167 We have contacted IDB and indicated that you wish to meet with the lenders as a group IDB along with Ex-Im Bank at IDB's offices at about 11 00 tentatively on Thursday June 5 This tentative schedule will provide time for further discussions if needed with us here at Ex-Im Bank between 9 00 AM and 10 30 AM on Thursday morning before the group meeting at the IDB We look forward to seeing you again and discussing the remaining environmental issues associated with the Camisea project Regards - Jim Mahoney Popi Artavanis and Karl Kendall 1 EXPORT-IMPORT BANK OF THE UNITED STATES May 21 2003 Sandra G Martinez Worldwide EHS Manager Pluspetrol Av Rep de Panama 3055 Piso 9 San Isidro Lima-27 Peru Dear Ms Martinez Duri p g the recent discussions in Washington among the lenders and sponsors of the Camisea project concerns were raised regarding the development of the LPG Fractionation Plant subsea pipeline and Marine Terminal at Loberia Beach which is adjacent to the PaJ acas National Reserve This issue raises special concern to Ex-Im Bank The Loberia Beach site was selected notwithstanding its proximity to the highly sensitive and biodiverse area of the Paracas National Reserve which also contains the only coastal marine area in Peru protected under the United Nations RAMSAR Convention due to its unique value for its migratory bird population and home to several endangered species including turtles listed under the Convention for International Threatened and Endangered Species CITES The selection of this site draws further concern because of the lack of an adequate site baseline characterization impact assessment and proposed mitigation measures The site was selected before commencing work on important data gathering that will directly define the scope and degree of mitigation measures needed for an acceptable plan to address potential leaks and spills Of most concern was the lack of information about the site selection process including information on the alternative sites along the Peruvian coast The information contained in Pluspetrol's EIA on these matters was not sufficient We strongly urge that Pluspetrol consider halting construction at Loberia Beach and take immediate action to seek a lower impact and more environmentally and socially acceptable site for the LPG fractionation plant and marine terminal Justification of a fractionation and terminal site selection should be based not only on engineering economic and logistics but must take into account critical environmental and social parameters Ex-Im Bank fully understands the importance of this project not only to the Sponsors but to Peru However we believe that further examination of the relative merits of the other 811 VERMONT AVENUE N W WASHINGTON D C 20571 sites including those noted in Pluspetrol's report that addressed alternatives sites will yield conclusive evidence that an alternative site would be economically and technically viable while affording far greater protection to the environment of Peru We are copying this message to Ing Julio Boneli Arenas General Director of Environmental Matters with the Ministry of Mines and Energy and we trust that measures within the Government of Peru can be taken to expedite this matter with minimal impact on the project schedule We look forward to discussing this matter with you during the your upcoming planned visit to Ex-Im Bank and to the IDB on June 4 and June 5 2003 Regards 7 Vice President Engineering Environment Division Export-Import Bank of the United States cc ING0 Julio Bonelli Arenas Ministerio de Energia y Minas Alberto Moons Pluspetrol