THE WORLD BANK GROUP ARCHIVES PUBLIC DISCLOSURE AUTHORIZED Folder Title: Power Agriculture and Industry Project - General Development - Italy - Loan 0117 - P037415 - Administration - Volume 3 Folder ID: 1854115 Project ID: P037415 Dates: 12/18/1956 - 12/23/1957 Fonds: Records of the Europe and Central Asia Regional Vice Presidency ISAD Reference Code: WB IBRD/IDA ECA Digitized: 11/30/2018 To cite materials from this archival folder, please follow the following format: [Descriptive name of item], [Folder Title], Folder ID [Folder ID], World Bank Group Archives, Washington, D.C., United States. The records in this folder were created or received by The World Bank in the course of its business. The records that were created by the staff of The World Bank are subject to the Bank’s copyright. Please refer to http://www.worldbank.org/terms-of-use-earchives for full copyright terms of use and disclaimers. THE WORLD BANK Washington, D.C. © International Bank for Reconstruction and Development / International Development Association or The World Bank 1818 H Street NW Washington DC 20433 Telephone: 202-473-1000 Internet: www.worldbank.org ~'Tvji IIIII IIIII I IIIJ~~~jl~l~IIIIIl IIIIII IIII Power Aarlculture and A1995-173 Other#· 8 Loan 0117 - P037415 .1:d~s!ry Project - Generai° D Box# 182607B m1n1stration - Volume 3 evelopment - Italy- . • Cassa peril Me1s011,or.ao iUR Piusa dei Congn•lll N. 20 Ro!De, Ital Re: Loan Ho. 117 rr - I:rri1tat!.on P:roj ect Gentle.ans .. Z ntw to your letter ro. 2/416n, datod .JI() tiovember 19,7, ~ tu Cloain& Date tor the Irri at1on fTojcct in !.o:m no. 117 IT. I aa happy to inform ,ou, that, aubjoc t to the teru and ,rorte1ona ot the loan Agreement, the i:a.nk will, in respect ;,f that Projeo\ and the uount. aet forth op osite it in l9chedule 4 ot th• Loan Agreement, aot. as 1! the Closing !ate had blNn specified u Deoeai>er 31, 19S8, instead ot JW1e 30 1 1958. Sincerely yourn, ll.chael L. Lejeune Asolstan~ D1rect,pr ot Oporations . ope, Atrioa INid Autralaaia ' H . f.cott/m.1.a qc., • essrs.: 1 l'd'leelock, ~oss , Street, ,..rnstrong6 _"inne, Groenveld~ , FORM NO. 59 ( 2- 55) CROSS REFERENCE SHEET COMMUNICATION: Report DATED: December 5, 1957 TO: - . .-, , FROM: Technical Operations Department FILED UNDER: Italy - Loan 150 SUMMARY: End-Use report; Agricultural aspects of irrigation projects. ; ORM No : 75 INTERNATIONAL BAAK Fo tt ( 3. 5 2) RECONSTRUC T I ON ANO DEVE LOPM ENT ' Date ROUTING SLIP ROOM NO. Action ti o te and F i l_e_ _ _ ______, _ 1 Approvaf Note and Return Comment ,___.....__ Pre pa re Re~p lJ.-_ _ ____, :..: Fu 11 Re po-rt Previous Pape rs e .,formation JRecommendation Initial Signature Remarks Fro, __ FORM No. 75 INTERNATIONAL BANK FOR (3.52) RECONSTRUCTION AND DEVELOPMENT Date ROUTING SLIP 1 - - -- - - - - -- - - -- ~ - - - - - - - , , - - - - --l NAME ROOM HO. ( \ . -+-- Yt~ ----- Action Note and File Approva_l _ - - - Note and Return Comment Prepare BW.1. Full Report Previous Papers 911 _ 'fl nfo~at ion Recommendation ! Initial Signature Remarks___ - , • INOIRI Z ZO TELaGRAISICO CASM•Z • R OMA CASSA PER OPERE STRAOROINARI E 01 PUBBLICO INTERESSE NE::LL' !TALIA MERIDIONALE ( C A SS .A PER I L M EZ Z OGIORNO ) TRANSLATION NOV. 195]: - - ... .. _ "jl I Allegoti ................................ .. ROMA ............ ..................................... ............. _ VIA A N laN •, 14 TSL . 8 4 0420 - 2tl • 2T • 28 • 2 0 Risposto o ............................................................ del ............... ............................. N ..................... OGGETTO: ..................................................... e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. International Bank fi:>r Reconstruction and Dievelopment 1818 H Street, N.Wn Washington 25, D.C. Gentlemen: Subject: Riequest for Extending the Closing Date on Loan .. 0 i: E No. 117-IT in Respect of the Irrigation Project .. 0 ~ C: :, As you kno,~ (see Report on IrrigaJ!(on Project changes sub- mitted with letter 51/11900 of September 25, 1957), the Cassa has !-4, "' 0 found it possible to review the program approach for the irrigation of the Catania Plain,, in order to extend and stream1ine irrigation ., in the areas of the Caltagirone and Lentini districts, which are Cl. adjacent to the Plail:1. This was following negotiations made with Ente Siciliano di ElHttricita, who have declared - among other things .. .. "' to be prepared to make available for irrigation also waters of their ii. Ancipa reservoir • ;;; Such negotjLations with E. S. E. have alfeady materi~lized - in the stipulation oj~ an agreement by which the mutual relationships arising from the unde~rstanding will be regulated: of course, all negotiations have beHn based on the premise that each party shall keep complete independence of the respective position. Namely, all rights have been resE~rved for the operation of the project features of respective competEmce: Contrasto ba:rage for the Cassa; power stations for E.S.E.; while conunon use will be ma.de only of the canal-s -._ , and conduits supplying the waters. r • ; CASSA PER IL MEZZOGIORNO ~ 2. The agreement with E.S.E. is also disclosing possible savings for the Cassa, which would result in the reduction from an estimated expenditure of 2,675 million lire for the features originally proposed as Cassa liability, to an estimated expendi ture of Lit. 1,535 million (in any event, not to exceed 2,100 - million lire) as Cassa liability, in the case of the combined plant utilization. Such saving is to be added to the important contribution of a larger water availability originating from the Ancipa reservoir, as mentioned before: in fact, by the agree ment cited above, irrigation could be practically extended to an- additional 11,000 ha. of fertile lands in the east-central part of Sicily. ... The implementation of the features strictly related to the above program (diversion and main canals) has been somewhat delayed by the negotiations; however, all attempts are being made for offsetting the delay so as to complete all structures required for irrigation in time for the 1959 campaign. Implementation of accessory reclamation projects (roads, transmission lines, shelte£ belts, drainage and water control, etc.), will be also accelerated so that the entire program may be completed by 1960, namely with several months of advance in respect of the envisaged timing. Following the program approach outlined in the foregoing and illustrated in greater detail in the third quarterly report recently forwarded to the Bank, a new forecast has been made for the drawing down of Loan Account No. 117-IT: such revised forecast is attached hereto. It shows that full Loan utilization can be expected by the end of the fourth quarter of 1958. Request is hereby submitted to the Bank of agreeing to ~/ postpone the closing date for the Loan from June 30, 1958 - as specified in Article IX (miscellaneous) o~ the Loan Agreement - to December 31, 1958. Sincerely yours, THE PRESIDENT /s/ Pescatore - Enclosure I N DI RIZZO TELEG~AFJCO CASMEZ - ROMA .,• 'I I CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERE S SE NELL' !TALIA MERIDIONALE ( CASSA PER IL MEZ Z O G IORNO ) Prot. N. 2/ 41 G7t osiz. SBT/EN/ ec 3 0 NOV. 19S1 Allegali ...... : .. L......... . ROMA JOO PCIIF?'f 11 Risposla a ....... ......... ... .. . .. . fff 9 1 9 130 a: -zz -ae -,e P IAZ-Z.A DEi CONGRE55f N, 2'0 (EUR:) del.. .. ............... N. T EL. 8 77 9 OGGETTO: ....Riohies.ta.. Qi.. ,Proroga valid.ita. III 0 Prestito (n . 117/IT ). - Spett . BANCA INTERNAZIONALE RI 00 STR1J ZI ONE E SVI LUPPO WASHINGTON 25 18 18 H Street, N. W. 0 i: I •• E 0 ~ C) Comee noto a codesto Spett . Istitu.to (vedi Rapporto Varianti 0.. 0 schema irrigu.o trasmesso con nota n . 5/11900 del 25.9 . 57) questa "Cassa " C ::, si e trovata nella possibil i ta di ri vedere la impostazione dei pro gram.mi irrigu.i della Piana di Catania , per un piu conveniente e razionale este~ C dimento della irrigazione nelle zone dei comprensori di Caltagirone e C!I 0 Lentini limitrofe alla Piana . Cio a segu.ito di trattative aperte con l ' Ente Siciliano di Elet- i- ~ C) tricita che si e dichiarato, fra l ' altro , disposto a mettere a disposizi.2, ne della irrigazione anche le acque del suo serbatoio di Ancipa . ., "' Q. Naturalmente la suddetta trattativa con l ' E. S. E., che ha gia portato al.la stesura di una convenzione con cui dovranno essere regolati i rapporti nascenti da queste intese,si e svolta con la premessa di man- tenere la completa indipendenza delle reciproche posizioni , con ogni ri- serva sul l•esercizio delle opere di rispettiva competenza: traveraa di Contrasto per la 11 Cassa 11 , Centrali Idroelettriche per l'~. s.E. , restando di utilizzo comune le sole condotte di adduzione . La convenzione con l ' E. S.E . prospetta inoltre delle possibilita di economia per la "Cassa " , che si concretizzerebbero nel passare da una spesa di£. 2 . 675 . 000 . 000 prevista per le ori#Lnarie opere a carico " Cas- sa " , ad una spesa prevista in £ . 1. 535. 000 . 000 (in ogni caso non superio- I t.i re a£. 2. 100 . 000.000) per la quota a carico della stessa " Cassa" nel ca- .,; 0 ::;; so degli im:pianti abbinati . Cio oltre all I importante vantaggio dell • anzi - detta maggiore disponibilita dell ' acqua proveniente dall ' Ancipa , tanto che la convenzione d i cui sopra all ' atto pratico potra consentire l ' estendi- mento della irrigazione su circa 11 . 000 ha . d:1l fertile terreno nella zona • I .. ;; 1 ; . . \ ' ' . • CASSA Pl!:A IL Ml!ZZOGIOANO .. 2. centro orientale dell'Isola. La realizzazione delle opere strettamente connesse col sud- detto programma (canali, adduttori), ha su.b ito, per le trattative, qualche ritardo, ma tuttavia si cerca di recuperarlo~ in modo da per- venire alla ultimazione di tutte le opere peril lore impiego nella stag;i.one irrigua del 1959. Anche la realizzazione delle opere di bo- e nifica integrative (strade, elettrodotti, frang;i.vento, sistemazioni idrauliche, ecc . ), verra accelerata cosicche ogni intervento potra essere completato entro il 1960, con parecchi m esi di anticipo sul previsto . In conformita delle suddette impostazioni programmatiche, piu dettagliatamente precisate nel 3° rapporto trimestrale recente- mente trasmesso a codesto Spett. Istituto, e stato rielaborato il qua- dro delle nuove previsioni di prelevamento sul conto III 0 Prestito n. 117/IT che si alleg;a alla presente. Da esso appare che la coper- tura del prestito e realizzabile con la fine del quarto trimestre 1958 . Si chiede qu indi con la presente a codesto Spett . Istituto che, in deroga a quanto precisato tjell'art . IX (varie) dell'Accordo di Prestito, la data di validita dello stesso possa essere spostata ~ dal 30 giugno 1958 al 31 dicembre 1958. IL PRESIDENTE 1 (Gabri~ "i,? .; ,. 0 . ' . . CASSA PER IL MEZZOGIORNO • ,.: .. ~....... T,,.... l ~ .., .. c- • - PROG~T'TQ IRRIGUO PIANA CATPJ~IA - - III 0 Prestito N. 117/IT - I J.Af 1..J f: +.c- • • '-"' ~ 'TV .1.?,- UUOVE PREVISIOlfI n::n :?RELEVAM~NTI IUPARTITE SU BASI 'rRIMESTRALI PRELEVA.:.tEM'r I MPORTI IA-,.._,.- &,. ,,J ~ ~ (. ~ ~.., .J I J Prelievi eff ettuati a tutto il 30 settem bre 4 . 968. 657. 2ffi e Lf-'tk t.t "'""" 4.- 4° trim . r 1957: r 918. 800 . 000 ro-VG#..J' \ ~ , ,J........_. To tale alla fine 1957 5. 887 . 457 . 200 Previsioni dei prelievi f uturi : 10 trim. 1958 1. 184. 100. 000 7.671. 557 . 250 20 trim. II 1. 908. 000.000 8. 979 . 557. 200 3° trim. It 2. 119 .000. 000 11. 098. 557. 250 4° trim. " 1. 746. 200 .000 Totale fine anno 1958 12. 844. 7 b7. 250 10 trim. 1959 1. 554 .000. 000 14. 398. 757 . 250 20 trim. It 2 .. 143.000 .000 16. 541. 757 . 2&5 30 trim. " 1. 440. 000. 000 17. 981. 757. 256 4° trim. II 3co ror .000 Totale fine anno 1959 18.372.257 .250 10 trim. 1960 230.000 . 000 18 .,602. 257.250 20 trim. " 1.206.000 .000 19 . 808 .257 . 250 3° trim . " 633 .000 .000 20 . 441. 257 . 250 4° trim. II 255. 500. 000 ,v ... , ' Totale fine lav. dicem . 1960 20 . 696 . 757. 250 Q 0 )C Roma , 19/11/57 SBT/RF/cg .IIJ.. ,. ,- INDJRIZZO T8LEGRAIWICO t CASMSZ • FIOMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE (CASSA PER IL MEZZOGIORNO) TRANSLATION Prot. N ..................... Posiz . ..RE/mg Allegal.... ROMA .. ~. • • ~\ l \' s-1.•. . . VIA ANIEN&. 1 1• T IH.. . B4e. 4 2 0 - 2-0 - 2,. • 2 8 • 2 D R,sposla o. . . ... ......... . .. de ............................. .. N. OGGETTO: ............................. International Bank for Reconstruction and Development 1818 H Street, N.W. Washington 25, D.C. Gentlemen: .. 0 c Subject: Third IBRD Loan No. 117-IT - UNES Power Project E 0 .. ~ 0 In respect of the UNES Power Project, financed out of ] C: :, the proceeds of Loan 117-IT, Finelettrica had requested some time :! ago to the Cassa that the deadline for project completion should !! ~ have been postponed to December 31, 1958, whereas such term is en- C: visaged as of December 31, 1957 under the loan agreement currently • a 0 •0 valid • tc;; ~ The justification of such postponement has been directly :;; illustrated to the Bank by UNES with letters 711/175 and 714/298 of • ... ,0 April 27 and July 9, 1957, respectively: substantially, the reason c ;;. cons.ate of a justified delay in the start of construction of the Talvacchia dam, Castellano stage. Before submitting in turn request of approval to the Bank, we have requested to know - in absence of periodical and complete quarterly reports- an up to date forecast of work completion for the Talvacchia dam. Finelettrica bas now submitted the following infor- mation in respect thereof: - Excavation work shall start within December 31, 1957; - Equipment and facilities of construction yard to be completed by .April 30, 1958; - . . . ASSA PER IL MEZZOGIORNO Foglio n. .. 2. - Completion of cuts by June 30, 1958; - Concrete pouring for dam body to start within September 30, 1958; - Completion of pouring and of all ancillary structures by September 30, 1959. In view of the aforegoing, we request hereby that the Bank would kindly agree in considering that the term for completing the project under consideration is postponed to September 30, 1959. It is possible that a further request will be submitted for extending the terms of the loan amortization schedule; in that respect, we have requested specific clarification of Finelettrica. With best regards. Sincerely yours, THE PRESIDENT /s/ Pescatore C) E "/&. rJ w .~ 1A tu'-d.; ~ r'/; ,;;&;d t r 0 "' I ofi[ • ,4 (1 lut/f, ,r1t ,i, (jJ. h, l 2..1 I / ,,. CASSA PER OPERE STRAORDINARIE DI PUBBLICO INDIAIZZO INTERESSE TaLaCIRA~ICO ; CASMKZ· ROMA NELL' ITALIA MERIDIONALE ( C A S S A P E R I L M E Z Z Cl G I O R N O ) Prot rl£/1 t-19·~siz. R_~(~a VIA AE1EA I\ ... Allegat,. ROMA .. vav. 1957 .. I Risposta o. PIAZZA oe:, CONGRESSI N . ~o (EUR) TIU... 8779 del.. . ........... N. OGGETTO, III"' Presti to BIRS 117 11' Spett . BAN'CA INTERNAZIOHALE PER LA Progetti Elettrici s.E.A• UNES RICiOSTRUZIONE E 10 SVILUPPO 1818 H Street WASHINGTON 25 D.C. Per quanto riguarda il progetto elettrico della Soc. UNES, finan- ziato con i fondi di cui al Presti to 117 I'J\ la Soc . FINELETTRICA aveva a suo tempo richiesto a questa 11 Cassa 11 la proroga al 31 dicembre 1958 del ter- mine per l'ultimazione dei lavori, previsto dal contratto di mutuo in vigo- 2 .. C re al 31 dicembre p.v. e 0 .. ~ I motivi della necessita di tale proroga sono stati esposti diret- ] 0 tamente a cotesta Banca dalla Soc . UNES con, le le ttere del 27 aprile u. s. C :, n.711/175 e del 9 luglio u.s. n.714/298 e si sostanziano nel giustificato !! I! ritardo nell'inizio della costruzione della Diga di Talvacchia - settore del ] it -~ ! "' 0 Castellano. Questa "Cassa" prima di richiedere a sua volta il benestare di co- testa Banca, ha voluto conoscere - in mancanza del regolare e comple to invio ~ :iei rapporti trime strali - le uggiornate previsioni circa l' ul timazione dei ! OI lavori della predetta Diga di Talvacchia e queste sono state ora trasmesse ~ dalla FINELETTRICA come segue: inizio dei lavori di scavo entro il 31 dicembre 1957 - completamento dell'impianto dei cantieri entro il 30/4/1958 - ultimazione degli scavi entro il 30 giugno 1958 - inizio dei getti di calcestruzzo della diga entro il 30/9/1958 - ultirr.azione dei getti e di tutte le opere accessori entro il - 30 settembre 1959. Cio 11remesso, si richiede con la presente che cotesta Banca vo- glia concordare nel ritenere prorogato al 30 settembre 1959 il termine di ultimazione dei lavori peril progetto in esame. .,, Si fa riserva di successiva eventuale riclu.esta di proroga dei 0 ~ tennini d'animortamento del mutuo, essendo stati richiesti al riguardo speci- fici chiari111enti alla FINELETTRICA. Distinti saluti FO RM NO . 59 ( 2. 55 ) CROSS REFERENCE SHEET COMMUNICATION: Report DAT ED: November 19.57 TO: - FROM: Mr. Kanters & Mr. Groenveld F1LED UNDER: Italy - Loan 150 SUMMARY: Znd-Use Reports on Italy - Loan 117 & 15'0IT and Financial Aspects. November 'n, 1957 Dear Proteesor Peaca1 ore: / Thank 1ou for your letter ot November 22 setting forth the Cassa desire as to t ~e allocation or tunda under the proposed loan and of the bal cee available under Loans 117 and 150 IT. We are very gl to have this information and 1ou. may be aeaured that we will do our utmost to take 1our viahea into con- sideration to the 1muJll extent possible 1n presenting to the Bank our recc:rmnendatlons tor use of available resources. Ma7 I take this opportunity to thank you once again for 1our wonderful coope1ration during our recent vbit to Ita17 and to ea.1 that ve look jforvard to your visit to Washington at a not too distant date Sincerely 1oura, s. P. Wheelock Professor Gabriele P scatore President Cassa per 11 Mazzogiorno EOR Piaszale de1 Congrea ri 20 Rome , Ita17 SPWheelock/pnn Vx 2C""c: t - (, 111. ~ ''7 FORM NO. 59 ( 2. 55) CROSS REFERENCE SHEET COMMUNICATION: Letter Number 21 DATED: November 25, 1957 TO: Mr. \7alter 1.mstrong FROM: L. Svobo:ia (Italain Mission) F1LED UNDER: Ita!7 - Loe.n l!,O SUMMARY: Attaching letter of November 22nd. regarding distribution of loans funds. FOR~ No." 5 INTERNATIONAL BANK FOR ( 3. 52) RECONSTRUCTION ANO DEVELOPMENT Date ROUTING SLIP NAME ROOM NO. -:LJ-4- Action Note and File - - - - - --t ~p~oval - Note and Return omment Prepare Rep! _r_ _ __,___ _~P evious Papers _ _ ___, Recommendation Signature Remarks , INDIAIZ:ZO T8LllG RAPlCO I CASMKZ - ROMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' !TALIA MERIDIONALE (CASSA PER IL MEZZOGIORNO) 1/ 4. 0 tJ 2 3 Prot N. Posiz. Pd.P/mg 22 NOV.1957 Allegcit . ROMA . TCL. 841i11,420 - :us • 27 .. 28 • 20 R1sposta a del ...................... N. CGGETTO: .. .. International Bank for Reconstruction and Development 1818 H Street, N. W . Washington 25, D. C. Gentlemen: Sub ject: Proposed Allocation of Funds under IBRB Loans 0 .. i: E 0 Foll owing the meeting of this morning with Mr. Svoboda of 0 . ~ the Bank, we are illustrating below the Cassa desire as to the al- ] C location of the proposed Loan funds and of the balances available :, under Loans 117 and 150 IT. j- ·c A. New Loan "' 0 .. a. 1. Six industrial projects $ 29,360,000 2. Two power projects $ 29, 201...,' 0 1 )0 3. Two Irrigation projects $ 16,440, 0 )0 $ 75, 000 ,000 B. Balances on Previous Loans - Availability under Loan 117 IT $2 ,400 , 000 - Ava ilability ~der Loan 150 IT t3 ,450,000 Total available $ 5,850,000 Proposed allocation: 1. ABCD Industrial Project (2nd loan) $ 4,480,000 2. Addition to irrigation, new Loan $ 1,370,000 "O 0 ~ $ 5,850,000 "] ; C ASSA PER IL MEZZOGIORNO Foglio n. 2. In the same meeting, we have also discussed the following two points with rnr. Svoboda: a. In the event that the Taiani Industrial Project should be cleared in time for consideration under the new Loan, then the Cassa would suggest that the necessary amount for financing such Proj- ect ($1,440,000) be made available by deducting it from the proposed allocation to irrigation under the new Loan; b. In the event that the Bank would consider it important to include the Calabria Project (:3 million ~ in consideration of a 60% financing on the expenditure still outstanding after September 1, 1957), then the Cassa would agree t o have the necessary deduction made from the amount proposed for irrigation under the new Loan. Consequently, the Cassa would agree tha t the allocation of t16, 440,000 to irrigation proposed above , could be reduced in the follo,ving alternative ways: , ~ i. Under event a., $15 ,000 ,000; ii. Under event b., $ 13,440,000; iii. Unde1· both events a. and b., $ 12,000,000. E 0 "" It is understood that no change is involved in Loan 88 IT which, in accordance with the understanding reached with the Bank's .. 0 c E Mission, will remain reserved for the Agri Project • ~ ., C a< We hope that the clarifications herein given will enable the Bank to make an early decision on fund allocations under the Loans, and permit the prompt signing of the letters of commitment by the industrial borrowers. Ii th best regards. Sincerely yours, THE PRESIDENT 7~ Gabriele Pescatore INTIERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT WASHINGTON 25. D . C . No. 2 Horne , October 7, 1957 Mr. A.D. SpottS\Vood Chief , Public Utilities Division International Bank for Ri:iconstruction and Development Washington , D. C. \ Dear Spotty , t/ // I received your letters No. l and 2 of October l and .3 . I am sorry you did not have my address here , but I had written to Pete Kanters from Nor.vay and I had assumed that he had given it to vou .. Anyway it is : Inter no 10 via Lncullo 3, Rome . I also hope that by this time you will have received my report on Finland. My last week L~ Oslo was a little too hectic to get it fi~ishcd and as I expected to find a secretary in Rome I decided to postpone it . Wi-f:,h regard to the changes in the Catania project , I have a copy of the Cassa letter to the Bank and Groenveld and I are having a meeting this morning with the Cassa to clear up this matter. I will mail you a short report . I came back yesterday from a visit to Sicily arxi work on the Cata.~ia project is moving ahead fairly satisfactorilv but there has been a considerable delay in the start of the canal and distribution network because of all the changes in 0 the plans. I made U!) a ·tentative travel schedule and I expect to be fairly constantly on field trips the rest of this month and with the final meetings required in Rome I should be able to complete my work here sometimes during the first wee!( of November . I enclose two papers on the Our project which might be of "I interest to the lawyers (Mr . Delaume) . Finally I have a personai reouest . Could you please arrange to have mailed to me checks tg..talling Lit . 600, 000 , preferably denominated in 50 ,000 and 100, 000. There is no immediate hurry so they can mail them by regular air mail. With rrr:J' very best regards. Sincerely yours , ,, E21cls. Christian Finne llf'1 I/ 9 iii Aid A~ -U/ l!JSJ • . ... FORM NO. 209 INTERNATIONAL BANK FOR (6. 57) RECONSTRUCTION AND DEVELOPMENT INTERNATIONAL FINANCE CORPORATION INCOMING MAIL ROUTING SLIP Date OCT 8 • ~, Mr. Beevor 1013 Office Services 203 Mr. Black 102~ Mr. Perry 620 Mr. Broch es 1113 Personne 1 Div. A521 Mr. Cargi 11 500 Mr. Poore A318 Mr. Consolo 521 Mr. Reamy A321 Mr. Cope ll03 Research Files 112~ Mr. Demuth ~21 Mr. Riley 1126 \ Mr. Doucet 1009 Mr. Rist A~l7 E. D. I, Mr. Rosen 500 Mr. Garner 1013 Mr. Rucinski 620 -e 1 Goor Mr. Hami 1 ton All13 1103 Mr. Schmidt Mr. Sommers 1003 521 Mr. Howel 1 1107 Techn i ca I Op. 308 Mr. 11 i ff 1003 Translation 1106 Mr. Johnston A318 Travel & Trans. 1109 Mr. Knapp 102ll Mr. Wool I ey 1007 Mr. Mendels 1009 Mr. Worthington A316 Office of Info. 221 Iv l"/~-=ld tc=.!~ ·- Remarks: __,-; I~ ~ I ~ General Fi Jes & Correspondence Section INDIRIZZO TBLaGRA~ICO t C ASMliZ • ROMA I t CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE (CASSA PER IL MEZZOGIORNO) TRANSLATION l'rot. N.5/ 118 .13 Posiz. ~E/mg Allegat:. ROMA . U.i?..r Lt I J(j ,- 7. . V IA ANIIENI!, 14 T F.L. a,g,,4-20 - 26 - 27 ... 28. 2D Risposta a...................... .. de. N. OGGETTO, ................. ........ . International Bank for Reconstruction and Development 1818 H Street, N.W. Washington 25, D.C. Gentlemen: 2 C Subject: Loan No. 117-IT - SIN0At_Pr2,_ject " e 0 .. ~ 0 We refer to your letter of September 19, 1957, and express t ] our thanks for the approval given to the change in the SINCAT Project .. C :, financed under Loan No. 117-IT. ~ ~ ·c 0 As the Bank is not specifically requesting any formal amend- e 0 .; ment to the Loan documents in respect of such change, we assume that .. 0 :. no such amendment is required • :I: ~ 'c We wish to assure you that we have already expressed strong " "' ~ resentment to IRFIS and to the concerned Company about the fact that 0 ;;: no previous consent to the change has been requested before starting actual work. e " ·t' (, ~ With best regards. --S incerely yours, THE PRESIDENT ~ ) Pescatore ' <.i 0 0 ) • L r t /: { / I ( ' nr.y A 4 oo Pi1 ,~7 nr.r A 3 sg Pit 19:i/ -------- 1 .. V ;: ' INDI AIZZO TaLaGRA,..t CO t CA.SMaz - ROMA ' CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE (CASSA P ER I L MEZZOGIORNO ) Prol. N5/1181S Posiz . . RE/bi 4 OTT 1957 Allegati Via Aerea R O MA Risposta a....le.t tera . . .... PIAZZ A DEi CONGR E551 N , 20 (EUR) del.... .19.•.~. 95.7....... N ... TEL, 67"19 occEno, .......P:re.s.ti to l..17/IT Progetto SINCAT Spett. BANCA INTERNAZIONALE PER LA RICOSTRUZIONE E LO SVILUPFO 1818 H Street WASHINGTON 25 D. C. Si riscontra la lettera sop:raindicata e si ringrazia per 1•approvazione data alla variante del progetto SINCAT, finanziato con il prestito 117/IT. Per la variante di cui trattasi cotesta Banca non ha e- spressamente richiesto modifiche formali degli atti di prestito e si presume pertanto che non siano necessarie. Si assicura comunque di aver 1)rovveduto a richiamare vi- vamente l'IRFIS e la Societa interessata, peril fatto che non e ... ""' stato richiesto il consenso alla variante prima che avessero inizio a. ;;; i lavori effettivi. Con i migliori saluti. IL PRESIDENTE (Gabri~ '-r;l ( I 17 October 1, 1957 Mr. Cbr1at.1an fume c/o Mr. Petru.a A. Linter• Grand Hotel Rcae, Ita:q Dear Chriatian, I.pan No, ll7-IT Catania Im,eation Project • have rece1Ted trail Ca1sa ~ t r o. 5/11900, reference RE/bi, dated Se~ber 2f; 1957, which encloses a report (ID cban&•• in the aboYe projeot vb1ch will require a chant• in the project deecrlptim, and aaka tor Bank approyal of the change•• The report i t•elt not Cllly describe• the changea but also 9U8gesta now wording tor the Loan Agreement. J. marked aap ahowin 11.nea of canal.a eto. 1• also attached to the :report. Would you and Groenveld kindly get hold of a COP)' ot the letter and report, examine the propoeed changea to eee whether the7 are beneficial to the project and acceptable to the Bank, and CCXlaider whether the proposed new 1o1ord1ng tor the Loan J.greement suts•.ted b:r Caaa ia u.tiafactor;r. When you have dcne tbie, pl.ease e.dViae b;r airmail ao that ve can give your Tiewa to the VorldnB Party. In the event that 70\l are unable to obtain a cop;y of tm letter and report, please cable and w vill send the cow ve have just received to you. cos Mr. Wheelock A. D. Spottarwood Mr. Reid Chief, Public Ut1llt1•• Divisim Mr. Jago Department ot Technical Operation.a WLJagouneo I t' i ,. I ND IRIZZO TRLEGRApl'ICO CASMIIZ • ROMA 1 CASSA PER OPERE STRAOROINARIE 011 PUBBLICO INTERESSE NELL' !TALIA MERIOIOINALE ( C A S S A P E R I L M E Z Z C) G I O R N O ) TRANSLATION Pro. N. ...... .......... .. Posiz ... RE/mg., 2 5 SET 1957 Allegot1 .... . ROMA .............................................................- VIA ANIENR, 14 T•L. 8'-0420 - 20 • 27 • 28 • 2D Risi;-osto a .. ,el ... OCGETTO: ········ N..................... _/ iJ) ~I> International Bank for Reconstruction and Development 1818 H Street, N.W. Washington 25, D.C. Gentlemen: • 0 .. c E Subject: Third Loan No. 117 IT - Catania Irrigation 0 OI :;; Project C / :, 0 ] ~ Further to our letter No. 5/20928 of December 28, 1956 enclosed please find a copy with English version of the report t .. 0 ~ e illustrating the changes introduced i:n the Catania Irrigation Project . Q, Such changes have been already mentioned in the qJ[arter- .. ly reports submitted to the Bank • OI e We remain awaiting a kind a:pproval from the Bank to the Q, ;;; project changes illustrated in the attached report. With best regards. Sincerely yours, THE PRESIDENT /s/ Pescatore - Enclosures .~fp .~ /:,~ OIi . ~ ,,., /957 ...__ ____ ----- . (. j ' fN DI AIZZO T B La(IRA~ ICO I CAS MliZ • ROMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NE:'..LL' !TALIA MERIDIONALE ( C A S S .Ii~ PER IL M E Z Z O GI O R ,N O ) ;.... , • • nr 11 .. . ' ' \ ,J ..~ ..., ! ... .... Prot. N.. Posiz. ~;;./bi Allegat; j. 25sfr m 7 ROMA .. .. . Risposta a. PIAZZA DEi CONGRESS! N. 20 (EUR) Tl!L. 6779 del N .. oGGEno, .l.l l?r.r.(.l_si..t..t.o. BIJS-117/IT trogetto irrifUO Piana di Spett. 3 - C\ n.,, , r: tZI01I .LE l' 'R :.\ . ................. Catania - .\ICO,..·r 'U?.LJ:. : J LC SVIlU.r 0 ... ---= .-. --- ---- 1818] Street ,ASI:n·amN 25 D. :J • ... c 0 .. F·wendo segui to · lln. 1 et:era n. 5/~091. 8 del ,.,.3 dicem E 0 .. i?' bre u. s . , ~cclusa nlla ~resente si rimette una copia, con :ra- 0 ] C: duzione in i:n~l ese, dell'.1 reli1zior:e reLlti va Mlle ul teriori va :, :'! r..:.anti c:.p ortate al nroretto irri uo dPlla }iana di Catani8 . " ~ ·c "' 0 e Di tali varianti gia si e fatto cenno nelle relazio- .. ~ Q. ni trimest~?li inoltrate . !. ~ Sull e vari.:u:ti c1i progetto ( sottolinea te nella relazio :o . .. O> ne rlllegata) si rest:-i in 1.tJ.:;esa di benestqre da parte di cotesta a. .;; Banca • '1istir:ti s-::il uti. ...1 - J. ...... > • J SI""".,...~.ri., J ,1 J. ..J (Gabriele ~esc~tore) F ,IRM NO. 59 ( 2. 55) CROSS REFERENCE SHEET COMMUNICATION: Letter DAT ED~ September 19, 1957 TO: Mr. ltl.pnan FROM: Walter J • Armstrong, Rome. :FILED UNDER: Ital;y - Fifth lean negotiations. SUMMARY: Regarding work of Mission. It appears Novilegna (Loan 150) will go ahead, we're to know a final dectsion in few days. Chemi.ca di Serrano probabl;y m.11 be dropped, this means that ABCD won't fit for Loan 1.5'0 & we'll have to straggle to piece out both ll7 & 150. ~ - - September 19, 1957 Cassa per 11 Meszogiorno Piazza dei Congreasi N. 20 {EUR) Rome, Italy Subject: Loan No. 117- IT -- SINCAT ProJeot Gentlemen: We have considered the proposed change in th~CAT project ae set forth 1n your letter No. 9408 or Auguat 19, 1957, and its enclosures and approve the change as described therein. Although we have approved this change, ve are concerned that IRFIS had not formal.17 approached 7ou to obtain our consent there- to before work had actually begun. Yours truly, s. R. Cope Director of Operations Europe, Atrica and Australasia cc: Mr. ~~ R. Batesin Mr. W.J. Armstrong Mr. M. F. Verheyen F)R ~ No. 5e 15. 4F.!) INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT OFFICE MEMORANDUM I I e TO· Public Utilities Di vision Dept . of Techn:ica.J. Operations I- {/l DA TE : August 30 ,1957 FROM; Statistics Di vision, Economic Staff . u. SUBJECT: Italy - 117 It. - 'l'alVccchia ~AJ•\ I am transmitting herewith tnt Contro~ Book together with the outline of proposed construction work on the above project under this loan . This outline does not contain the infonnation required, for the purpose of showing const.ruction progress on the major p$rts of the project, by ~ans of bar charts, actual and scheduled progress, estimated starting and completioh dates, etc. '1'herefore a progress work summary cannot be set up . Att : 2 r .. . '1.. INDIRIZZO TELli.GRAPICO CASM E Z • ROMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NE:LL' ITALIA MERIDIONALE ( C A SS JS. PER IL MEZZOGIORNO) 9\08 TRANSLATION Pro . "- .................... Posiz ..LV/mg.. . 19 AG~ Allegat1 ........................... ROMA ...... ................................. .... .......... ........ . TaL. 8 40 ... 20 - 2e .. 2 T • 2 11 • 2 9 Risp::>s a a del ................. ..... N ..................... OG3ETTO: ..... International Bank fo.r Reconstruction and De·velopment 1818 H Street, N.~. Washington 25, D.C. Gentlemen: Subject: Third IBRD Loan No. 117-IT - SINCAT Project 0 i: w E 0 OI .; SINCAT has informed the Cassa through IRFIS that they have " ::, llllderway the construction of a nitric acid unit which was not included 0 0 ., llllder the original Project for the production of compound fertilizers, ~ actually financed under Loan No. 117-IT. ~ ] c a, 0 The estimated cost of this new accessory unit, which will .. a. enable SINCAT to prod·uce also their own nitric acid within the plant, is 800 million lire. SINCAT, however, has stated that the total cost for implementing the program (including the new unit) will be contain ed within the limits estimated in 1955 at Lit. 7.5 billions + 4%: - i.e., it may range between 7.8 and 7.2 billion lire. - Expenditure bre(ikdown among the individual items is the same as indicated in the original project, excepting a decrease in the amount for interest payable from 540 to 240 million lire, and a corresponding increment in the item "expenditure for starting up, miscellaneous and contingencies": this item is increased from the original 807 millian lire to 1,107 millions . In other words, SINCAT will be able to utilize 800 millions of the item "starting up, miscellaneous and contingency expenditure" for constructing the eccessory nitric acid unit without changing the original estimate for the total cost of the -Project. ·~. • ,/ CASSA PER IL MEZZOGIORNO 2. As indicated in the quarterly report recently submitted by the Company to the J3a.nk, the construction of such unit has reached a physical progress of 80%: its completion will enable 3INCAT to produce actually some 30,000 tons of 100% nitric acid per annum (quantity suf- ficient for the entire production of compound fertilizers proposed under the Project) at a cost which is lower than the estimate made in the original analysis: namely, 26 lire/kg instead of 29 lire/kg. SINO.AT has also informed that raw material costs may be con sidered as unchanged with respect to the estimates of February 1955, excepting a 15)& increment in the cost of phosphate rocks, due to price increment at the origi.n and an increase in freights. Conversely, SINCAT technicians have succe:eded in reducing by 5% the original estilna te for producing compound fer·tilizers: this is clearly shown in the two tabula tions prepared by SINCAT and attached hereto, one containing the ori- - ginal analysis of February 20, 1955, and the other the current analysis made in June 1957 for estDnating the production cost of a triple-formula fertilizer 8: 16: 8. We are also attaching hereto English copy of a SINCAT report on the new nitric acid. unit, together with a table showing the produc- tion cost of such matetrial, and a. tabulation comparing the original cost estimates with the current estimates as of June 1957. The Cassa i1:1 bringing the foregoing to the attention of the Bank, and remains wa i t;ing for the l3ank' a approval on the above change SINCAT Project. With best reigards. Sincerely yours, THE PRESIDENT ~ /s/ Pescatore 0 § 0 - Enclosures .... .- -0 0 ~ '•-""'~ ....'L ' .~ r· ,, CASSA PER OPERE STRAORDINARI E DI PUBBL.ICO INO•Rl % Z O IN T E: RE S ~ E TEL-EGRAl"ICO CA6MIE.~ • AOMA N EL L' !TA LI A MER I D IO N A L E (C A SSA PER I L MIZZ Z OGIORNO ) Prot. hi . 9l0 S Posiz. 19 AG0.1951 Alle;1:111 . ... ) PO M " tCtPOtllfitl[ 16 i:' !t'H 1aonag · a1 - ao - z11 Pl .:1.ZZJ\ OE.I C ONGh'E5S I N. _.O (£UR) del N. Tt-- L . 677 9 ' . J.? I T il_ ) . ) T vr 1 .r ( t t, r J J. , • .. 2 E 0 ~ C - ...... •q . ,~ •r l' +"'I r•n r I . • t \ I.-. • '1 ,.. :, tn ~ *'" 1I -y*1 () ., i I nr .; in,.., r1" ., 'T 111 ..., ; ~ r• 1 (' i .,n t.o r • ,... () i n~i Li n;::r,117 i,, +0 ,., • ,,-, C () ni T +,.. -~ " ; r> ~ r c""'" -+ .; t- 1/ / fr' ,.. I r- . 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"' ...., -r p Ll Ii · ., r to ::::111 Cl i - ," r V"' ' i P n fl ..., 1' • i ri :0 " 'ii l (> ~ j "' • -1-..., ·-=i ,P - I"'') ~· JP t to I r.i - rP.- !' r [ VI ) fillh ?? q U6 AM C,7 - - - -· • , CASSA PEA IL MEZZOGIORNO ('0 tr'" 1"'~ ' n P r . ·n l t1 - co rr () C(J +r ' ' .t ~ p t. i , uYJi v ~ tn ~ j.) f!"t' tt. r R l-:1 ' l [' I' .,. r i r 'r\ . ' ' 1 1 ""on e late ~n- n •tP. •ii: ntP 1 'it ~ p,... rn 1J11 • one . + Vl~ .~ ) 1' :o •to i , 'E)ri1 rP a. l'"l ' i l n 1''1 t I () )' ; ,r.ta·i • l"I r.i 1.-. 4 t,) i "lO 1 tr11 1r '"'P 1 1 , c' A . C'O ti fl le ,· 1 i E' ()' f110 CO ,'"'l•~er"TSi 0 lV'"lrl.-+,. l'i....,H+to "."! JP, r...,p_ vi r lf' 1 or 11IRtA ••f-• 0 ltrr~·o . ,l . . . 1 cc 1 7.i"~ ..: 'ln ~u erto A~ P,1 1!0•'1() {, 1~ IO'n(YY·iti, •luVI O r-'l 1 ntf' Gi nrez- i 1 0 r 1( ·1 ~.,P n '"I 11 nJTPTI\) El ~nr.:tn Pl ioli. 11"- 1.V 'l 1~ 1'11 " rn ri t"°'C 1l1)i ii O l ri 1 c•i ti ' ,·id•ir1·A l ,o f'l ) iJ 1 .11"CJ 1•'1().li:"> Ai f1 ·ti f'(' It ) ~0 J~ssi '1 .. 1'0 rry t~ () l"(!VPtiV'to. co .... 'VLP.1te n] rp 'ror+-ntrniiUP rn ,:) t' ·rr.t . L'3.vi 1n ·iet·., p '11 at le 1. ( al.le .. ,r 1""entP, er V'i l " . ,i·i , ,.., r isi ')Yo ; l "y•ip "l l~/J, P. ,.,1,.,Jl.::1 <>tt1mlp ~1 ll' 1 o "·'1 · i "l t~nqt() 1 ·o t ' 7 1 /IP. Pl f._,...··t.i ;·7 ~-:i,n+,- ·o ,ln-4~0 r..;, . t tf l (" r(.\ '(l " i ; . ~ r l O •, • 0 9 ) tr, i -1-y-i o, . ·o ttO ~ Jl l 1 1 :1J • t 0vc ) r L l 1'0 I I i 10 1e q-' 1n ..; , i~, ro n,1. to, ~ ; i ( A. 111 ".'\ • 1 I ) l"() A t ~ b P, l 1 "=l 1i i re t0 -I •I l fa ,..,. nri C :,I i i 'J rpvi 1 ) '"' ·1 ' "'t P ' i J () J l 17. > f• '11 ,. r P rn p t r1 00 • "I , r, 11 8 t " ,q c; S? t' 8 ~ i ... i A. t t P.- "" q 1 .-i f-r r· • ~!:> io li r;n r::t" o f""L ei ·cp ,. y.-,ri '71<1'1.P. ti rt 1 • tc i 1 ro l .q, • <") i I 1• 111r'I. ·~J 11'"i . ( ~a. " 0 )I ' • Mr. HeD17 W. Rile7 August 14, 1957 R. G. Bat eson ~ Loan No. 117-IT - Dr op,ping ot t he Sicula_zot o Fertilizer Project. By an exchange 1 / or letters dated Jul7 12, 1957 and July /26, 1957, the Bank and the !Cassa have agreed in pr i nciple t hat the above Project shali be lb'oppe~ f r om the above Loan, and t he amount allocated theret o ($2, 4DO , OOO) shall hencef orth be considered t o be an unallocated amoun•t. The Loan Agreement r eme:ins effectiTe as t o that amount and, amoi:ig other things , co!Clitment charge in respect of that amount shall 001ritinue t o accrue and be payable• The allocati on ~ r t his unallocat ed amount to another pro ject i s subject to t he appr o,ral of the Bank. It will become ava ilabl e for a substitute Pr oject onJL y vhen t he r equirements of Article VIII of the Loan Agreement have been satisfied in r espect of t he substitut e Project and Schedules 2 and 4 of the Loan .lgreec ent have been appro- priat el 7 amended t o incl ude t he substitute Pr oject. r e should not be any r equest t o t he Bank f or Accordingly, t h~1 vi thdravals of amount s f'rom t he Loan Account on account of t he Siculazoto Pr oject, nor on account of any substitut e Project t heref or until the toregoing r equirements have bee.1 sat isfied. cc i Messrs. Ca'VaDAugh Wheelock Ross de Alba Verh.,..n Street Legal Files - ,. , IN DI RIZZO TELEGRAFICO C A SMllZ • ROMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE \ NELL' !TALIA (CASSA PER IL MERIDIONALE MEZZOGIORNO) TRANSLATION 12 AGO. 195 Prot. N.................... ... Posiz...... I.J.Y/rng Allegoti ROMA ............................................................ VIA ANl &N K, 14 TSL. 840420 - 28 · 2T .. 29 • 2 0 Risposto o. del ......................... N ..................... C·GGETTO: .. ... ............ ............................. International Bank for Reconstru.ction and Development 1818 H Street, N.W. Washington 25, D.C. Gentlemen: Subject: Third Loan No. 117-IT - Quarterly Reports .. 0 c E Following the understanding already reached, enclosed please 0 en :. find the quarterly reports as of June 30, 1957, of Augusta Petrolchimica C ::, 0 and Sincat Projects, beneficiary of a financing out of funds of the 3rd 2 Loan No. 117-IT. le C "' With respect to the Augusta Petrolchimica - as shown in the forms we are submitting you-, results that the works related to the .. 0 ~ a. financed project have not yet been initiated and, at present, the program of the Co~any is underway. The Cassa has no objections to make on the above mentioned report • .. .. OI ii. As to Sincat, on the contrary, it should be noted that an amount of 800 mil.lion lire is indicated, in Form B under "miscellaneous", for implementing a nitrogenous acid plant; which represents an innovation in respect of the previous project. This variation is not mentioned in Form D included in the same report. Anyway, the above variation will be ana- lytically considered in a separate letter which will request the autho- rization of the Bank in respect of this change. Reserve is ma.de of forwarding, as soon as received from IRFIS, the half-year reports as of June 30, 1957 of Augusta Petrolchimica and Sincat Projects. With best regards. Sincerely yours, TID; PRESIDENT Isl Pescatore - Enclosures I .....;..iv .. D ' .. ,.. L (_ . .,.... ' ' .··· I I • , t NOtRI Z ZO Ta L •O A Afll lCO C A•Msz. AOM• CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' !TALIA MERIDIONALE (C AS S A PER IL ME Z ZOGIORNO ) VIA AIR MAIL • Prot N r I J . J Posiz BM/mg ' • ~ 9 AGO. 195'7 ----- r I Allegat R O MA VIA AN l «NR", 1 A R,sposta a de' International Bank for Reconstruction and Development 1818 H Street, N.Wo Washington 25, D.C o Re: Loan Noo 117-IT - Augusta Petrolchimica Project Gentlemen: Pursuant to Section 3o01 (b) of the Loan Agreement between us dated June 1, 1955 (Loan 117-IT), as heretofore amended, (herein- after called the Loan Agreement) we hereby request your agreement: < "' ( < 0 1o That the Loan Agreement be hereby further amended by: (i) deleting paragraph V of Part C of Schedule 2 thereto and sub- stituting therefor a new paragraph Vas follows: "AUGUSTA PETROLCHIMICA Anhydrous Ammonia Project o Thia Project consists of an ammonia plant near Melilli-Augusta, to be constructed, owned and operated by Augusta Petrolchimica~ Sop.A., with a capacity of about 33,000 tons per year of an- hydrous ammonia o"; (ii) deleting the word "Fertilizer• where it appears in item 5 of Part C of Schedule 4 thereto an substituting therefor the word : 11 Ammonia" o 2o That the foregoing amendment become effective (a) when you shall have received evidence satisfactory to you that the requirements O:• ... CAS S A PER IL ME ZZOG I O RN O f~ I ,. 2 set forth in Sections 4o01 and 4.03 of the Loan Agreement have been satisfied in respect of the Project described in the pre- ceding paragraph (including, as part of such evidence, an opinion satisfactory to you of counsel acceptable to you showing that the arrangements and agreements to which such evidence relates are valid, binding and enforceable in accordance with their terms and contain valid provisions satisfying the requirements of Section 4o03 of the Loan Agreement) and (b) as of the date specified by you in a notice to us of your acceptance of such evidence. Will you kindly signify your agreement with the aforegoing by signing and returning to us the enclosed duplicate copy of this letter. Yours very truly, THE PRESIDENT CONF:i:RMED International Bank for Reconstruction ~Development By _ _.. ____ _@ s. -~_-' ·+-1. R. Cbpe ,1a1../Ci- - - Di r ector of OJ,~ration~ Europe, Africa e.nd Australasia INDIAIZZO TaLaGAA ... ICO I CASMaZ - AOMA /I I 1T. CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE (CASSA PER IL MEZZOGIORNO) Prol N. - r r ~ t 1Jh 1- r V Posiz.... ..... / l ~ • 9 AGO. 1957 ROMA . Allegali. Risposla a .. PIAZZA DEi CONQReSSI N, 20 (EUR) TIU... 8778 del N. 7/IT - tltrol- vlb 1 tTee t, · . • I • 1 sensi Jel ~~rA. r~fo .01 (b) dell ' ccnr~o Ii re- ,..,ti+o tr'"' PnCA. e nqo~ ir t11ta .. o ill!lO 19JJ ( rP."ti+-!1 1 .. 7/T'fl), com1 "inor8. A en °to, (' 1i'c:nto nell!;li ,re'-len..,~ co e cc0rdo di .!!. C >resti.to) c:ii chieue ..:1 co"'lc;~nso ielln BPr~!:l r.iffi.nr.hA: ~ 0 " ~ ' C<'f"lr o rh rActi_ to VAY\ Q ·11 t rior Ant A e enc pt,o con lp 0 2 rµsrn te: i\ C: "' 0 (;) ~~nrA11on1o . , co rt~,.. i ti· V All? Qrt.A r. P.11 ' lento~~ ~ t.-1 le ccordo, e uO ~ti t 1An io '-l , ec:iso 1m ri1·nvo co a V r.hp II ro etto rr m idra , 1Att.o r> i ..;" t.o ,.1.i A. oniA.ca nni pr-. se'.'i i che srtr: en strn i to ed e~PrCi°'"O ::i,l ~ 1"0Tl,..i.Pfnrj!'"1 1l'~t.q, p4-rolchi iCl=l. , -r'·i-1. · , coh Un" r•apaci~~ · circa .5J .r\.ll ton1A lat.A armue ,; ~r 01"'!:!CR. anidri:i. "· (;i) Cm)CALl 0 1~ "'--irol,:~ C'C'\YlCi i. 'l 1 la VOC8 5 aella 1,.Q 11 11 r3.rt~ C de11 ' l lA , to 4 ., tnlP rcnr(1jn tn 11. fj-y, .., p ' r:ille rit.., c.o >iP ; ... , 11 1 i •nto t1f-'.\ 1 jl COrc:; 0 "'..,0 1 resen .,. ·~ ... " i, P. 101lq rrion,:) lett,Ara, . ~0 nr.~ .... r!i.,.C'P la r.~c;- ~TJ.L'I (r,,.,_~ P ,rl O :, , !.A 0 E 0 "" 0 e ., i: ~ 0 C: ,;;; ., 0 u0 "' w ' • ."> •' IN D I RIZZO T at..& G R A fllC O t CASM8Z • ROMA ) , ¥ ) CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE ( C A S SA PE R I L MEZ ZOG I O RNO ) 1"/a..1..'A Posiz.. BM/1 V "'9 AGO. 1957 ~ Prot. N. ,., 7 ,~llegati .... R O MA .. .. Risposta a . ........................ PIAZZA DEi CONGRESS! N. 20 (EUR) Tl!L. 8779 del. .. ........ . N .. OGGEno, ... s:t~ to . ii?./IT - P.r~. BANCA INTERNAZIONALE PER LA - ~~~~!o_~.~gusta Petrol- RICOSTRUZIONE E LO SVILUPPO 1818 H Street, N.w. WASaINGTON 25 D.c. Ai sensi del Paragrafo 3.01 (b ) dell ' Accordo di Pre- stito tra Banca e Cassa i n data 1° -giugno 1955 (Prestito 117/IT) , 0 come fL1ora emenuato , (i:idicato nella presente com e Accardo di c Cl E Presti to) si chiede il consenso della Banca affi nche : 0 ~ " 0 1. L'Accordo di Prestito venga ulteriormente emendato con la ] C: presente : :, (i) cancellando il co~ma V della Parte C dell ' Allegato 2 a !• "' 0 ;; tale Accordo , e sostituendo ad esso un nuovo comm reciti : a V che a. " Progetto AUGUSTA PETROLCHIMIC A per a.mm oniaca anidra . Detto Progetto consiste di un impi a.i1 to di a.ninoni aca nei pressi di M elilli-Augusta che sara costr ui to ed esercito dalla proprietaria A ugusta Petrolchimica S·p ·A·, con una capacita di circa 33 .000 tonnellate annue di ammoniaca anidra•"i ( ii ) cancellando la parola "concimi " alla voce 5 della Parte C dell'Allegato 4 a tale Accordo e sost i tuendo ad essa i "O la parola "ammoniaca". ~ 0 § 2· L' emendamento di cui sopra andra in vigore : (a) allorche la ~ ., C) Banca avra ricevuto elem enti di prova soddisfacenti per la ti C) Banca che i requisiti fissati nei paragrafi 4•01 e 4.03 (') dell'Accordo di Prestito sono stati soddisfatti in relazio- ne al Progetto descritto nel comma precedente (comp~enAendo ji,' /l 1r ,ti. r, " '• PER IL MEZZOGIORNO ?. . . . . . . .. . . . . . Foglio n.......... come parte di tale prova il parere soddisfacente di consulente le- gale gradito dalla Banca che dimostri che le misure e gli accordi ai quali si riferisce la prova stessa sono validi , vincolanti ed esecutivi in virtu dei lore stessi termini e contengono provvedi- menti validi a sJddisfare il disposto del Paragrafo 4. 03 dell'Accor- do di Prestito ) ; (b) dalla data specificata dalla Banca nella noti- fica alla Cassa Jell'accettazionc el la prova di cui sopra da par- te della Banca. Si prega volar significare il consenso della Banca circa quanta sopra esposto mediante la fi:i:ma e la restituzione alla Cas- sa dell ' allegata copi a in duplicato della :vresente lette:ra. Distin ti saluti • IL PRESIDENTE (Ga ·el9 PesQ4~e) • E 0 ... 0 PER CONF ERMA Banca Internazionale per la Ricostruzione- lo jiluppo L .. J FORM NO. 75 INTERNATIONAL BANK FOR 'l (3 !52 ) RECONSTRUCTION ANO DEVELOPMENT • • - . Date RbUT I NG SLIP HAME 7'1 ROOM HO . Jr- -----=7t.ffi?l,iJrr I ..... C ASS A P ER O PER E STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE (CASS A PE R I L MEZZOGIORNO) TRANSLATION Prol N. Posiz. BM/mg Allegat. ROMA .. VIA ANIK.NE, 1 4 'T'EL. 849.420 - 2 8. 2T. 28 • 28 Risposra a ......... . del N OGGETTO· ......................... . .... · - ········· International Bank for Reconstruction and Development 1818 H Street, N,W. Washington 25, D. C. Gentlemen: Subject: Loan No . 117-IT - SICULAZOTO~oject I .E .. C E We have received your letter of July 12, 1957 with which 0 l: the Bank agrees to the cancellation of the SICULAZOTO Project from 0 ~ Loan Agreement No . 117-IT, leaving available to the Cassa the ] C :, amount of $2,400,000 (equivalent to Lit. 1,500,000,000) allocated ~ thereto for financing new undertakings , subject to previous ap- 1 ~ ·c: "' C e proval by the Bank. • ~ G. It is understood that the above funds made available by ~ C cancelling the SICULAZOTO Project will be utilized for substitute I Projects only when Schedules 2 and 4 of the Loan Agreement No. '6 117-IT will have been appropriately amended, and only when the re- ' c, quirements of Article VIII of the same Agreement shall have been • L v satisfied in respect of such new undertakings. It is also understood that the commitment charge in re- spect of the above amount will continue to accrue and be payable to the Bank. With best regards. ., Sine erely yours, J ., THE PRESIDENT " ('J /s/ Pescatore \ \ a\ enc +OLG ur ?q I j/ PM T 1 n;c GJ.. r'A 7-.o re .f!JJG .BSJJJ, • 8DE c.p oi, 4!PG poti..6 S'IDO.mJ.f t~Jr cou:f.~JJ.N'G ~o CCl.JJ sr p6 T 'h. PJE; ,~ ~a rao rn1.0L' ~oog ~µgr, +P~ co1mnrt~Ctf ~µgL ~ rn N - El~ ~:rat:rGg :fJJ I,GcI>ec~ o,t arroJJ JJGt\ m1 ;1 et.+·SR:TD 1 1.rrtLCT GIJ'~2 Ot, Lt:'.f CJO AI!I O tJJ a 1!16 '°:l.6i...... i:?} µ, .'l pGGlJ + rr J J~-Ili ri:rrr ·.1..r.. pt.on siu.:i:.o1:r~:ru "r u eq 1 ~era •q cu::-1~ .m~IJ -4'°:J.TC ::. - x. , ~ C.f!S cuJ:b. Mp-su cpehJJ.fJGS dnq v o~ .tJJ~ ...,ogu ",.f :LGOIL D.f' CJDCSTJru~ +JO C!ll 'OJJO LO~GCf. 'tJJ p~ rr+:rrr •eg tOL rrpan ~nrc ...+ :ra rro,1.:.::;;.~;oog ;µl;j~ +Jrn -..;pc.AG :i;m1qa go can:rra :;o p'}. bt.OA r }:,A ;pc Jf.:,IJJ{ . c't.. r,:n -r:m:pJR llGM mrqE L+8'J.. :flJ ' rrp1ec~ ;o n1.sa:rorra ,- C" or.m.p o.. a tO' ) O~O (Gd'n:r.t-.""JC1J+ +O l'f+ · l a~c;o)ooo >c o) ffJJOC8,t ''J !J 1 D"..S6LJ lJ .p I1.0 ' J Jl·-!~ ~ J6SA:flJ~ $.AS:fJEIPJ G .r.o .rµs G a~o +PG DJ rr 1.-&o +o ~P c ucsr1st;on o~ ;µ ~I~n ·cio 1 Lo~ec+ tL lJ I, Q ! Gt.'i=f AGg aoITT.. JC,t ~GI. Ot 'lfl'!i J ' t!~ IX! .tJT fAJJ:fCJJ f:J8 rp, .PC'D 2~ •: • 0 t! l I.GG.(! ~ 11 " • 'GCOIJa.p:.rrc~1-C\U r nq ..,611.GJOr, GJJ.,4: ~L~6I.l, trovgy JS'I.Ty.. tOL .} . ~ .. . 111Err, 1.1.'0' 'O' IN H o OL-1Vr ..... c; :-,, "Cf ,fl:. 0 E. L. • !::SE ... . IN DI RIZZO TaL.&GRAfflCO t CASMaz - ROMA ., ' CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' !TALIA MERIDIONALE ( C A S S A P E R I L M E Z Z Cl G I O R N O ) s/ 81 ~3 P·ot N. . .. ... .... Posiz ..... /1 V ROMA . Allegat . ........ ...,A AN11P:NW; , • T IU., 8~11,4_~0 - !,_8 • 2 7 • 2 8 • 29 F !isr>osto a .........et te.Y'.~. de. 1 ~ •.'] . 57............. N. "T oGGEno, -.re.s.ti.to .. .n.~............1.7/IT- J... ,fi. ... J ·- · o SICU ......1 ~'ID - .. ····················· ~ G'MN ?.~ l .c. ~· p~rvenuta iLa. nota a 'lJar<>·inP se -natR con l'"' (1Jl!l.1e co lesta Banca autoriz,za la cancellaz,ione del J?rn ·etto " )icula- z.oto " ~ 1 l '.ncc0r lo di ?res ti to ."1 • 117/IT, dis 01v1•1d0 che l ' 8"" - 2 C .. .ont..,re li. '~ -401.QOO (p.g,ri a:::.. 1.::.,Q'.Q ').() 0) i.~ c:;t~rM·i~to E 0 a frontP. i tale nro retto, resti a d.; s- osizione i ,:ne~ta CaA- 1 . ~ 0 0a 1er la realizzazione di nuovP. ini.ziative, nrevio benestare ] J.i codesta 3anca. .. C :, ane L1teso cne i fon i d: cui ~opra, resi di suo- e ! 1 \~ .. ibili dall 'annulla1 ento lei proo;etto ,i.culq:,,o+,,o, sarr-ir11n uti- "' 0 lizzati :por i n-v·n...,.etti sosti.t·1ti.vi. solo g_uatdo l-i alle1ati 2 e 1 :..All 'Accordo di. .i:restito :17/IT FJaran'o Rta:.i ooport 1- YI . 1 na ente emendati e solo a.opo chP,, per le move i"\iii.1ti.ve ~~­ ~ru1no stati sold;sfatti gli ~ie pi @.nt; previRti all ·~rt.VITI ... lel l' ccorrlo stesso . . "' a. ,;; ti flne 8.1.-,resi. lntp,so che il cA.rico di i vegno sulla c;o '"' suuaetta continuer.:.. a JI'" turare e ad essen~ corrispoc:oto a co esto nte. 1ic:;tinti S'1lnti . ·1.1 "~ I ,, b1J I 8T .. ·..! , .... .... --..~r;. .. f,1 • • 01.J .. v l A (( OA Te 3 ~qo "-1"3C, '\ ' Al JA Tl J3\.1 A L56! Wd i.9 I bG 1111 • ~~ ' JN1 1 v~• C AIY"lti ..., FORM No. 26 ( I -50) (11 r( //Vt.( I ~._ ~• - - INTERNATION AL BANK FOR RECONSTRUCT! ANO DEVELOPM't~ 'f: Dz, ~ \\ INCOMIN G IRE DATE OF WIRE: JULY 22, 1957 1810 ROUTING TO: INTERNATIONAL BANK FOR RECONSTRUCTION CTION COPY TO MR WHEELOOK & DEVELOPMENT FROM: ROME NFORMATION COPY TO ecoded By TEXT: / ./' 5 /7421 ACCUCASI RICEZIONE IE'ITERA E CAB ll ET 15 CORRENTE REIATIVI AUTORIZZAZIONE VARIANTE PR TTO PETROLCHIMICA AUGUSTA FESCATCRE PRESil>ENTE C SA MEZZOGIORNO ORIGINAL 11 .1 j0f,A eu,r ,1Nt; i. MW Df.'/El I! II ')~ "!, ~y P~l I- )/ • 11 1, r July 19, 1957 Cassa peril Mezzogiorno BUR Piazzale dei Congress! 20 Rome, Italy Re: Loan No. 117-IT - Augusta Petrolchirnjca ProJect Gentlemen, ~ /I tL Further to Mr. Cope 1 s <'tter ot July@; 1957, we are enclosing herewith draft of a proposeK"1'X.:~ter Agreement between the Cassa and the Bank which would make the necessary changes in the Loan Agreement {Loan No. 117-IT) in connection with the change in the Augusta Petrolchimica Project. It the enclosed letter is satiatactory to you, would you please execute two copies and send them to us tor confirmation. Upon contirma.- tion, the Banlt will return one signed copy to the Cassa. With best regards, Sincerely 7ours, Ellsworth E. Clark Assistant General Counsel Enclosure RGB:vk [Dratt ot Proposed Letter Agreem t Between the Caaaa and the Banlt] [Date] International Bank tor Reconst ruction and 0.Yelopaent 1818 H Street, N.W . Waahington 25, D.C. Rea loan Ro. 117-Jt'" - Awrufta Petrolcb111se Project Gentlemen• Pursuant to Section J.Ol(b) of th,, Loan Agreement between ua dated June 1, 195S (loan ll7- IT), as heretotor1 o.ended, (herei.natter called the loan Agreement) we hereby reGueat 7our eementa 1. That th• Loan Agreement be hereby- turther amended ~a (1) deleting paragraph 1' ot Part C t Schedule 2 tllareto and subst i t ut- ing theretor a nev paragraph V •• tollowa "AUGUSTA PETROI.OHIMICA Anhydr01tu1 Ammonia Project. Thia Project consists or an ua onia plant near Melilli..Au.guata, to be conatruoted, owned and OJ~rated bf Aupata Petrolobia1oa, Sop.A., with a oapaoit1 ot a t 33, 000 tona per 7ear ot anh7droua 8JIIDOnia. " ; (ii) deleting the word "Fertilizer• .,.rhere it appears 1n item 5 ot Part Cot Schedule 4 thereto and eubatituting heretor the word "Ammonia• . 2. That the toregoing amendaent OM etteotiTe (a ) when ;rou shall h••• rece1Ted eTidenoe aatiafactory- to 7 that the requirement• aet torth 1n Seotiona 4. 01 and 4. ~ ot the loan Agre,ament haTe been aatiatied in - 2 - respect or the Project described in the pr~ceding paragraph (1noludinc, aa part ot such eYidence, an opinion satiaracto17 to 7ou ot oounael acceptable to you showing that the arrangements and agreements to which such eYidence relates are valid, binding and entorceable 1n accordance with their terms and contain valid pr ovisions eatiaf71.ng the requirements of Section 4. 03 ot the lean Agreement ) and (b) aa of the date apeoif'ied by you in a notice to us ot your acceptance ot such evidence . Will you kindly signify 7our agreement vith the for egoing by' signing and returning to us the enclosed duplicate copy ot this letter. Yours Tffr'Y truly, CASSA per 11 MEZZOGICllNO By The President CONFIRMED I .B.R.D. July' 18, 1957 Prot. Gabriele Pescatore President Casea per 11 Neaaogiorno P1aua dei Congnaaai H. al Rome, Ital)r Rlt SINCA'J' - Quart,arlx Report AO or >tporation cable address •coRINTFIN• is registered in New York, Paris and Washington. The name of the country of destinatiOQ must always be added (No charge is made for the name of a country). 3. Text Messages to Bank Missions and to Resident Representatives should be numbered. These numbers may be obtained by calling Ext. 3008. Type text in capital letters and double space between lines. The text should be edited to eliminate unnecessary words and unnecessary punctuation. If punctuation is needed, spell out the words "Comma,• "Stop," etc. Use common abbreviations whenever possible, i.e. reourlet, reurfive, etc. Write as one word hyphenated words, hyphenated names, and certain two-word groups, e.g. A1rma11, Newyork, enduse. 4. Signature Type in last name of sender. Use INTBAFRAD as part of the signature only when addressee does not know the address of the sender. 5. Authorization Type in name and department of staff member authorizing message and have authorizing staff member sign the original (pink copy). A list of authorized signatures is kept in the cable office. Forward messages in triplicate in a cable envelope to Room 211 for despatch. The cable service is open from 9:00 a.m. to 5:45 p.m. on working days. Special arrangements should be made for the despatch of of cables outside ~ these hours. ANY QUESTIONS REGARDING INCOMING AND OUTGOING wmES SHOULD BE REFERRED TO THE CABLE POST, EXT. 3008. LSbl WV zo 6 ~I 1111· %;;, ~ ~- ' :;u ,1130 :m~· 1B~, J :) 3~: -<~1 . , ,,~ r; 6 · •! ~--,ra1·,1;n11rt; )l:.'• (l:1At1::>"3H \ /, C1:-k. ~/ O, ) ,., :.;, ~">< "0 ··~, , v,....h- , !- •• "-,:; ~. V.s,, ,,;_, ~- '0 ~."-r., \ uly 12, 1957 Professor Gabriele Pescatore, President Cassa per il Mezzogiorno Eur Piazzale dei Congresi 20 Rome, Italy Gentlemen, / We refer to your letter No. 6389 of y 1, 1957, requesting our agreement to the cancel lation of the a ve Project, leaving avai l- able to the Cassa the amount allocated the t o for all ocation to new undertakings, within the area of Cassa com tence, to be approved by t he Bank. We are happy to inform you that the k would be willing t o agree to such a cancellation subject to an rangement along the follow- ing general lines, namely, that the Siculaz to Fertilizer Project would be dropped from the above Loan, and the amo t allocated thereto would thenceforth be consi dered to be an unalloc ed amount. The Loan Agr ee- ment would remain effective as to that amo t and, among other things, commitment charge in respect of that amoun would continue to accr ue and be payable. The allocation of this unallocated . ount to another Project would be subject to the approval of the B • This amount wo~d be- come availabl e for the substitute Project or: when the requirements of Article VIII of the Loan Agreement had en satisfied in r espect of that Project and Schedules 2 and 4 of the an Agreement had been ap- propriately amended to include that Project · with best regards, Sin: ~ ars, • ~.R . Cope Director of Operations N RGBa teson LRCope : -cm clear ed with ~.r . Cavanaugh Europe , frica and Australasia ?w.i!' o Aldewereld fa~ ,,7 July 11, 1957 Pro!eaaor Gabriele Peacatore Preaident Caaaa per 11 Meszogiorne EUR . Piaszale de1 Congr eaai, No-22 :aoae, Ital7 Dear Professor Peacatore: D: 11?-l!, Auguata Petrolchialca. ~ Wi th r eterence t o your letter ot July 4, 1957, w. a e pl eased to inf orm you tbat we have atudied the propoaed c 1n the proJect which will involve the doubling ot amaonia p r odu capacit y of Augusta Petrolchialca and the H lling o f 8111Don1a • a final product rather than ferti l iser aade ot UUDonla. The in agreement with your r ecommendation that thla aod1!1cat1on ~~ the proj ect be accept ed and hereby ,1••• itt approT&l. !hia will of courae require tbat Schedule 2 t o the above loan Agre ent e· e,Jt la be fo rmally aaended to reflect our agreement . Ve will , there ore, p repare the appropriate paper• tor this purpoae and aend t h to the Cassa within the next few da7a. S. i. Cope Direc t or of Operation• :Iv.rope, Africa and .lu tralaai& //7-,, FORM No. 59 ( 2- 55) CROSS REFERENCE SHEET COMMUNICATION: Meno DAT ED: July L'/ , 1957 TO: .;r. b . Chadenet FROM: L. M. Svobod'3. Fl LED UNDER: It:ily 150-:T Ad.,unistration SUMMARY: Itcit{- Industrial Projects , End-use visit Extract - Att 1ched is brief su."!mary prcrar ed by us. rs . de Alba and L rlriJce on their end- use visit to t'1e industrial pro~ects financed !'rom loans 5 -:T, 117-~~ and 150-:T. .. CASSA PER OPERE STRAORDINARIE DI PUBBLICO I NT E R ESSC NELL' ITALIA MERIDIONALE ( CA S SA PER IL ME Z Z O G I O R N O I i 2 t UG . 1957 1 Pro f N ~ , . ~I 71 8 ~ osiz. LV Allegoll 2 F O MA PIA'ZZ.6 OEI C0NGRE5St N 70 (EUR) R1SpC•Sl,l 0 .p del N 0 ~pett . !3AUCA nrr:.~.Alim;AL3 P ~~l LA OGGETTO, II I Presti to n -117/IT . I0J3T~UZIOE ...! 10 SVILU.PPO •h • .:iIXCAT - ..ia riorto tri.me- 1818 H Street ~ trale al 01/~/07 - /ASHINGTON 25 D. Q• .., , / 3i fa riferirnento alla nota a.i questa Cassa n -4008 del 2 C: II 20 mag.,io u . s . car la quale si trasmetteva il rapporto trimestrale E 0 ., =' al 31/:3/57 della 3 . p .a- J INCAT - 0 2 Al riguardo si i.nforta che , essend.o stata rilevata dallo esane dei :r.odul i. del raoporto 1 ' esistenza di qualcbe errore , erano stati richiesti chiarimenti alla 3ocieta mutuataria, curando tutta- vi a - come convenuto - l ' inol tro dei rnoauli stessa a codesta Banca . Ln. .SINCAT ha confermato alcune inesattezze nelle cifre esposte ed ha compilato i nuovi mouuli B, allegati alla presente , preciBando che essi risrJecchiano la reale si tuazione deg~i investi- menti sl ,il/3/57, mentre in quelli precedenti , per errore , er ano state incluse cifre rigu~rdanti non solo il progett o in attuazione ma anche il nuovo progTaruma della Societa, proposto per il finanzia- mento sul futuro quinto prestito . 0i pre~a pertanto coaesta Banca a.i voler sostituire i mo- duli B~gia in suo possesso, con quAlli allegati alla presents no ta• Con i mi liori saluti - '·"" l l 'l vu ,1 •p y·~i , l , ~VF! ll 11 17 Q IU AM / ., I t' I NDIRIZZO T&LSGRAl'ICO CASM S Z - ROMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE ( CASSA PER I L MEZZOGIORNO) Prot. '\J ............. ............. Posiz ..~.s .. 'f./r!1.f.'. .. . Allegati ................................ .. ROMA ....... VIA ANIENE, 14 TaL. 8 40420 - 2 0 ... 21' • 2 8 • 20 Risposla a .. del ... N . .................... OGG ~TTO: ................ .. ~ 'n~ernation~l ~ank ~or ReconAtructjon Rnd Tievelopm~nt 1818 H StreE't, 1~. ! . ~s~in~tor ?~, n.c. ~ubject: Loan :o. 117 IT - S.p.A. ~r:TCA~: Quarterly Re ort as of J:arch 31, 1q57 / 111 ,-r- : r- .. .E C E 0 7 --- • "' refer to our letter No . 4008 of ay ?O, 1057, with which 'lo we have forwarded the quarterly report o+> S. p. A. SI 1CAT '1S of :.arch 31, 1°'57 . c lP wish to inform tha·, since a few erro~s have been fond in "' 0 the re~ort ~orms, we hav~ ~equested c1~rifications fro~ t~e Compani, while forwarding tho same forms to the Tianlc, as a~reed. .p... , 7, l'N{ r ~'"' C..ft'r - / SINCAT has confirmed that sone of the ii{'UrE's entere9"'~ the ., ori~inal +'orms were mista1 en, ~d has drawn •10 tho new forms B attached . DI a. here.to . 'l1he Company has indicated that the new forrm reflect the rr-al vi investment situation as of Tare~ 11, 1Q57 , whilP in the ori~i~ql onPs some fi~es had been entered by mistake which were concerned not only with the project under construction but also ~ith the new nrogra~ of the U>omur-1.ny, which i'1 -proposed "'or financinr, under the future loan . The Bank is kindly requested of subetituting the attached 'E forms B for the ones previously forwarded. 0 § With best re{"8.rds. 0 Sincere1v yours, THE PR ,S IDEi~T - Fnclosures /s/ Pescatore I • t, ; • . "-. , . vn .1/11 17 9 I~ Ar1 J9j/ ' .. Mr. Riley Room ::!.126 ~NIONE ESERCIZI EIETTRICI VLL\. 'IDRINO, 117 . No. 714/298 11.ccoW1ting CF/CS Rome, July 9, 1957 International Bank for Reconstruction and Develooment ~ell:. o ~ - l:>o '> l "'c.....-o 1818 H Street, N.W. +.. ... • . Washington 25, D.C • ~t;:;l.~~:,, Subject: Loan No. 117 IT UNES Talvacchia /// With reference to your letter of JWle 4, 1957, we are happy to tell you that we have let out the construction work on the Talvacchia dam to the firm 11 CO. GE. CO." which has already built our Capodiponte, H.amo Trento and Ramo Castellano plant, which is one of the pro.jects financed by you. The terms established with the firm for the execution of the project are as follo"ITs: - Peginninv of excavation work by August 31, 1957 • - CoT!lDletion of the placing of the forms by December 31, 1957 - Completion of the excavations by February 28, 1958 - Beginnine of pouring the concrete of the dam by May 30, 1958 - Completion of the pourinr, and all accessory work by .:>eptember JO, 1958. r.e hope th.Rt the works may proceed without excessive difficulties and t~at the term fixed for completion of the work ~ay be respected. 1he e)IJ)enditure for construction of the darn, considering the increases in the costs of labor and materials which have occurred from 1955 to date, ' we expect will be 10% above the estimated emendi ture. As for the Capodiponte olant (I'ronto Sector) in service since april 195, J the Capodiponte plant (Castellano Sector) and the Afcoli plant in service since December 1956, we can assure you that both the hydraulic works and the machi..~ery correspond exactly to the srecifications and have given excellent performance to date. The final costs of the nlan ts in service are those which were sent to you under Mod. ST. B6 which -:·c recap.:~ 1J- te :c r you herewith . 1RANSLATION SECTION Translated From: ltalian ( . J.7.')7 By: ~A. I J ' . . PAC' 2 ... . OE.L N .7.14/... .. . DATA ••• 9./.1/.1951 .............. OIFIE:ZIONE GENEFIALE A IW'l'ErufA'l'I0N..AL..l3.ANK .F.O.R. BE.CON.STRU.CTION .AND ... DEVELOPMENTE WASHINGTON 25 D.C. e p.c. alla - CASSA PER IL MEZZOGIORNO •ROMA• - SOC. FINANZIARIA ELETTRICA NAZIONALE •ROMA"" :f'unzionato fino a.d. oggi con la massima regolarita. I costi finali degli impianti entrati in servizio sono quelli che Vi sono stati oomunioati ooi Mod. ST. B 6 che di seguito Vi riepiloghia- mo s IMPIANTO DI CAPODIPONTE (Settore Tronto) £. 2.632.000.000 Sono pero comprese nel oosto di queeto impianto anohe la quota parte delle spese peril tabbrioato del l a Centrale ed altre, riguardanti il Settore Castellano, le quali, per essere comuni ai due impianti e dif'ficilmente soomponibili, sono st.! te attribuite al Settore Tronto il cui costo e coal risultato superiore alle previsioni mentre il costo del Settore Castellano e risultato inf'eriore. lltPIANTO DI C.APODIPONTE (Settore Castellano) Sono state spese fino al 31/3/1957 •• £• 1.160.000.000 Si dovra.nno spendere per la liquidazi.2, ne di lavori riguard.a.nti le galleria ~ per ·la oo- struzione della Diga di Talvaochia ••••••••••••• " 2.840.000.000 £. 4.000.000.000 llrPI.ANTO DI ASCOLI PICENO - Spese imputate al oosto del l 1 Impianto•••••••• 2.371.000.000 - Spese per le opere di presa imputate ad altri conti ••••••••••••••••••••••••••••••••••••••••• " 182.000.000 £. 2.553.000.000 Abbie.mo preso nota della Va/ racoomandazione in merito all'in- vio delle comunicazi oni peri odiche e Vi assicuriamo che verra tenuta nella massima considerazione. Unlone Esercfzl Eleffrfcl Dietinti sal.uti. ·:1-- • ". s .J vc .1\1\ I? 11 ,,u /\l'\ \957 . ······Ii···· . ··· ·"'··· . ········· . • .. ,• ... . ~ . . ' Roma, 9 Luglio 1957 SOCIETA PER AZIONI - CAPITALE L, 18.800.000.000 SEOE IN ROMA - VIA TORINO, 117 Spett/ OIREZIONE GENERAL£ INTERNATIONAL BANK FOR RECONSTRtJCTION AND DEVELOPMENT 1818 H Street N.W. SIG~e: •• CF/ CB .. OGGETTO WASHINGTON 25 D1 C. Preatito n° 117 IT mrES e p.o. alla Diga di Talvacohia - . CASSA PER n, 1IEZZOGIORNO ROMA - EUR Palazzo INA - SOC. FINANZIARIA ELETTRICA NAZIOllALE ROMA Via Aniene, 14 A Va/ 4 Giugno u.a. Siamo lieti di comunicarVi ohe abbiamo appaltato 1 lavori di oostru.zione della diga di Talvacohia. al.la Impresa "CO.OE.co... , la quale ha gia oostru.ito il ns/ impianto di Capodiponte, Ramo Tronto e Ramo Castell!, • Iii ~ ,... no, facent£parte dei progetti da Voi tinanziati. " 0 I termini stabiliti con l'Impresa per l'eseouzione dell'opera z .. .. 0 sono i seguenti 1 .. .. .J - Inizio dei lavori di soavo entro 11 31 Agosto 1957J ~ - Completamento dell'impianto dei Cantieri entro il 31 Dicembre 1957J Ill z - U1 timazione degli sea.vi entro il 28 Febbraio 19581 :) I - Inizio dei getti di calcestruzzo della diga entro il 30 Maggio 1958J I < .... a: 0 - U1 timazione dei getti e di tutte le opere aooesaorie entro 11 30 Settem- .. .J bre 1958 • Ci auguriamo ohe i lavori poesano svolgersi senza ecoessive dif- ficolta e ohe 11 termine sopra fissato peril oompletamento dell'opera possa essere rispettato. La spesa per la coatru.zione della diga1 coneiderati gli aumenti nei oosti della mano d'opera e dei materiali veriticatisi dal 1955 ad oggi, prevediaco ohe subira. un aumento del 1o,C, in contronto di quella preventi- vata. Per quanto riguarda l 1 impianto di Capodiponte (Settore Tronto) in servizio fin dall'Aprile 1955, l'impianto di Capodiponte (Settore Castel- lano) in eervizio fin dall'Ottobre 1955, e l'impianto di .Ascoli, in eervizio dal Dicembre 195~ possiamo aasicurare ohe ta.nto le opere idrauliche quanto i macohinari rispondono perfettamente alla caratteristiohe previstf e hanno ./. .,: I') I l (. I -. J r •. ..,. , J '\ : • • T. INDIRIZZO T E LEGRAFI CO CASMIEZ .. AOM;IIL CASSA PER OPERE STRAORDINARIE 011 PUBBLICO INTERESSE NELL' ITALIA MERIDIOINALE c; ( CASSA P E R I L M E Z Z C) G I O R N O ) 7css~ Prot. N . .................... Posiz ...... RE/mg TRANSLATION Allegoti .................................. ROMA .......... VtA ANISN a, 1 4 ~ .......... .tJ., .. 9!jj.;......... T EL. 8 40,20 - 28 · 2T • 28 .. 2 0 Risposto e ... ................................................ del... ....... . .. ........................ N ..................... OGGETTO : . .... .... .. e International Bank for Reconstruction and Development 1818 H Street, N.W. Washington 25, D.C. Gentlemen: Subject: Third Loan No. 117 IT: Augusta Petrolchimica Project We refer to the understandi:ng reached with Messrs. Bryce J and de Alba of the Bank with respect to the change in the project ascertained for the plant undertaken by S.p.A. Augusta Petrolchi- te 0 mica at Priolo, Siracusa, and financed with the proceeds of Loan Agreement 117 IT. We attach copy of IRFI3 letter covering, in Italian and English version, the project variatio:n under consideration together with all the related documents (up to date market study and answer to the IBRD questionnaire; tabulation comparing ammonia costs on the basis of the original project and of the new project; draft agreement for project designing and technical assistance between JJontecatini and Augusta Petrolchimica for constructing the plant, with attached a publication by Montec.a.tini illustrating similar plants already constructed in the wor:ld; photostatic copies of the letters of commitment for the purchase of the product by Montecatini and AKRAGAS) • With respect to the merits ,of the substantial change in the finalized project - which change was however already indicated as a possible alternative under the o:riginal overall project - the .... 2. Cassa is fully endorsing the opinion rendered by IRFIS as to the technical, economic and financial convenience of the variation, which consists practically of an end production of 33,000 tons of synthetic ammonia only, instead of 63,500 tons of amr:ionia sulphate annually. Such annnonia quantity, which is almost double with respect to the ammonia originally envisaged as intermediate product for preparing ammonia sulphate, can be produced in the new project with out any change in the total cost of the plant, and without modifying the construction timing set forth under the loan contract: both cost and construction timing have been already approved by the Bank. On the other hand, the larger capacity with a concrete doubling of ammonia production, will bring to a s1.1bstantial reduc- tion in unit operation costs thus attributing a greater convenience to the project, under the technical and economic aspects; as well as an absolute certainty that the production will be sold - within safety limits - for the production of nitrogenous and compoWld fertilizers by M'ontecatini and .AKRiGAS. The Cassa may add in that connection that the new produc- tion of ammonia at economic prices (which are insured by the fact that the plant will process by-products of oil refinery, to be sup- 0 plied through pipeline by the adjacent Rasiom, belonging to the same industrial group) will actually cover only part of the substantial Sicilian requirements already ascertained by the Bank in occasion of the screening on the Sicul.azoto and SINCAT projects. Such produ£ tion remains still inadequate both because the lack of natural gas availabilities has caused the £ai1ure of the Sicu.lazoto project, and becatlSe .AKRAGAS has expanded its plant for the production of phospho-ammonia fertilizers, instead of superphosphatea only. Considering the above, the Cassa is hereby expressing favorable opinion on the project variation under discussion, and remains awaiting an early approval on such change in order to avoid any delay in the implementation of the program. - co .... With best regards . .,; 0 ~ Sincerely yours, THE PRESIDENT Isl Pescatore ' J INDIAIZZO • a L.aCIAA .. ICO t C ASMCZ - I ( I •- CASSA PER OPERE STRAORDINARIE NELL' ITALIA DI MERIDIONALE PUBBLICO INTERESSE 1 (CASSA P ER I L ME Z ZOG I ORNO ) ... VIA AEREA Prot. N ... C( v ~J£~ ........ "......... • ·le< '1osiz. RE ..,Q r- ·- -4 l l:G. 195?1 var1 Allegot1. ...... ROMA . . . . . . . . . .. Risposlo o .. ................ ·· ·· PIAZZA DEi CONGRe:ss, N, 2 0 (EUR) Tt!:I... 8778 del .... ........... N ..... . . III Presti to :RS 117/IT oGGETTO' .L...... A..... · · ..:1-a ue .1.)lchimi ca '"'\ro;ett.o ugus" ... " • Ct·· · · · . . . . . . . . Spett.le BA.rWA INT ~RWAZI QUALE PER LA. RICOSTRUZIONE E LO SVILU?PO .) 1818 H Street '?ASHINGTON 25 D. C. (U.S.A.) " i: • E . C l:" Si fa riferimento alle intese intervenute con i Signo 0 ri Brye De Alba di cotesta B~nca in ~erito alla variazione en. 1 progetriscontrata nell'effettuazione dell'impianto della Soc. • C :, p. Az.gusta Petrolchimica a Priolo (Siracusa) finanziato con fondi cui all'Accordo di Prestito 117/IT. C: (JI 0 ~ Si allega, in proposito, copia di lettera dell 'IRFIS " Q. accom:fante, sempre in copia italiana ed inglese, il progetto di va1te in questione con tutta la documentazione relativa(ag :;; giornato dello studio di mercato e del questionario di cote- .. " "' sta B~, tabella comparativa dei costi dell'ammoniaca in base 0. al pr progetto e quello aggiornato, schema del contratto di nroge~ione ed assistenza tra la Montocatini e 1 'Augusta Pe- tro le ca per la costruzione dell'impianto con unita una pub- lica23 della Liontecati ni circa gli analoghi impianti gia ef- fettLnel mondo, fotocopie degli impegni di assorbimento del prodcda parte delle Societa Montecatini ed AKHAG.AS). Per quanto riguarda il merito della sosta.nziale modi- fica3 del progetto esecutivo - peraltro gia prevista quale posse alternati va nel primi ti vo p1·ogetto di massima - questa "Ca~ondi vide pienamente le considerazioni esposte dall 'IRFIS u; "O circ convenienza tecnico-economica e finanziaria della va.ti.a 0 ~ zior.1e si concreta in una produzione finale anziche di tonn. 63.~nnue di solfato ammonico, di tonn. v3 .000 di sola ammo- nia1ntetica. ./. , c ·. s s • PER IL M EZZOGIORN 0 ...!~ . ...... ..... Foglio n. . Ta:e quantitative di ammoniaca, pari a circa il doppio del l'ammoniaca ~eviamente prevista quale produzione intermedia peril- solfato ammo1ico, potra e3sere ottenuta dal nuovo impianto progetta to senza alcma variante del costo totale degli impianti e senza aT cuna modific ai tempi di realizzazione del programma previsto neT contratto dimutuo, costo e tempi a suo tempo approvati da codesta Banca. Pt contro, la maggiore potenzialita e la effettiva produ zione raddo)iata di aomoniaca consentira una sensibile riduzione - dei cos ti w tari di e serci zio con notevole maggiore convenienza tee nico-econom~a del nuovo progetto e tranquilli ta asso luta circa ir collocament la Soc . .AKR.ru ha ampliuto i propri impianti con la produzione dei concimi fosf,otati anziche soltanto fosfatici. Q.u,a "Cassa", pertanto, esprime parere favorevole alla variazione dprogetto in questione e resta in attesa della solle- cita approvane della variante stessa ad evitare ritardi nell'ef- C: ii fettua.zione- p:ogramma. c~ mjgliori saluti. . <> ~ IL PRESIDENTE <> ... 0,. (Ga~;;,.~- t ., • .. CASSA PER IL MEZZOGIORNO TRANSLATION ISTITUTO REGIONALE PER IL FINANZIA1'1!ENTO ALLE INDUSTRIE IN SICILIA - IRFIS Ref. : No. 3655 Palermo, June 24, 1957 To : Cassa peril Mezzogiorno CIFT "Division Piazzale dei Congressi 20 Rome Gentlemen: Subject: Industrial Financi11gs out of IBRD Funds - S.p.A. Augusta Petrolchim:lca, Palermo We refer to the financing oje 2,740 million lire agreed in favor of' S. p. A. Augusta Petrolchimica ., Palermo, out of the funds of the Third IBRD Loan No. 117 IT, as set forth in the loan contract of December 5, 1956 stipulated by Vito Di Giovanni, Notary Public . The borrower had already indicated in the pro,ject original- ly submitted to the Cassa and the Il3RJ) a possible alternative for producing ammonia only, instead of azmnonia sulphate, in view of either the sale of anhydrous ammonia to third parties, or the possible direct sale to agriculture of ammonia ted wat•~r ( see technical and economic report, pages 46 and 47; and report on production and consumptions, ~ages 26 and 27). The completion of technical surveys and market analysis by the Company bas indicated, at the ·time when project construction was goine to be initiated, the conven:Lence of producing ammonia only, at least in the initial stage, and thc:::n to apnly in a second stage the second part of the program envisaging a plant for producing am- monia. salts out of the intermediate product. The borrower has then submi·tted a :finalized project envisa_g ing the production of some 33,000 ton13 of ammonia only per annwn, that is a quantity double of that est:ima ted for the production of . ,, ., dASSA PER IL MEZZOGIORNO 2. 61,500 tons of ammonia sulphate, a.nd i.nvolving a total expendi tu.re equal to that estimated for the production of arunonia sulphate. The Comual}Y has pointed out that the larger capacity of the plant and certain changes introduced in the oroces~i~F scheme are rnaJ.:j"'g noss1.ble a s1bstnriti.al reduct.;on in unit ooeration co::1ta; moT>eOver, ne{Jotiations are under way f'or selling the entire produc- tion to indu3trial groupo producing nitrogenous fertilizers in Sicily and in Continental Southern Italy (in that connection, lrt.tera by ~ontecatini and AKRAGAS have been attached). 'J._, The Company has also indicated that,.,has the intention of launchin[" a propaganda campaign for introducing in -the Italian agri- culture the method of direct fertilization by applying ammoniated waters, which is broadly applied in USA and would be particularly suited to intensive cropping patterns. We have examined the docu~ents submitted by the Conpany, ancl eroorse to the Cassa. the proposal made by S. p.A. Augusta Petrol- chim.ca, expressing a fully favora1)le opinion on the implementation of the project with the variation mentioned above. We kindly request that the Cassa report on the proposal to the IBRD in order to obtain apnroval on the variation introduced in the production indicated under the loan contract, in accordance with the alternativP. original- ly envisaried. In th€\t respect, we deem useful to stress the following considerations: - The project £inal design has been prepared by the Project and Survey Division (SEPS) of the Mon·~ecatini Company who for several years has operated as consultant engineers both in Italy and abroad with gratifying success, and has the exclusive licence for the Fauser process; :rontecatini has already executed plants for al'h~onia production also in ~he United States. The production of ammonia from refinery gas is the most economic; - ..,' " the fact that +.he borrower has obtained a further decrease in pro- duction costs will obviously contribute to the advantage of the ,; ~ 0 enterprise under any possible market conditions. At present, no oth0r plant for the production of a.mI!l.Onia is in existence in Southern Italy and in Sicily, excepting the one in PER IL MEZZOGIORNO 3. Crotone (Montecatini) which will be discontinued because the processing rnethod there applied has now become uneconomic. The ammonia production will be sold to 1 on+.ecatini and .AKRAGAS, who are anticipatinR a minimum requirement of 27,500 tons annual ly, equal to 85% of the estimated output of the new plant: this- will enable Allgllsta Petrolchimica to obtain the expected economic results since the inception of operations, relieving the Compa.ny from the burden of an immediate set up for an efficient marketing organization ~ We point out that the finalized project of Augusta Petrol chimica has been submitted by Company's representatives to the - members of the I.BRD mission, in occasion of the discussion a.t Augu- sta on ]fay 31, 1957, _and on the following June 18 in the meetin,..,. at the Cassa office . The Banlc representatives have shown favorable consideration of the proposed variation, primarily with regard to the new estimates on production costs and to the assurance of product sales; they have also sho\m their appreciation of the contract ~ - rantees given by Montecatini in respect of plant const1-uction and operation. We point out, finally, that in occasion of the discussions mentioned before , the Company ' s repre:sentatives have confirmed that the project variation will not entail any change in the technical timing set forth under the loan contract for project implementation, provided that the IBRD could proceed at its earliest convenience with the examination and approval of' :said project variation . As a matter of fact, machinery orders must be placed within one month about in view of obtaining deliveries from the suppliers within the period of 10- 12 months estimated in the construction schedule . In the event that such deadline should b«:! exceeded, obviously some delay may be incurred in project completion and plant starting up . We request , therefore, the Cassa to kindly draw the at- tention of the :Bank on the urgency indicated by the borrower ill re- spect of the above situation. Attached please find two copies in Italian and English of the following documents : project variation ; up to date market study; up to date answer to the IBRD quesfionnaire; tabulation comparing • ' . CASSA PER IL MEZZOGIORNO 4. ammonia costs on the basis of the original project and of the new project; draft agreement for project designing and technical as- sistance between T-Eontecatini and Augusta Petrolchimica; photostatic copies of letters by Montecatini and AKRAGAS; a publication by ~on- tecatini illustrating ammonia ~lants implemented through December 31, 1956. We trust that the Cassa will take action with the IBRD for obtaining approval on the change in production proposed by Augusta Petrolchimica, in accordance with the altern~tive originally envisaged forproject implementation. We extend many thanks and best regards. IRFIS /s/ (Illegible) - Enclosures - co • ' ' C o p i a ISTITUTO REGIONALE PER IL FINANZIAMENTO ALLE INDUSTRIE IN SICILIA - I.R.F.I.S. - Ente di Dirittto Pubblico. Palermo, 24 giugno 1957 n.3655 Via Gen.Magliocco, 1 Finanz - GM/as Tel.P.B.X 15674 Espresso urgente Spett.le CASSA PER IL MEZZOGIORNO Servizio C.I.F.T. Piazza dei Congressi, 20 (EUR) R O M A OGGETTO: Finanziamenti industriali su fondi della B.I.R.S. S.p.A. Augusta Petrolchimica - Palermo Si fa riferimento al finanziamento di£. 2.740.000.000.- consentito in favore della S.p.A. Augusta Petrolchimica con Sede in Palermo sui fondi del III Prestito BIRS n.117/It. con contratto del 5 dicembre 1956 in notar Vito Di Giovanni. La Societa mutuataria nel progetto a suo tempo presentato e trasmesso a codesta Spett.le Cassa ed alla B.I.R.S. aveva prospet- tato una possibile alternativa per la produzione di sola ammoniaca anziche per la produzione di solfato ammonico, considerando sia l•eventuale vendita a terzi di ammoniaca anidra sia la eventuale ven dita diretta all 1 agricoltura di acqua ammonia (Vedansi la Relazione- teonico-economica alle pagine 46 e 47, la Relazione sulla produzione ed il consumo alle pagine 26 e 27). Il completamento degli studi tecnioi e di mercato effettu~ ti dalla Societa ha fatto rilevare, al memento di dare inizio alla ./. \_ " ' 2 realizzazione del pro1getto, l' opportuni ta di un orientamento verso la produzione di sola ammoniaca almeno in un periodo iniziale al quale far seguito successivamente con la attuazione della seconds parte del programma con la costruzione di un impianto per la sali- ficazione di parte dell'am moniaca prodotta. La Societa. imutuataria ha quindi presentato il progetto esecutivo che prevede la produzione di circa 33.000 Tonn/anno di sola ammoniaca, e cioe un quantitativo doppio di quello che era stato preventivato pe:r pervenire alla fabbricazione di tonn.63.500 di solfato ammonico, sostenendo una spesa complessiva pari a quells preventi vata per la p:rodlizione del solfato ammonico. La Societa ha fatto presente che la maggiore potenzialita dell' impianto ed alcu:ne modifiche apportate allo schema di processo di lavorazione consen·tono una sensibile riduzione dei costi uni ta.ri di esercizio ed inolt:re che sono in corso di definizione accordi per la cessione di tutta la produzione a gruppi industriali produttori di fertilizzanti azot:ati in Sicilia e nell 'Italia Meridionale - esi bendo e tal proposito lettere della Societa. Montecatini e della - Akragas. La Societa :ha fatto pure presente che si riserva di inizi~ re una campagna propa.gandistica per introdurre nell'agricoltura ita- liana il metodo di fe:rtilizzazione diretta mediante soluzione acquo- sa di ammoniaca, metodo che e largamente diffuso negli U.S.A. e che sarebbe particolarm.en·te indicato per le col ture intensive. Questo Isti·tuto, esaminata la documentazione presentata., prospetta a codesta S:pett .le Cassa quanto rassegnato dalla S.p.A. Augusta Petrolchimica, manifestando parere pienamente favorevole alla realizzazione del progetto con la variante sopracennata, e ri volgendo quihdi pregh:iera di voler cortesemente riferire in merito- alla BIRS perche veng:a approvata la detta variante apportata alla produzione indicat a n1el contratto di mutuo in relazione all' alter- nativa originariamentie prevista. Si ritiene a tal fine di porre in evidenza le considera- zioni fondamentali so'tto riportate: - Il progetto esecuti·v-o degli impianti e stato curato dal Settore Progetti e Studi (SEP:S) della Societa. Montecatini, che agisce ormai ./. .-- : • j 3 da parecchi anni come Societa di Engin.eering sia in Italia che al- l'Estero ottenendo brillanti risultati, che ha l'esclusiva del pr.2, cedimento Fauser e che ha realizzato impianti di produzione di am- moniaca anche negli U.S.A •• - La produzione di ammoniaca da gas di raffineria e la piu economi- ca; e l'essere riusciti a diminuire ul.teriormente il costo mettera la mutuataria in condizioni di vantaggio evidenti qualunque possa essere la situ;zione del mercato. - Non esistono, in atto, nell 'Italia M:eridionale ed in Sicilia sta- bilimenti per la produzione di ammoniaca ad eccezione di quello di Crotone (Montecatini) che verra chiuso perche il sistem1 adottato e ormai antieconomico. - L'ammoniaca prodotta verra senz'altro collocata presso ls Societa Montecatini e AKragas, le quali hanno prospettato un fabbisogno mini mo di 27.500 tonn/anno, pari al1'85% della prevista produzione del - nuovo stabilimento, cio che permettera alla Augusta Petrolchimica di realizzare sin dall'inizio della sua attivita 1 risul.tati economici previsti consentendole al contempo di non affrontare subito l'onere di una efficiente organizzazione per 11 collocamento della produzio- ne. Si fa presente inoltre che il progetto esecutivo definiti- vo della S.p.A. Augusta Petrolchimica estate presentato dai rappre- sentanti della stessa - in occasione dei colloqui svoltisi ad Augusta il 31 maggio u.s. ed a Roma presso codesta Spett.le Cassa il 18 cor- rente - ai componen171 della Missione dells BIRS allora in Italia, i quali hanno dimostrato di considerare £avorevolmente la variante pr~ spettata avuto riguardo soprattutto ai nuovi costi di produzione pr~ ventivati ed alla certezza di collocamento del prodotto, ed hanno ~ nifestatp anche il loro compiaci.mento in ordine alle garanzie contra! tuali fornite dalla Societa Montecatini per la realizzazione degli i!! pianti ed il loro perfetto funzionamento. Si fa presente infine che, n.el corso dei colloqui sopracen- na.ti, i rappresentanti della Societa hanno confermato che i tempi di realizzazione del programma previsti nel contratto di mutuo non ver- ranno modificati a seguito della variante in oggetto semprecche da ./. • ' 4 parte della BIRS si dia corso con la maggiore sollecitudine all'es~ meed all'approvazione della variante stessa. Necessita, infatti, dar corso entro il termine di un mese circa alle ordinazioni dei ma£ chinar1. perche questi poasano essere consegnati dalle Industrie for- nitrici entro i 10 o 12 mesi previsti, mentre, superando il termine suddetto, e evidente che potra verificarsi un certo ritardo nell'al- lestimento e nell'entrata in marcia dello stabilimento. Si prega pertanto codesta Spett.le Cassa di volere cortes~ mente prospettare alla BIR8 anche l'urgenza manifestata per le rag1£ n1 di cui sopra dalla Societa mutuataria. Si rimettono allegati alla presente, in duplice copia ita- liana ed inglese, il progetto di variante, un aggiornamento allo st~ dio di mercato, risposte aggiornate al questionario della BIRS, una tabella comparativa dei costi dell'ammoniaca tra 11 prime progetto e quello aggiornato, schema del contratto di progettazione e assisten- za tra la Montecatini e la S.p.A. Augusta Petrolchimica, fotocopie delle lettere della Societa Montecatini e della S.p.A. Akragas ed una pubblicazione della Societa Montecat1n1 circa gli impianti realizzati al 31 dicembre 1956. Confidando nell'interessamento che codesta Spett.le Cassa vorra cortesemente spiegare presso la BIRS per l'approvazione della variante alla produzione preventivata dalla S.p.A. Augusta Petrolch!. mica in relazione all'alternativa originariamente prevista nel pro- getto, si porgono vivi ringraziamenti e distinti saluti. Allegato n.266 ISTITUTO REGIONALE PER IL FINANZIAMENTO ALLE INDUSTRIE IN SICILIA (firm.a illeggibile) /mf Cassa per 11 Mezzogio1Jno Archivio Generale Prot.n.5/6373 28 giugno 1957 - C.I.F.T . - ------------------------~--- " \ - Mr. de Alba Room 312 AKRAGAS Milan, June 14, 1957. AUGUSTA PETROLCHIMICA. Via Pirelli 19 Milan Subject: Liquid Ammonia for our Porto Empedocle Plant (Agrigento) This is 'With reference to our recent discussion 'With you regarding the purchase of anhydrous ammonia produced by yaur Priolo plant. We have taken note that you intend to begin production during the first months of 1959 and we 'Wish to notit'y you that beginning on that date we will be able to handle at least 7,500 tons a year. Further agreements 'Will in future determine the conditions, terms and manner of purchase and transportation thereof. Sincerely, AKRAGAS S.p.A. /s/ (Illegible) 1RANSLATION SECTION Translated From:Italian 7.12.57 By: LAP. AKRA a. GAS p. A. CA~TAL• ~ - L. t .000.000.000 Sede In PA L E " M 0 Vie C.leala,. ~ Milano, !4/6/957 spett. AUGUSTA PETROLCHIMICA Via Pirelli I9 MILANO Jmmoniaca liquids per 11 nostro Stabilimento di Porto Empedocle ( Agrigento) Ci riferiamo a quanto recentemente discusso con Voi per l'acquisto di ammoniaca anidra prodotta dal Vs. stabilimento di Priolo. Prendiamo atto che intendete iniziare la produ- zione nei primi ma si de 11' anno I9 59 e Vi informi am o che a partire da ·.;ale data potremo ri tirare almeno 7.500 t/anno. Ulterior! intese stabiliranno in futuro le condizioni, 1 termini e le modalita di acquisto e di traeporto. Con i migliori saluti. ,p.A. ·~ ... Mr. de Alba Room 312 MONTECATINI Milan, April 29, 1957. AUGUSTA PETROLCHIMICA Via Pirelli, 19 Milan. Subject: Delivery of' Liquid Ammonia In relation to the verbal agreement on the placement of liquid anhydrous ammonia which you expect to produce starting 1n January 1959 in your Priolo plant, we hereby confirm that our minimum requirement, starting as of the above date, will be 20,000 tons per year. Further agreements will be reached in the future regarding the terms of this concession. Sincerely, "MONTECATINI n /s/ (Illegible) /s/ (Illegible) TRANSLATION SECTION Translated From:Italian 7.12.57 By: IAP. SOCIETA MONTECATINI GENERALE PE R L'I NOUSTRIA MINERARIA E CHIMICA r•1..• •o ... 1 • ~3! • • .,. 1'£Lf"'O°"' I t11tT•Rufl&11,N1 C C 11'09TALI'. a 97U ANOHI MA C Afl l t ALll v•"8A'f0 L 94 000 000.000 C•ill:Oflltl GJIIW•A:O MI\.A ... C C A• OJ C.OWM. SIA 1'. f l. l (Ut AMM I OA R911t0,-•00•1 CACifL'-A PO•tALf' .>!'le• MILANO SETTORE PROGETTI E STUDI MILANO, Z9Aprile 1957. YIA ~ . 1'UflATI, ,e r Spett. AUGUSTA PETROLCHIMICA Via Pirelli, l •r "'-' ,_ •" MONTECATINI Ca• tll C:••tLL• C,""M, II• •t.A\.t I#, U•• ... D ' .... MILANO SETTORE PROGETTI E STUDI M l l •N c , l.9 Aprilc 1957, , .11 t """I 1'1 Spett. AUGUSTA PETROLCHlMI CA Via Pirelli, 19 M i l a n o• • s Cessione ammoniaca liqu1dc1. In relazione alle intese verba1i circa i1 c.:ullocamt!nto dell'a1rirnc,r1iaca JJ- quida anidra che prevcdcte di produrrc a partirc dal Genna10 1959 nel Vostro Stabilimentu d1 Priolo, Vi t~uufcrmianw che il nostru fabbisogno minima, a partirc dalla data !>opl'n 1nd1cata, ~ara d1 20,000 t/anno. Ulteriori 1nte~e vcrra11no .stabilite in futuru circa le modalita di tale ccs sione. Con 1 nugliori .s,t.luti. 11 M 0 t,(1' E C / N l II .1.~ ' f ' \ • Fo"" :-in . 75 ( 3 . 52) • ,·.. IN TERNAT IONAL RANK FOR RE:ONSTRUCT ION ANO DEVELOPMENT Date ROUTING SLIP NAME ROOM NO . Note and Fi 1e Note and Return 1 -- ~ Comment - ~__,__ __,_Prepare Reply J 11 Report Previous Papers , nforma tion Recommendation ( 1nit ia 1 Signature Remarks \ () \ \ ~ -\ ... INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT OFFICE MEMORANDUM TO: Mr. 'L. M. Svoboda DATE : July 2, 1957 FROM: Murray D. Bryce...,.;V-· s'f> · SUBJECT: LOAN 117=rr (Augµsta Pe~rolch:i.mica) 1. Augusta Petrolchi.Mi.ca have requested a major change in their project which was approved for a loan of $4.38 million equivalent. The original submission contained an al·ternatiw -- the plant would produce either annnonium sulphate fertilizer for sale to ultimate consumers or anhydrous ammonia for sale to other fertilizer manufacturers. When the project was studied last year it was the intention of the compan;y to follow the first mentioned alternative and the contract and loan agree- ment so specified. The company, with the endorsement of :rn.FIS and the CASSA, now uishes to adopt the second alternative. This was discussed with Mr. de Alba and me last month and we informed the compaey that the proposed changes of the project constituted major revisions which wo,J.ld require Bank approval. 2. Before we left Italy the company provided revised answers to the regular questionnaire showing how the project would work under the alternative now being adopted. They also provided a new technical re- port on the proposed ammonia plant, a. comparison of production costs, letter of inte~t from proposed purchasers of ammonia and a draft of a consulting engineerts contract by Montecatini for the design and erec- tion of the ammonia plant. Under the revision of the project the cost of the plant is to be the same as before but the equipment requirements are modified substantial~ because of the doubling of ammonia capacity and the elimination of the fertilizer end of the plant. The financial forecasts have not changed materially. 3. A note by Mr. de Alba on the technical ~spects of this revis- ion is attached. h. Mr. de Alba and I reconnnend that approval be given without delay for this change in the project on the following grounds: 1) The company's marketing problem will be simplified and market- ing costs reduced as the ammonia will be sold to two or three Fi.ajor large purchasers under long term contracts. August;a Petrolchimica does not yet have firm contracts but the letters of intent from Montecatini and Akragas together indicate probable sale of 27,500 tons out of the total production of 33,000 tons. 2) Production costs estimates provided by the company indicate that by using the larger unit the cost of ammonia per ton will be reduced by about 1.5%. • - ., ~ - 2 - 3) Working capital and storage problems will be reduced as the ammonia will be produced continuously throughout the year whereas if' fertilizer were prod11ced large inventories would be accU?1UJ.lated at times because of the seasonal nature of the market. 5. We promised the company t.hat a Bank decision on the revision would be made as soon as possible as it will be necessary for the com- paro,: to complete equipment contracts within the next few weeks if the proposed schedules are to be maintained. The rep~y should be sent by cable to the CASSA who will communicate with IR.FIS and the co~any-. The decision should be followed up by letter in which the compa.rzy is asked to supply copies of the contracts for the sale of ammonia when they are concluded. 1-IDBryce:ejw Attachment - l .. - I , Rome, Italy June 20, 1957 :uar.Es ON AUGUSTA PETROI.DHIMICA Prepared by Eduardo de Alba Augusta Petrolchimi.ca project was a new fertilizer plant for the production of 63,500 tons/yr. of anunonium sulphate of 20.,t nitrogen content. This project included a 50 ton per day anhydrous ammonia plant, a sulphuric acid plant and the plant to transform this intermediate material into amm.on- ilun sulphate. There was, in the papers submitted to the Bank, an alternative to this project for the installation of a 100 ton per day anhydrous ammonia plant. This alt,erna.tive however is not mentioned in the final contract be- tween IR.FIS and the company and accepted by the Bank. Augusta Petrolchimica has decided to go ahead with the installation of the 100 ton per day anhydrous ammonia unit and the reasoLBfor this deci- sion can be listed as follows: a) The cost of anhydrous ammonia produced in the larger plant will be 5000 Lit/ton (17%) less than that produced in the 50 ton per day plant. b) They will manufacture a product which can be sold under long term contracts to fertilizer manufacturers with whom they had to compete ii' they were to produce ammonium sulphate. This solution, besides, will save Augusta the problem and expenses to create a sales organization for fertilizers. c) A contract to supply Montecatini with a minimum of 20.,000 tons per year Will.permit this company to close its obsolete ammonia plant at Crotone and still be able to operate their fertilizer plant there. d) A contract with Akragaa for a minimum of 7,500 tons of ammonia per year will provide Akragas wi. th a source of ammonia within Sicily and will permit this company to concentrate in the production of complex fertil- izers and sulphuric acid on a larger scale than original1y planned. e) The arrangement described woul.d permit a better organization to compete with SINCAT which otherwise would have been in a stronger position than Augusta and Akragas. Augusta would not need additional. financing since the funds required to increase capacity from 50 to 100 tons per day will be the same as those allocated for the sulphuric acid and ammonium sulphate plants. The contract to be signed by Augusta with Montecatini for the erec- tion of the plant is not a turn key contract but gives complete guarantee that Augusta will get a plant which will produce 100 tons a day of anhydrous a.mm.ow.a of a given quality, using definite amounts of raw materials, power and water. RASIOM has a technical staff well qualified to conduct the installa- tion of this plant, under the supervision and technical assistant provided by Montecatini. From the contract we can see that -- "Montecatini will definitively assign to Augusta Petrolchillli.ca one of its skilled technicians who will be entrusted with the management of the plAnt, with the supervision of works, erection, start-up and, later ' - 2 - on, with the operation of the plant. " It appears that Augusta's project to install the 100 ton per day pl ant is a better project than the one originally accepted and the Bank should authorize Augusta to go ahead immediately with the installati ons since the orders for the compressor s have to be placed in July or delivery of this equipro-,mt will be postponed for several months . FORM II: _.- 75 ~ """"rNTERNATIONAL BANK FOR (3.52) RECONSTRUCTION AND DEVELOPMENT I Date R OUT ING S LI p July 11, 1957 NAME ROOM NO. t Action Note and Fi 1e Approval Note and Return Comm_ n_ e__ :....r t ~~~~~+-~--1-P -=e.. ::.p-=a_ re -'- ~ R p_;., e-'- l,__~~~---1 ull Report Information Initial 1 Pievious Papers Recommendation Signature Remarks Ellsworth Clark has seen and approved the attached. It should be sho~n to Bob Cavanaugh for any com- ments he may have before it is signed and sent off. e From ~··~~N:l..~io'Qt'.._ FORM NO~ 1./' ....._INTERNATIONAL BANK FOR (3.52) RECONSTRUCTION AND DEVELOPMENT ROUTING SLIP 1••;;,:/ /_r-; NAME - -.J.. ~ k ----~'---1 i rAction Hote and File fApprova_l~~~~---+~~-+-H_ o_ ~ a_ te _e_t_u_r_n~~~--1 n_d_R tcomment Prepare Repl Full Report Previous Papers I nformat · on IRecommendation f:J;cM .bN-)~RJ 6e ¥ ,,c.:~ikµ~ e INDIRIZZO TaLaGAAfl'ICO ' CASMRZ . AOMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NE:LL' ITALIA MERIDIONALE ( C A S S A, PER IL MEZZOGIORNO ) 6389 ) IL Pl:IR VIA A REA Prol. N .. . , POSIZ .......... .. V LUu. Allegar R O MA ... Risposla a. del. . .. . .......... N . Spett . BANCA INT ~ZION L~ ?ER LA . . ~ -G1\fE E LO SV ILUPPO RIOOS.... .... OGGETTO , :to. . ~)7./IT - ?.IE3..~.t.i_ ~ e fus.·e uto SICULAlOTO - 1818 H reet /ASHI11GTON 25 D. C. Si fa riferimento alle lettere di questa Cassa n . 5/23660 del 7/2/b7 e n . 2319 del 15/4/57, nonche ai col- loqui intervemuti con i Signori ~iheelock, Bryce e De Alba per qua.1to rlguarda l 'annullamento e la sostituzione del progetto Siculazoto, finanziato con il Prestito n . 117/IT. In uroposito, questa Cassa chiede conferma che , con decorren~~a dal 31 dicembre u. s . ovvero - nel caso non ':, sia possibile - con decorrenza dal 30 giugno p .v., il pro- getto st esso sara annullato, ferma restando a favore di questa Ca~3a la relativa disponibilita dei fondi per nJove C, iniziati ve , neli terri tori di propria competenza. da sottopor- 0 si per l 'approvazione a codesta Banca . Con i migliori saluti . "' S\ :0 -0 0 § ' as frustrated the attainment of the purposes this L .. Compuny.lencourat.:ec by the .onstant assistance. o-P the ret...,io=- na l l·..u thori tie s ~ 1ad in view. This .A:ssessorship i1owever notices with pleanure from the above letter dated January 28th , 1S57 , th~t this Company is planninl, in Sicily other industrial initiatives- in minerary ane chemical fiela- and uould like to receive the visit of one of the Company ' s representatives ,,ho shoula illustrate in det tails the nev initiatives plo.nnea by the Company itself. TH-: ASS ,SSOR T r a n s l a t i o n Rome , A:pri1 6 th , 1 S, t.; 7 Lessrs . ,, A. R. P. • Aut.usto !tice ·cl-.e P] 4:;rol L.'ere Via Polt.. , 17 C A T_.l.!_JtJ_ A, SICI.LY To the attention of l1r. H• .Beldinc. ·i th reference to the recent coraial meeting we had witll your ganar,er Lr. H. Belain~, we wish to confirm you herehith, that our Compo.ny will shortly st~rt tha construction of a great industrial complex - on its o·,\n properties in the industrial zone of Catania - relative to tt.e production of synthetic ammonia , monohydrate sulpburc acid, of complex fertilizers and soil conditioners . The cost of the plants will be of about three milliard Lires . '.:1he plant v;ill be ~et at work on th~ second half ye-ar of 1S57 . J'or the proctuction of synthetic ammonia of tte above men~ion~d complex, a continous, retular supply of natural gas - at 98/SS% CH4 - is needed ·ith an yearly quantity of nearly 10 mill. cbm, for a period not inferior to 10 yeurs . Furthermore our grpup, together with Food Iachinery and Chemical Corp/- New York, is planni~c another interesting ir1dustri~l initiative - i:...lways in Ca"tania - which should soon follow the acti .. al one . The necessary quanti·ty of 98/99,: CH4 gas would be at the be~ir.n.ing of 12 uiill . cu . meters per ye rand should reacc soon a maximum of 35 mill . cbm. per year, of course for a perioa not inferior to 10 years. As you are aware many Companies have found natural gas in the plain of Catania antl we are dealin~ with them for our necessiti~s. However before concluding these de£.1in£;S (we do not hide you that we would be very ple ..sed to re ch an agree= ment with your goodselves, which could be the prelude to much more important consumptions than the above ones~ we would appreciate 2 your letting us lmow v,hether we could examine together v,i th your goodselves the possibility to reach an agreement for the supply Df natural gas having the same quality - same quan= tity - and within the same period - as mentioned above. It "ould be actually urgentto reach an agreement for the supply of 10 mill . cub/meters yearly and delivery should start in July 1957. Awaiting youx reply we remain yours faithfully June 17, 1957. Professor nabr1ele Pescatore, President, Cassa peril M ez~ogiorno, EUR, Piaz~ale dei Congress1, No. 22, Rome , Italy. Dear Professor Pescatore: W Re: J;,oan ll7- I T (SitlCAT) / e acknowledge receipt of your letter of June 8, 1957 en- closing '&nglish Translation of the minutes of Sooieta Induat- riale catanese - SINCAT meeting in which balance sheet aa ot December 31,1956 has been approved . Yours very truly, i~ H. D. Ripman Chief', Industry Division ej w Department of' Technical Operations June 14, 1957 Mr. ~ Y D. Bry'ce, Grand Hotel, Rome, Italy. Dear Murray: .,. \ .. 1 ~""""'' ~ I y" The Working Part has considered the points arising from your letter Boo 3 from Naples, and I • now writing to indicate the line you should take in your final talks with ~ e C&ssa on these points. For your intonation I en- close a cow of the memora um which was circulated to the Working Party. 1. You should n~t ke the initiative on the question whether the caasa and the institutes can d nd •real" financial statements from companies which seq likely to be inf ial trouble. If they wish to and can, then let them do it; but we should not ~ party- to aey recorded agre8Jllent that they can or will do so. We, on the o'tj er hand, can probably if we wish to obtain the real figures from the companies , and will of course as a matter ot routine check on the real position on the occasion of all enduse viaits6 2. ( as it was vith Dalmine) 3. I You should tell the Cassa that we suggest that they refrain from sub- mitting t he I.R.I. paper ill project, aince it would be contrary to Bank polic,- accept it• A.s far as the o cellation of amounts included in last year's loan tor project, which have or wilJ fall by the wa7side, you should indicate that we want to keep the position 1_pen for the time being, since it might be conYenient for everyone if the addit ~onal amount which may be needed for ABCD oam.e under this loan - alwa7s proride~, of course, that the project in itselt ia eatiatactor;y. 4. You should tell it.he Cassa that we do not want to make up our mind.a on the Cementir project until! we have received the information about the present distribution of the share9ib and the poll07 for further reducing the proportion of government-owned shares bi. sales to private investors'> As far ae concerns the drydock project, we haYe objection 1n principle to a 20j government shareholding. - 2 - Hr• Murray D. Br,yce - But you ehould also be definite~ discouraging about this project, and can tell the caasa that the Bank has rejected drydock projects in several other countries and is not at all keen on them. Thia I think gives you adequate guidance on the various points which you have raised. With best wishes from all here, Yours aincere]¥1 Hugh B. Ripman Chief, l)J.dustry Division Department or Technical Operatiom Encl. cc: Messrs. Chadenet Bat eaon/Olark Armstrong Verhey-en Ross Wheelock HBR/bm Mr. H. Rosa . ~ /" June u, l9S7 Hugh B. Ripman \8\ 7 Ita11an Projects I ha't'e ~ recei:,ed a letter from ay sr,ce, copies or which will be circulated tor intonnation., in which he eats guidance on tour points. a) He writ•••"It • s agreed that the ins tutea, the caaaa and tbe Bank have the right to demand interim nreal• balance sheets whenever the drcwutancea are such that there ia aonable doubt about a ooapaiv•• finanoial hea1th. To get such interim eta te•nta would probabq in- volve a rather aeriou ahow-down and uld be resorted onq in unuaul- 11' ditfieult caaea. We will await yoUJ'l COIUllente on the position w should take in thia proble11 in final tai ks v1 th the casaa.• Ootament. - 1'3" feeling is that we should be very about this. The real flgurea are alway• opt extreme'.ey" confidential ti tu purpo... - and w alwqa have t.o t.ake t h e ~·• ward that they are tbe real ti&ufta, a1nN th9T are not audited. I think that in ma:qr ca1ee tfiec e1 might give the real fig- urea to ua when they vould not be prepared to be equal.1-r oandid with the inati- tut.e and the ea,a. It a project M•• to be g tting into a rea~ bad vq, I think we ahould rlait it, as we usua]4r do w1 problea project., and get the real figures on the apot. Reooaaenda ti.on - ~ suggestion therefore is th& t ~ce ahould not raise this po!iit 1n hie ?inal talks, and if it is raised ah not ehov enthuaiaa. b) Th• President ot ISVEIMIR aaked Beyce ether the Dank would conaider for thia 7ear•a loan a project (Lit. 2 billion 1oan) tor the expansion ot • paper llill 11ho~ OWJMd b7 I.R.I. Bry'ce vrite11 "I replied that u a general principle the Bank doea n t finance i.nduatrl.al project• which are Goverment owned. 7h97 11111' to ahead and subJli t the projeot &J'.\Y'lfq unless 7ou wish to direct • to tell them outright that the Bank does not want to look at it.. • o,ment - Last 7ear we threw Dl.lmiDe out becauae 1 t wu Government owned. I kDav ol"1iolliing to indicate a challge of Bank polic;r o this point. necomemation - I suggest we tell Bryce to adrl e the Italians not to submit ea. p:rojeot. c} or the projecte included in last year• ~ loan (which included about $24 million 1n all tor industry-), Vetrena Latina ($0.61' mUlion) 1• dead (bankruptcr of proJ10tera)J Chim. del Tirreno (t2.S6 llill1on) ia al.moat oertai~ dead ( some prmaotera -av• dropped out, and the rest cannot rim enough money)J and ROt'ileg ~ ($0. 90 Jllillion) is not a oer- tain st.arter (one backer baa dropped o t)o Bryce writes that ISVEIMIR aaked whether the funds origin&~ all ated to dead project.a could be -2- a. M. Ross - applied to new projects now being auba1tted. •1 replied t.bat. aa a general ru1e the Bank preferred to cancel the 1'unda 1fhen a pro- ject drops out. If there is alV'f,h.1.rlg aore to D,T on th1•, let ma 1mo1r.• pl••• Comamrt. • The Bank• 1 policy has not been consistent when there pl'OYe to be ipa're""'lunds in a loan. It ia of course clear that the amount allocated to industr., is not a line of CNdit tor the Cassa (atill. lea• tor the indirldual institutes), so that U a project falls out tbe Bank has• right to cancel the corresponr:li.J2g aaount. We ha••not, howeYer, al_,.• done thiat we substituted !ugwJta Petrochillica far SP.AS, Jlanitex and the unallocated part. ot ll7•I'.f. B17ce•s report on ABO> indicates that the enlarged project aight justi.iy in- creasing the loan tor this project b7 $3/3.S 111.llian. Reeowndation - I suggest that we tell Br;rce not to be definite about cancel- iit1on, but·to le&Te the question open, aince it 111.ght be cODYeni.e.nt to use the balance anilable tor ABa>, it the ~ e d proJeot paaaea 11Uter. d) There are two projecta which ISfEIHIR ie like'.q to aubait this year in which there are I.R. I. interests. One 1• Ceaentir (45j intereat)J the other a dr7dock at Taranto, prozaoted b,- a ccmaort.iua ot Dutch am Greek interests ( ~ interest). Br;rce write• •mould ve throw c.., cold va ter on these project• too'P Coment - V.e financed Cellentir under 50-I'?. At that t.iae it wu wb.ol:q O1' telephone. Since there is ao• urgency in getti.ng a letter off to Br7ce, I should be crate.tul 1.t cownta could reach ae not later than aid-dq Frldq, Jun• 14. cc s Keasre. Cb.adenet Bateson/Clark • AJ'Jlatronc Verhqen INDIRIZZO TBLaCIRA~ICO t CASMSZ ... ROMA CASSA PER OPERE STRAORDINARIE 1 PUBBLICO 0 1 INTERESSE NELL' ITALIA MERIDIONALE ( C A S S A P E R I L M E Z Z C> G I O R N O ) s/ 512 8 P]R VIA AER~A Prol. N. Posiz. LV b,U.19tl7 Allegat Risposta a .... 2 ---.- ROMA , del. . ............. N. oGGuro, III 0 1restito n-117/IT - ~.pett. BANCA INT~ffii.11.ZIONALE PER • r >::_P t'to'""SJN'CAt.f .:: Rapporto LA RIOJSTRUZIONE E LO nuale·1956r- SVILUPPO 1818 H Street f 'iASHING1IDN 25 n.c. Facenda segui to a.lla nota n. 2597 in data 23 aprile 0 c ~ u. s., acclusa alla presente1 si rime tte copia, con relati va 0 "' ~ traduzione in inglese, del verbale dell'Assemblea della Sp- 0 ] C ::, cieta Industriale Catanese - SINCAT - per l'approvazione del bilancio al 31 dicernbre 19516. Con i migliori sa.luti. (Gab!:i,~ IL PRESIDENTJ:J ~ ex; .,; 0 § '.2 ., () .; t L ') e " tfOWV ...... ,/,.,. . ! ~ ·~ \ • fp~. r 1111 ~ .(.)( Ot:SIAO 01 t::n 1,. INDIRIZZO T R I..EGAAP'ICO : CASM&Z .. ROMA CASSA PER OPERE STRAORDINARIE 01 PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE (CASSA PER IL MEZZOGIORNO ) TRANSLATION Prot. N. ........ Posiz. LY/mg Allegati R O MA VIA AN I E.N B, 1 4 8 GIU. ~_?.. TIU•• 8 4 9.4'20 - 26 • 2"7 • 28. 2D Risposto o del. N. OGGETTO, ·e · International Bank for Reconstruction and Development 1818 H Street, N.W. Washington 25, D.C. ~ ,17,-- <;.1tJ< A"T' (',"f p'i .!!. .. C: E 0 . Gentlemen: ii Subject: Thir Loan No. 117 IT - SINCAT Project~ ~ 0 Ann 1 Report for 1956 / rL-- ~ ] C: :, v e Further to our letter No. 2597 of April 23, 1957, !e "' 0 enclosed please find copy, with English translation of the minutes of "Societa Industriale Catanese - SINCJ\T" meeting in which the balance sheet as of December 31, 1956 has been approved. Yli th best regards. Sincerely yours, - THE PRESIDENT /s/ Pescatore - Enclosures r - - - - = E. I IJ. l'.I' HIDI C D ,n C ,,.,. L CY W S )WY IXTERXATION. AL B ..tL"'\"K FOR RECO:NSTH.CCTIO:S .. '-...~D DKVELOP~IE:NT - iEI..EPNON~ EXIS:CUTIVC 3·6360 J818 H STREET,S.V.>: WA.SHINGTO~ 25, D. C, CABLE AOORESS·INTBAFRAO l.x ~ H,;tJ rv~~ ~~ ~I /~~, t~ J ~ t...&.4. r"'- ""'~.-k - ,)... r ~ 7) ..,.__.. 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Le. t ~ - ,:i '1 t ~ \. . r~ - ) I- l ~ J-c [ l·.., + "" I 'lo.. ~ f * t '\. t ..lt. ~~ r., --1c t, t l ~ ~ \ E- (_ I ~"' ... . _..,, C., ( I ( L. \ ..... ~ ... i I.. ..._ t .) .l ~ - . i A ;f ,. T .J t { 01 ~ /_ l ...... ~ . I rt\ .) ~ L...;.. ~ .. ~ ... t J... r , ':t ~ ( -- ') l t t~- I l..C S I l '\ '"" ~ . J- ~ "' 4 ~ ~" t -t J..... - ( "'YI. ~I ~l k ll. \. " ( 1..c. 4 ,l ". .. ~ , , J ... / .r // ,, / I 1 "T / I/ ;u, / /: I Jh/, /I, , 11 ,.. r J .o ,,, ') 1f I /nc {,Jfif , , ' " 2 4 V ' ,'/ / J e L "'/ I I''/ . I I .. /'/;;I I ' ( 1~/J1 /P/) I~ f/."('I .,.. (r,A t/rP11!tc;1. ;) 0,"' • y ,. . o. 8 r I / I /' '(tN'v r V ,... , . /'/ 'I , l)I) I , .,, r()d: (1 ", {/ { /' c I I \ , I I I 1' . vr bj ~ f) , ) } f. ?I ,I 'J - I . /r1., /,. I ~ J . .J /e;:t,), ,~ h-1'- I ~ " ,.., i ql'I I. /. I I ; ) O,;/ / ,> I , ,,, 1 7 t:,,/ I ,~1re1 I 'j / /) . . , • June 4, 1957 Unione Esercizi Elettrici Direzione General• Via Torino, 117 Roma. Subject: toe,a Jo, J17 IT ms Gentlemen a t/ We thank you for your letter of April 2?, 1957 (ref. ?11/ 175 ), bringing us up to date on the status or the projects financed by the allocation or the Bank loan. We appreciate that the difficulties you experienced in obtaining the necessary approvals of the plane for the Talvacchia dam caused a considerable delay. We are glad to note that these difficulties now are overcome and that construction work may start in the near future. We look forward to hearing from you when the construction contract bas been signed when you also will be in a position to give us revised construction schedule and cost estimates. We would like to commend you upon the efficient completion of the Capodiponte and Ascoli Piceno plants ahead of schedule and hope that the operations of the generating units have proven satisfactory. To complete our r ecords we would appreciate if you could prepare a table showing the final costs of these works. At the time of Mr. Kanters visit to Rome in March 1956 you estimated the costs of the projects as follows• Capodiponte Pl.ants _(including Talvacchia dam) Lire 6,615 millo. Ascoli Piceno Plant " 3,261 " Total Lire 9,876 mill& The estimated costs according to the progress reports received are however as followss Capodiponte Tronto Branch Lire 2,400 mill. Capodiponte Cattellano Branch " 4,000 mill. (including Talvacchio Dam) Ascoli Piceno Pl.ant " 3,000 mill. Total Lire 9,400 mill. .. - 2 - With respect to the progress report we expect to receive on the c.:>nstru.ction or the Talvacchia dam, we understand that the main ~eason far the dela7 in preparation is the time required to obtain the operational S.Dd financial data. In order to provide us with more up-to-date information about the status of construction work, we there- fore suggest that you send us this part of the report separately to be followed by the financial and operational information as soon as the necessary data are availableo Sincerely yours, A. D. Spottswood Chief, Public Utilities Division Department of Technical Operations ccs Finelettrica Cassa per 11 Mezmogiorno ~K,mters • nI . IN DI RIZZO TaLaaRAl"ICO . CASMaz. ROMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' !TALIA MERIDIONALE (CASSA PER IL MEZZOGIORNO) Prol. N . Posiz. LV PER VIA .AEREA - 3 8I U. 1951 Allegat ...... ................,...... ROMA . Risposta a. ~-~-~-~era del. · 57 ......... N. ~~..~..?. . oGGnro, II~~ .. ~.. !~.~-~-~-~~ n · 117/IT - Spe t t. 3ANCA INl'ERNilZI Ol~ALE PE TI LA --appo1 ti t rimestrali 3INCA'I' ed RICDSTRUZION~ l 10 SVILUPPO - · ·······"'""'"""""'"""' ...... aUGUSTA PE PrtO..JCHL.ICA - 1818 H Street / ~d~/1 dASHIHGTON 2o n.c. '-r Si fa riferimento alla nota a margine segnata con la quale couesta Spett. Banca richiede l ' invio dei rapporti 2 C .. trimestrali al 31 marzo 19~7 delle Societa Sincat ed Augusta E 0 Petrolchimica, beneficiarie di mutui sui fondi del III 0 Pre- "' :. 0 stito n. 117/IT. ] C ::, Al riguardo si comunica che, per ~ua tt' riguarda la Societa Sincat, il relativo rapporto trimestr e e stato ri- I ? OI 0 ~ messo a codes to in te con nota n. 4008 del 2 ' maggio c .a. men- tra, per l'Augusta Petrolchimica, l'Istituto Regionale IRFIS, • Q. piu volte sollecitato, ha comunicato di aver restituito alla Societa stessa il rapporto perche incomplete e di essere in :;; attesa di ricevere quanto prima il suddetto rapporto accurata- • "' • mente compila to • Q. Sara cura di questa Cassa sollecitare ancora l'Isti- tuto ed inviare, non appena possibile, il documento suddetto a co~esta Spett . Banca. Con i migliori saluti. I~-,.lSIDENTE (Gabr 0 ~ 'O 0 ~ INDIAIZZO TSL.CIRA~ICO t CASMliZ • AOMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE ( C A S S A P E R I L M E Z Z C) G I O R N O ) TRA lTSLATI ON Prot. N . ................ Posiz . ..LV/mg -3 61 u. 1951 Allegar ROMA .... VIA ANIENE, 14 TEL. 849.4'20 - 28 • 2'7 • 28. 2Q Risposta a ........ def. N. OGGETTO: - ·························· International Ba~~ for Recon'-"'truction and Development 1818 H Street, N. ~. lashinzton 25, D. C. Gentlemen: c 0 Subj£ct: Third Loan No . 117 IT - Quarterly Repo,...t'-"' o+> " E 3 ~n;cAT and Au_:usta Petrolchim1 ca Companies "' ; 7- -~~ 0.. 0 C We refer to ..rcmr 1 etter of rTay ?3, 1957 rPquesting th~ " submission of au.arterly ·rFiports, as 01f r'arch 31, 1q57, of SINCAT and Augusta Petrolchimica Companies, beneficiary of financings out of Loan No . 117 IT. 1~ 1~. • c.. e point out that, in respeet of SIK0AT, ~uartPrly re- port has been forwarded with our lettE~r No. 4008 of Itay 20; while IRFIS has irforned that the Aufru.sta Pet't'oJchimica renort has been re- turned to thet Company because it wa~ incompleted. The 1n°titute is now expecting to receive at the sooneBt such report duly completed. shall not fail to urge IPFIS once more about said renort, ,1e and to forward it to the Bank as soon as po9~~ble. N'i. th best regards . · Sincerely yours, THE PRRSTDENT Isl Pescatore "O C :; ,. • F,, .... .,. A ... • ~,- t lr7 ~~\ -1, I 1 S 1J IROPOSE EID• USE SYSTEM FCll. CiSSI. DmtJSTRJAL PROJECTS l. Reports to be submitted by c25!!!4e~, ae outlined in our letter July ll/'56 to CASSAa oonatruotion progress status ot project. .tunda orders and daliwriu of equipment Sead..- A.nmial1 cnah now balance sheet (aa prepared tor oompa.DT'a ovn us•) Annuals annual repol"t financial. statement.a (aa prepared for coi.ip&r\Y• • own uae) 2. Request that c~aniee .send C9Riea or reports direct to Bank, at the eame time the origir1 are sent to inl'Jtitutu and the CAS~ (via the 1nat1tutea). Streas importance of promptness. Companies should airmail reports W1 thin .30 days ot end•ot each quarter. 3. End-uae J?l"Ocedure to su,ggest to the in8t1tutess (stress their primary respons- ibility) 'l.'he institutes should !'ix the reaponaibility tor seeing that supervision is properl,7 carried out on one man or otf'lce• to act also as a channel or comunication with the Bank. !very project under construction should be neited regular~ at 1.eaat every six months to check on accuracy of reports, to detel'llline whether companies are complying vlth terms of the l oan agreements, to learn of an_y problems not reported. and to discover tecbn1cal or financial diffi- culties in time to be of assistance. After evor., field visit a brief appraisal or th.e a1 tuation should be eent promptly to the Bank and the CASS!• ..lt any t1.ao when the institutes becme aware or an., aajor problem con• eerning arrr project a special report sbou1d be sent iJ=ediatelf' to the Bank and the CASSA. The institutes should maintain contact with coq>leted projects by v1.a1ta at least once a year am by reviewing anmal reports. Brief reports on these projects should be sent by the institutes to tho Bank And the CASS1. The institutes should send their comments, it aqy, on reports to the CASSA wtth copy to the Bank. The 1nat1tutes ehoul.d expedite late reports trom the coq,aniea. The institutes should adnse tho CASSA and tho Bank of aey action taken in Nspect of the projects. Correspondenc• from the Bank re- garding reports will be directed to the institutes with oopte, to the CASSA. 4. Bnd-uae procedure to suggest to the CASSA: 'rhe CASSA, through review of reports received from the companies (Tia the institutes) and troa the instituta themselves. and through occasional field v.Lsits, should be familiar with progress on all pro- jects, and should call on the institutes for further 1ntormation or action whene~r necessary to be satisfied that project superTi.sion is adequate. The CASSA should send the Bank~ comments on the reports to the Bank and report to the Bank &J1T action taken on the projects. May 1, 1957 MDBryce: ejw CHrolC LIST FOR DISCUSSIONS WITH CASSA. Otl Effl>•USB l. Das the CASSA set up an end-use B7stem for the industrial p jects? 2. Does the OASSl require reports troa projects? 3. Do CASSA representatives visit tbe projects? 4. Exud.ne contents o~ reports, it &1\1. S. What is nature or the CASSA relationship with the inatitutea 6. What eta.tr does th.a CASSA tndu.1try Divis1on have and what 1a work ot the .D1v1a1on? 7. DoN the CASSA plan to take action on projects in difficulty 8. Does the CA.554 look to the Inst.1.tutea to entorce loan agre especiall.7 V1 th regard to working capital and paying in of and/or advances? 9. Review status of ewry project. Investigate reasons for de]A 1n completing agreements on 1956 projects . l.O.. Explain reports the Bank vanta tl'Olll companies~ institutes CASSA and outline proposals tor end• ws• ayatem in which institutes h&l'O primar., reaponsibillty. CHECK Lm'l' FOR DISCUSSiotl3 WITH IRPIS1 ISVEIHER ,AND CIS l. What follow-up procedures have been set up tor the Bank financed industrial projects? 2. What reporting a ~ n t s do you. have With the project.a? Examine reports being recei'Nd• ,;. How often do you Ti.sit the projects? Re&Ul,ar schedule? 4. How do you enforce loan agreement conditions, particular~ in regard to working capital am paying in of capi.t al and/or advances. S. What do you do to help projects in ditticult7? 6. What ccanodity or industry are you carry1na on? Is there a procedure for keeping them up to date? 7. Review status of ewry project. Investigate I'G&sona tor del~ 1n executing agreen:ents tor 1956 projects. 6. Describe reports companies are being asked to Mnd. to the Bank and outline proposed end- uae sys tea in which the 1nsti tutea take pri• JR&ry reapons1b1lity. 9. Will you assien reapons1bilit,' ror seeing that supervision 1• pr~- perly carried out to one un or o.ff'ice 1 to act also u a channel o~ communication with the Bank? CHECK LIST F(Jt Im1 COMPANIES - CONSTRUCTION ?l>T COMPL&TiD Lanifioio di raratea, SIU CAT, SIL, Augusta Petrolchim1ca, Norllegni, Chimi.ca del Tirreno, Vetreria di Latina, Cementer!• S1cillana, st. Oobain, V ibert!, FD.T, cemanterle di Sardegna. 1. Have there been &1fY' J1&jor changes in t he project eince original approval? 2. Latest cost estiaatea. Compare with original. J. ReYised conatruction achedules. Progress to date. Problems. 4. Expenditure:, and cOllmitaents to date. 5. Equipment orders and deli"feries. Schedules . Erection. 6. Compliance with agreement on paying i n capital and/or &dvances. 7. Cash Flow. 6. Adequacy or contingency allowance . Financing or overrun, it any. 9. Competence ot management regarding const ruction. Technical and financial supervision and cuntrols. 10. Provisi on of worki ng capital for start of oporations. ll. Recent balance sheet (as propared f or colli>any' s own use) . Compare with profomas . 12. .lny- iaajor changes in raw materials si t·.iation? (power, water, labor, etc.) lJ. Revised producti on cost estimates if atv significant changes. 14. Market prospects and trends. Coi:JP9tition. Prices. JS. Revised profit forecasts U significant changes in production coats or selling prices expected. 16• .lvail.abllit ;y or 11&n11gerial and technical. •tatt for operating phaee. 17. Is an;r expansion or plant being considered? Ir ao, what are financial plans and economic justification. 18. Insurance plans. 19. If •hort tem tinaucing used - tams and conditions. 20. Review reports now being prepared. D1acuaa reports tor IBRD Tia Institutes and CASS.l. (as por requirements letter) 21. (For new plants ot companies ~ operating1 st. Oobain, Viberti, FDT, and Caenterie di Sardegna) information on finances, salea, etc. of COIIJ)&n1' as a who1e. B. CHECK LIST FOR EXISTitlG PLANTS BEIOO EXPANDED - CONSTRUCTION NOT COMPLETED Forino, A.BCD, and Cemantorie di Augusta 1. Have there been any major clulnges in the project since original approval? 2. Latest cost estimates . Compare with original • .). Revised construction schedulea . Progress to date. Problem. 4. Expenditures to date. 5. Equipr;ient orders and deliveries. Schedules. Erection. 6. Compliance with agreement on paying in capital l:Ild/or advancoa. 7. Cash Flow. a. Adequacy of contingenc1 allowance. Financing ot overrun, it al\Y. 9. Competence of management regarding construction. Techuica.1 and !irU1ncial suporvision UDd controls . 10. '1c-J sheet ( as prepared for company's own use) . Recent bala.. Compare with proforu.s . ll. Ln;r i:.:::.jor ch~ ees in raw materials aituation, etc. ? 12. Revised production cost estimates i ! 8Jl7 sicnificant changes. 13. Market prospects and trends . Coll'l>et1tion. Prices. 14. Rerlsed proti t torecaats H' eieniticant changes 1n production costs or selling prices ecq>ccted. 15. Availability or managerial f.Uld technical sth.ff for operating phase. 16. ..s nnd cond'!..tions. I! ghort. term f inancing used - ten- 17. ReTiew r&ports now being prepared. Discuss reports for IBRD via Institutes and CASSA (!'ts per requiremonta letter). 18. Froduction, sales, inventory !'it'U?'8S (•thod of valuation) . 19. Profit and Losa Stateaante (as prepared for company•• own use) . Compare With profornae. 20. Froduction. coste, compare with original estimates . 21. Work111{' ca1ital requirements and how being met. 22. Technical problems, if 8.1\Y• 2.3. Distribution ot earnings (resenes, dividends, etc . ). 24. Insurance carried. 25. Any expansion being considered? Details. 26. Managerial competence in operating. Controls, auperrlaion. c. CHECK LIST FOR MtOJWTS I'I OPERATION Akragas , Cementir, Lanificio di Maratea (part), Dal.mine, Calce e Cementi. 1. Balance Sheets (as prepared for company's own use) . Compare with profol'JIIB.s. 2. Profit and Loss Statements (as prepared for company's own nse) . Compare With proformas • .3. Production, sales, inventory figu res (method of valuation). 4. Production costs, compare with original estimates. $. \forking capital requirements and hov bo1ng met. 6. Technical probler.is, if 8.'!1¥• 7. }fa.rkot problems, prospects, trends. 8. Distribution of earnings (reserves, dividends, etc. ) . 9. Insur~nce carried. lo. Any expansion being considered? Detnils. 11. Managerial competence in operating. Controls , superv1.sicn. 12. Reportixg requirements. 13. For projects which are br anches of other cmr.panies (Dalrnir.e, and Calce e Cementi) : infonnation on finances , sales, etc. of cois;,a.ny as a whole. HQ' 1, 19$1 Professor Gabr1ele Pescatore, Presidont, CasA per 11 ztogiorno, EUR, Piaszale dei ooncresai, 0.221 Rome, Italy. l!ear Proreesor Pescatore, es Loans 50-rr, ll7- IT and 1,:0-n: - {\~~"'~ Thank ;vou tor ycur letter or April 30, 19.57 ln which :,ou express your agreement With the proposed visit ot Mr. de ~lba and Mr. Bryce to Italy, for the purpose ot inspect- ina progress on the industrial projects. Mr. de Alba and Y.r. Bryce vill arrive in ome on Mon• day, y 20. They would like to see you and Dr. Busuaao on Tue•day morning 1f that will be convenient to 70u. At that time detata !or the ruita to the industrial planta can be discussed. We much appreciate your kind ofter of assietance to our representatives. With beat regards, H. B. R1pun Chief, Industry Division MDBryce:ejw "1epart'.ant or Technical OperatioM Cleared w1 th and cc . -Area Dept • FORM ~o. 75 INTERNATIONAL BANK FOR (3.52) RECONSTRUCTION AND DEVELOPMENT Date ROUTING SLIP S·5.S'7. NAME ROOM NO • ..so s ~IO Action Note and File t Approval Note and Return - ---------l---+--- - - - - - - ------1 Comment _ _ _ _ _+---+P _r p_ _e~ a_ re_ Re~ _ l ' - - - - ---1 p~ Full Report Previo~apers ~ \ ntormation Recommendation t emarks I n i ti a I Si gna tu re _ _ _ _ _ I I I 6t5;J I I I Ie iFrom --- A- · {3 o-1 ~' //CK .. L • Mr. Spottswood Room 305 UNIONE ESERCIZI ELETTRICI Managanent No. 711/175 Rome, .April 27, 1957 Subject; 1 Loan or July 21, 1955 ( 11 ' r-o International Bank for Reconstruction and Development 1818 H Street, N.W. Washington 25, D. c. At the very beginning of our relations it was explained by word of rrx:uth to Messrs. Chadenet and Kanters that we would try to send the periodic reports with the greatest possible accuracy but we could not undertake a short-tem and absolute commi trnent for the following reasons. Even assuming that the communications from the offices in the field which supervise the work and the accounti.ng reach us within a normal period of time, at least 45 days must pass before the accounting off'i.ce is able to make the necessary en trie :s and close the accounts, obtaining from the two-monthly or three-monthly positions the data which are necessary for filling out the fonns that must be sent to the World Bank ( overall statistical and economic infonnation on the enterprise; special data relative to disbursements made for the progress of works financed by the loan). 'Ihe Bank's wish to have the periodic reports within one month (even if it were possible to comply with this) came to our knowledge on December 27,1956 when we received your letter dated December 18, and on that date all works were COOlPleted with the exception of the Talvacchia dam. In this connection we should like to point out that under the loan agreement of J ~ 21, 1955 the Capodiponte plant ( Tron to br,mch) was to be finished by July , 1955 but in fact it was completed by April of that year; that the ins~llation for the Casteliano branch was contemplated to be finished in July 1956, but it started operations in October 1955; that the Ascoli Piceno plant was to be terminated by December 31, 1956 but in fact it started operations in November 1956 inspite of the great difficulties encountered during the work on the diversion tunnel. All three plants financed by the loan began operations prior to the date stated in the loan agreement. 'lbe fact is that the only work yet to be built is the great Talvacchia dam on the Castellano river: in the loan agreement this work was scheduled for completion oy December 31, 1957. This obviously must have been a mistake as, in the concession for the utilization of the waters, the date set for the IBANSLATION SECTION Translated From: Italian 5.3.57 By: AB. -----------------' .( ; ', - 2 - coMpletion of construction was November 28, 1959; and if in the loan agreement the comnissioning of the temporary dam was anticipated for July 1956, it is unthinkable that this latter structure would have been built to be utilized for only one year. Today the situation is the following: The Civil Engineering Office of Ascoli Piceno has authorized the beginning of the work on the large dam only two months ago i.e. on February 22, 1957; as long as this authoriza- tion was not given it was impossible to ask for bids from contracting finns because such bids have a value at the t:ime they are made, since the contractor must take into account his possibility to have the heavy equipment necessary for such work available and free from other cornmi t.ments. We have approached three finns. One has refused to bid after having~ examined the work while the other two have made bids on the 19th and 24th instant respectively; now we must examine the bid~ and negotiate, and if we cannot arrive at tenns with these two we will have to contact others. ~s soon as the contract is concluded we shall infonn you. It is clear that until then it is not possible to estimate the time required. Yours •••• ..•••.••••.•••••••.••.• UNIONE ESERCIZI ELETTRICI /5/ Illegible /S/ Illegible 'Ihe Managing Di.rector A Director • Roma , 27 Aprile 1957 SOCIETA PER AZIONI - CAPITALE L . 18.800.000.000 SEDE IN ROMA • VIA TORINO, 117 Spett . International Bank for Reconstruction O I REZ I ONE GENERALE and Development 1818 H Street, N. W. 711/175 Ji:sercizio CF/ms • SIOI..£ •. •• . N ••• .•••••.••••.•••• UFt'f • ••••. \.:ASHINGTON 25 , D. C. '.>GGE T T O J.:utuo 21 Luglio 1922, Spett . Cassa peril ~ezzogiorno Pal azzo IUA = EUR R O ll A e P• c.: Spett . FINELE'l'TRICA Via Lovanio , 24 R O ?1 A < I 0 I -~ l) li c ? Sia al Sig. Chadenet che al Sig. Kanters fu fatto presente ver- < e .. z g balmente , negli incontri che si ebbero al principio dei nostri rapporti , ohe ~ N ~ avremmo cercato di mandare i rapporti periodici con la maggiore posoibil e di "' ,: 0 ligenza, ma non potevamo assumere impegno di termine breve ed assoluto : cio z .. 0 IL percha, pur presumendo che le comunicazioni da parte degli Esercizi e degli .."' .J • Uffici periferici preposti ai lavori e le contabilita pervenga.no con ritmo Ul normale , intercorrono per lo meno 45 giorni fino a ohe la Ragioneria della w z Direzione Generale possa avere fatto le occorrenti registrazioni e aver chi!!, ::> i I < soi conti in modo da ricavare dalle situazioni bimestrali o trimestrali gli a: ., C, ., .J elementi necessari per la compilazione dei moduli da inviare a cotesto Spett • I- Istituto (dati generali statistici ed economici dell ' azienda; dati particol2; ri delle spese fatte in relazione all ' avanzamento dei lavori finanziati col mutuo) .- Il desiderio di cotesto Spett. Istituto di avere i rapporti pe- riodici entro un mese (a parte se sia possibile adempiervi) e pervenuto a nostra conoscenza il 27 Dicembre 1956 con l ' arrivo della sua lettera in da- ta 18 Dicembre , ea quel giorno, eaclusa la diga di Talvacchia, tutti gli altri lavori era.no terminati .- ./ . PAG . ····-~·-· . DEL N .?..!.J.l.13~....... ?.1... A~~t~.+.~.. ..1.95..7 D A TA •.. •• • OIR E ZIONE GE NER A LE Alla. S11eit •.. .tUR~. • ...Spe.tt .. Cassa...pe.r...il .Mezzogiorno e p. c . : Spett. Finelettrica. - A questo proposito va teouto presente che nel contratto di mutuo del 21 Luglio 1955 l ' impianto di Capodiponte (ramo Tronto) doveva essere co_! pletato entro il mese di Luglio 1955, ma in realta esso fu completato entro il mese di Aprile 1955; che lo stesso impianto peril ramo Castellano era pr~ visto da ultimarsi entro il Luglio 1956, ma e entrato in servizio entro l'Ot tobre 1955; che l ' impianto di Ascoli Piceno era previsto da ultimarsi peril 31 Dicembre 1956, ma e entrato in servizio entro il Novembre 1956; nonostante le gravi difficolta incontrate nei lavori per la galleria di derivazione.~ I tre impianti finanziati sono entrati tutti in se~vizio in anticipo sul termi- ne dichiarato in contratto . - In pratica, oggi e rimasta da costruire soltanto la grandc diga di Talvacchia sul Castell~no : per la quale effettivamente nel contratto di mutuo era prevista. la ultir:nazione entro il 31 Dicembre 1957 : ma evidentemeE_ te si incorse in errore, percha nel disciplinare della concessione della de- rivazione d ' acqua il termine per la ultimazione dei lavori e fissato al 28 No vembre 1959, e se nel contratto di mutuo l'attivazione con diga provvisoria fu prevista peril Luglio 1956 , non si poteva pensare che si fosse costruita quest ' opera per utilizzarla soltanto un anno. - Oggi la situazione e la seguente: l'Ufficio del Genio Civile di Ascoli Piceno ha autorizzato l ' inizio dei lavori della grande diga soltanto due mesi fa, il 22 Febbraio 1957; prima di avere tale ru1torizzazione non era possibile chiedere le offerte alle imprese appaltatrici perche offerte di tal genera hanno un vaJ.ore nel momenta in cui la impresa le fa, dovendosi tenere canto agli effetti del1 1 inizio dei lavori della possibilita che l ' impresa ab- bia liberi da altri impegni gli imponenti macchinari cho occorrono per opere di questo genera.- Abbiarno ora interpellato tre ~rincipali imprese di esse, una ./. 0 > ... " PA G. •. ) .... oe L N . 7.1..1/.. ..1 .7.1.. .... o ATA ?.7...AP.F.~.1.e 1~57 ••• i. 1, • ••P.l.E.S... :=:=....Sp.e.t:t..Y.lil.S.a.a...J)er... il. Ue.zzogiorno A l 1 a. ..S;pe_ OIREZIONE GENERALE e p. c.: Spett. Finelettrica.- ha rifiutato dopo avere esaminato il lavoro, le altre due h~nno presentato le offerte rispettivamente con le date 19 e 24 del corrente mese; ora do- vremo esaminare e trattare, e se non sara possibile concludere con una di queste due, dovremo interpellarne altre. - Appena avremo concluso l'appalto , ve ne informeremo. - Ed e naturale che soltanto allora sara possibile compilare il prospetto delle previsioni di tempo .- . Distinti saluti .- Unione F:sercizi Elelfrici Un Dir•ttora j4 INDIAIZZO TCLaG R A.P'ICO t C A.SMaz . ROMA CASSA PER OPERE STRAORDINARIE 1 PUBBLICO 0 1 INTERESSE NELL' !TALIA MERIDIONALE ( C A S S A P E R I L M E Z Z C> G I O R N O ) 2319 ~l frot. N. .... ..... Posiz .. ' ~1 i/I.r1 15 APR.1957 ROMA ,. Allegat ................. Tl!L, 8 -40,420 - 2e - 27 - 28 • 20 Risposta o .. . del. N. > I .,.. •I.,...,... "' - - ...... .,.r, 't . )., ... 'VJ. - " · --' - I, ... .i. oGc; Eno, I::: I~... -~ . .... .?...~..~.Jo B... li.) 1 1.l • ..i....... 7/ ... .... - ,'1, 'TIT' p .J' .J ... "1 .. t .... 1· "",.; ..., "" . 1v:8 Ji 13tr t .?:.. ~.~.~-~.. ..... A. ti ..; • .ti • .. G 1 .t...1. _L ..) - -- ; LCt:~azo to - • TTI""Trt"\""-'"'""" .t ... .J.i.J. ... \l" ..... ~ ..., "'c ,.....,J ) .: . Cc ,.1 nota n . 5/,v3G60 d l 7 f . braic ·1. ...·~ .::i u::i. 0a .;sa I .,otto... 03 al: ' a tt .. zio 1 : ~ co.: 1~rt,a ;... tt. ""'anca la 1u st ion . lati va al ... a 1 :i.o i sta J.i r scis ...;.:..oi:: :!. con:r:;1.ttc :.n a.to. ~': .,. i bb ra10. 1('..1J 6 av!mza t 3. ua.L .l , 1 .)•.._, ...... .:.,:cu ....a .., " . l ~zo t c, b n .c ... 1c1ar::.:::i. • . . i. : c 0 • un fi. ..1 ..1zi2 nto .ml ::1° .::r Jti.to 1. 117/1~- E 0 .. ~ ~or critto 1- rot~ ao~rQln:ic~ta, l ' T~tituto ~1· c01 2 0 1 Jr l , __ r i._ 'ina.~:?.i.3.. nto all I .... 1tri i~ ";icili....- r. t·I:'-I-.) C: :, n l f ...r pr 1t 1ua. to ,o ... ra, ... ·o .. or. va , ov co 1 sta !3cr:ca lo :! ri t. .. 1 :o co. vcmi n t , :.i ·;tili:za.: : f!'l :Ji, 0 i ~ ,t:mziati ~ .! ·c "' e 1. :1a s . . ., ..,1. 3:.culazcto, 1: r la r a.:.i~zazinn di altro il~ustrial di n0t v0: irt r ~-e ... r il ~1·: Li~ .. ~ 0 Q. ) .:: ,,. so l :la r l· ti va .ocu.i... n ta",ion .. ~ ... ..:o. ._,u ~za t.:. :·1~ i.to ". re. , ·i }r ....~ co 1 a~a >'J ca :t: ~ J :;; .. J. C, r ~e, u.1i0 r 1 propri a. t r .; ui' n::. i.1 rr ri tc • l~ .. "' a. vi tuJ ltl i. fll b' ) t \ - -,,-- ltlTEIHH.. I' BAt1UO,\ 'ltC(INS Al ri Dl:Vt:L APR I A 3 U7 PM 1957 ------ ( "1 rr, I \1T I V H \ ., • t,· '"' ,~ CASSA PER OPERE STRAORDINARIE DI PUBBLICO tNDIRIZZO INTERESSE Ta\.aGRA.-ICO ' C A S M liZ ... ROMA NELL' ITALIA MERIDICINALE ( C A S S A P E R I L M E Z Z <::> G I O R N O ) ~RA NSLATI O'... Pro t. N. 5/ ... ..... . Posiz. _ I[/mg Allegot ROMA VIA ANIEN l! 1 1 4 T EL. 8 4 9.4'20 - 2 8 • 27 . 2 8 . 20 Risposto a .... del N OGGETTO, ·· - ·················· .. Trit()rnational F:-1.rJr tor .... ,..con<:'truction a d T,-,.~e o cnt 181 P. T; 8treet, ..... • I 81-in,.,.ton ?5, D.U. GePtle en: .;>nb~ec~: n:r..ird I"Rffn -oan :to. 117 rrr - Jr.ch:ts+.rial Projects: .. c E 0 0 ~ .A. SICl~LAZOTr V .. ~ 0 th lett r No. 5/23'16C o+> - nrunr:r 7, 1Q57, 7f' have r; ~ crawn thr. attor.ti"n Of the "3~nJi to ...! P rn1 ''0'"'t -for C cnl) jne tli.e C .. :, loan contract s tbmitted on Fel)ruary ,za, 10~6 by S."':l.A -:::::::-crrr iorro, .! ~ ·c "' 0 ~ a. !! :i ~ - bene+'iciary of a +'i-riancing out o"i thi~ nroc,.,f'!"s of loan .... o. 117 rn. f''\lbmi t ti,., A" ~,ready n l"tioned i.n tli.P R'"'OVA lc~t~r, s .1c req HH1 t, rva r.:i -ro 0sinn - i,, • Bark shou1 d cor~i cier i t a ropr:;..a tP ·- "'"o uti, i.7€' t""!"' ~ rr o one< i"'"' 1 IR~IS, wh"lp v -nt h + he, 'o ano·mt allocated to S.n . A. STr.tJL Zv':'O for financin{r another intiu!'::- e C, f'. trial urojec-t; of "rticul r r 1 leva.nc1~, o" wh ch the Tns+. -tute had Q. .;; already the ~Po' irPd doc,~ents . In accordance with +he fox·e />ing, the ....,~nk is k:lndlj · reque8ted to let us know its OP.C; !=!"ion on the riattPr n ueRtion . .,, t ,_ iith best rneards. E ) ~ ::, SincerPl~,r yours, 2 .. 0 ~ mHE P SID~ M 0 ~ \ '/s/ Prsscat .,..e AM • I e- T I U G JA a OIOl!i-1 ..... ',.., I AA"'11CJAOA1~T..... A ATl'JJ 111 H 0 '' - I' I C. C I. A. ROMA N 164,446 17 SOCIETA FINANZIARIA ELETTRICA NAZIO ~ E Via Aerea flN(l(IlRl[A By Air Mail SOCIETA Pl:.R AZIONt · CAPITALE L. 30.000.000.000 .,,.. SEDE E DIREZIONE GENERALE IN ROM.t\ Tee.Dept.File A 4 ~ kg ROMA. .l ~ April . , ' 1957 VIA L..OVAN IO. 24 • Tl!.L.. 848.119 .. 848,818 - 8$4. 4'57 oGGETTo Loan 117 IT UNES co. To Technical Progress Reports. INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT 1818 H Street, N.W. WASHINGTON 25, n.c. Kind attention of Mr. B. Chadenet. Gentlemen, The "CASSA PER IL MEZZOGIORNO" has just now given us information about your letter of Dec. 18th 1956 to UNES. Copy of said letter is supposed to have been mailed to us, but we never received it. Had the copy reached us, it would have given more strength to the complaints we have often adressed to UNES about their way of filling the forms of the reports and about their delays of delivery. Now we are going to insist on the moat accurate and punctual composition of the reports and hope that in the future you will find them all right. Sincerely yours I.. ll AH • r ,. .. r, ., .f 'I ' T C: L.- ) " ll ' ' .' 0 'T '. ) .., ) ~ .... ~ (\ • ... ~. '') , ..... ' \.,I II . , II ... ·:r: ., ' :r ... ... ----·-- -~ r. I 1 ' . ___.,___ t I - - ---~ ' ~ ---.- - ·----- ,T, ,... I , . , - ,...,,..,,. "\ fl J '. ,, "(' .. 'i ·- - J·----- 1'.... IJ ~ -~ - J .h .. . •' n ~ r -r •, - --- ', '.... •r . ..... FORM NO. 59 ( 2. 55) CROSS REFERENCE SHEET COMMUNICATION: Letter DAT ED: April 9, 19~7 TO: Professor Gabriele Pescatore, Cassa per il Mezzogiorno, Rome, Italy'. FROM: Walter J. Annstrong FILED UNDER: Italy - Loan 150 SUMMARY: Regarding proposed trip to Italy by Messrs. Bryce & de Alba in ~ following up progress of the indusbrial projects of loans 50-IT, 117-IT and 150-IT. 0 /...., t\ 7 FORM No. 59 ( 2. 55) CROSS REFERENCE SHEET COMMUNICATION: Letter DA TED: March 301 1957 TO: IBRD FROM: S ll E, Naples, Italy• FILED UNDER: Italy - Loan 150 V SUMMARY: Re last paragraph of March lSth. letter. Reports for SUE & Pugliese can only be prepared half yearly. FORM NO. 59 ( 2. 55) CROSS REFERENCE SHEET COMMUNICATION: Letter DAT ED: ll.arch 27, 1957 TO: Cassa per il Mezzogiorno, Eur-Piazzale dei Congressi 201 Rome, Italy'. FROM: S .R. Cope FILED UNDER: Ita}.y - Loan 150 SUMMARY: Regarding change of name of La Centrale. Would be grateful if Cassa would forward cow with English translation of supplementary deed between Cassa am IRFIS. Uareh 151 19S7 SocJ.eta li,ridionnlo d1 Elettr1c1ta Via P • Imbriam, 42 11aploa, Italy Oontlamona / Loans Bos• 11?-n mxi 150-?r 1e aclCQowl.ec!eo with ~ reoo1pt of your letter uo. 61-620 "a/ED or Uarch s, 1957, With 11hich ,ou cnolosed tho teohm.cal And tintmaial. progress nports tar SUE and Puclieao for tho poriod ended Docambor 311 1956, under u:,an llo. ll7-?r. We ~ tb8llk J'OU for your letter No. 61-519 U/rm of Haroh 81 1957, With 'flbich ,uu enclosed the technical mid tinallcial. progroau roport on tho Duasont.o project as o£ December 31, 1956, under !Dan Mo. lso-Ir. In comection With wan Ilo. ll.7-xr, we tlllm thia opportunity- to 1nqu1ro when wo nay expc.,ct to rocoivo ~ to-date opcrntin8 statistics for SUE and Puglioae, as our records show that tho last onoo recoivod by us wore for the period endod JUJ:13 30• 1956. Imra-:r• w. li r:. Public ut~JaJ;.vim.on Departmnt ot TecbnLco.l. Operntions . ' -- ""8 HAR. 19:7 SOCIETA MERIDIONALE DI ELETTRICITA PER AZIONI Dfa11 a& c621>,--····-·--·-····-·-············- ····..··--··-········..···· SEDE IN NAPOLI V tA P . E I M Bt'l l AN I, 42 Cnp•U•I<' L. 81.236.000 0\)0 r. ,, 0 - ~ - 61 - ,l "' C. C , I A . NAPOLI 21917 LT/ED International 133nk f or N ...--·-- ···-·--···· ... . Recons truction and Development da c itare nella risp o •ta 1818 H Street N. W. WASHI NGTON 25 D.C. (U.S.A.) e 0 0 "' I Prestito 117 IT "' (" X Ill II. k In alligato vi rimettiamo gli s tati di avanzemento e d ... "' ... t- i rapporti finanziari al 31 dicembre 1956, degli impiant i dell.a .J 0 II. ns.Societa e della Societa General~ Pugliese di Ele ttricita finan- -t :i: ziati col prestito in ogge tto. 0 z <( 0 (I) ::, Distinti saluti. t- All. ',1110 - )!cxl. 7 - I 0.tJOV - T1111 \. To .mi - b - j(j • Na.rob 8, 19S7 / If.l]x - WM Jk>, 88, • eat. 1]7 rr. fgri fmJ,szi The Bank baa et.ill received m Wormation regard1z»I the etatus ot tb.1a proJeot end whether a deoiaian baa bMD taken to go ahead witb its coaatJ"UOtion. The progreaa nporte eubaittAd by tb18 Co.cpa!V' ven rece ind ver, late b,- the Bank and w haft no up-to-date COfJt eat.1-tea and ooutruction ecbedulea. A letter vu aezrt. cm Decelllbv 18, 1956 (coP7 •ttached) in which ve aaked ter thla illf'or-.tion. I suageat that y-ou au: Mr. Wheelock or Kr. Roaen to check on theee two pointe durlJla their torthcRDI DI PRF.STITO N 117/IT ET ACCORDO m OARANZIA STABILITA PER 21 . 'n3RAIO 1957 .aELATI VAMENTE PROGETTO AUOOSTA PETR':>LOIIMICA PER CO"JCIMl PER OOLLARI ~ATTROMILTONITRECENTOTTA'NTAQUATT.RO;-U LA . PER MINISTRO TESOOO DECRISTINA DUPLICATE FORM No. 26 (I. 50) DATE OF WIRE: FEBRUARY 22, 1957 1310 ROUTING TO: INTERNATIONAL BANK FOR R::CONSTmJCTION AND DEV. ACTION COPY TO MR. BATESON MR. COPE FROM?OMA INFORMATION COPY TO Decoded By TEXT: 5/24524 CONFIRM RECEIPT CABLE EVEN DATE NOTiffir«l LOAN AND GUARANTEE AGREEMENTS JUNE ONE NINFTEEN HUNDRED FIFTYFIVE BECAME EFFECTIVE THIS TWEN'l'YFIRST DAY OF FEBWARY IN RFSPECT OF THE AUGUSTA PETROLCHIMICA PROJECT PESCATORE PRFSIDF.NTE CASSA MEZZOCGIOROO j'-t~:,~ ORIGl'!'h\L • FORM No. 27 INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT (9- 56) OUTGOING WIBB .. To be transmitted at 12 :01 a . m. E.S.T. February 21, 1957 CLASS OF SERVICE: FULL R.AT1 DATE: FEBRUARY 21, 1957 TO: CASSA PER IL MEZZOOI OR1W VIA ANIENE 14 ROME COUNTRY ( ITALY) .cXT: Cable No. AM PLEASED NOTIFY YOU BANK ACCEPTS EVIDENCE SUBMITTED BY BORROIIER AND GUARANTOR IN FULFILIMENT CONDITIONS PRECEDENT TO EFFECTIVENiSS OF LOAN AGREcl.IBNT DATED JUNE 1, 1955 BETVIEiN THIS BANK AND CASSA Pffi IL MEZZOOIORNO A1~lJ GUARANT1!.1!. AGREl::J.lliNT Of SM.E DATE Bh'rt11!.l!.N REPUBLIC OF ITALY A1~D THIS BANK WITH ru::SPl!.CT TO Tffi!. AUGUSTA P.l!:TROLClUMICA FlillTILIZER PROJECT STOP C01~SEGUE1~TLY SAID LOA1~ A1ID GUARA1~TEE AGR.r..EMl!.dTS BECAME EFFECTIVE TODAY F~RUARY 21, 1957 IN RESPECT OF SAID PROJECT IN THE AMOUNT OF FOUR MILLION THREE HUNDRED EIGHTY- FOUR THOUSAND DOLLARS STOP PLEASE GABLE CONFIRMATION RECEIPT THIS CABLE BLACK INTERNATIONAL BANK FOR RECONSTRUCTION AND DFYELOPMENT Signed:--..::,-----,----=-----,-----.,,.-----,-...- (Type in last naMe of sender} AUTHORIZED BY: NAME: Richard G. Bateson For Use bv Archives Division DEPT: Checked for Dispatch legal SIGNATURE: ig --,("S~ at -n~ :- u-re f -:- - o-:- n d-:-:i-v~i 1- d ua--:1,---a :- ...., u ho t..,-_r iz ...,.. _ _e d_ t _p _o_ a _ _v_ p-ro e . ca bl e). Cleared with Area, Treasurer's & Tech. Operations Depts. ~ , R 1 1 $ 4 ~ ~ ~ s (File Copy) (IMPORTANT: See over for guide in preparing Outgoing Wire) .. GUIDE FOR PREPARING OUTGOING WIRES 1. Class of Service Type in class of service desired. Each class is described as follows: "' Letter Telegram Letter telegrams are normally delivered the morning after day of despatch. The cost is half the cost of full rate messages with a minumum charge for 22 words including address and text. Full Rate Full rate messages are normally transmitted and delivered immediately. There is a minimum charge for 5 words, including address and text. IBF Govt. This is a preferential rate extended to the Bank by some of its member countries. Messages are sent at full rate speed and at about half the cost. This rate normally should be used whenever available. It is at present available for the following countries: Bolivia Cuba Guatemala *Peru Brazil Dominican Republic Honduras • Syria Burma Ecuador Jordan Uruguay Chile El Salvador • Lebanon Venezuela • China • Ethiopia Nicaragua Yugoslavia Colombia • France Pakistan Costa Rica Greece Panama • In these countries the letter telegram rate is lower than IBF government rate and should be used for messages when immediate transmission is not required. Code Code messages are transmitted at full rate (or IBF Govt.) speed and cost. This rate should be used only for confidential messages to staff members having a code with them. Day Letter Day letters are delivered during the day of transmission and should be used only for messages in the United States and to Mexico and Canada. There is a min1mum charge for 50 words in text. Teletype To be used only for messages to the New York Office, United Nations, and certain commercial firms. For information, call Cable Post (Ext. 3008). 2. Address Use only last name of addressee and cable address whenever possible. The Bank cable address "INTBAFRAD" 1s registered in Paris, Beirut, Rio de Janeiro, Bogota, Guatemala City, Bangkok, Karachi, Quito and Tegucigalpa. The lntemarional Finance Colporation cable address "CORINTFIN" is registered in New York, Paris and Washington. The name of the country of destination must always be added. (No charge is made for the name of a country). 3. Text Messages to Bank Missions and to Resident Representatives should be numbered. These numbers may be obtained by calling Ext. 3008. Type text in capital letters and double space between lines. The text should be edited to eliminate unnecessary words and unnecessary punctuation. If punctuation is needed, spell out the words "Comma,• "Stop," etc. Use common abbreviations whenever possible, i.e. reourlet, reurfive, etc. Write as one word hyphenated words, hyphenated names, and certain two-word groups, e.g. A1rma1l, Newyork, enduse. 4. Signature Type in last name of sender. Use INTBAFRAD as part of the signature only when addressee does not know the address of the sender. 5. Authorization Type in name and department of staff member authorizing message and have authorizing staff member sign the original (pink copy). A list of authorized signatures is kept in the cable office. Forward messages in triplicate in a cable envelope to Room 211 for despatch. The cable service is open from 9:00 a.m. to 5:4 5 p.m. on working days. Special arrangements should be made for the despatch of of cables outside of these hours. ANY QUESTIONS REGARDING INCOMING AND OUTGOING WffiES SHOULD BE REFERRED TO THE CABLE POST, EXT. 3008. FORM NO. 27 INTERNATIONAL UANK FOR RECONSTRUCTION AND DEVELOPMENT •••• (9. 56) ou•rao1•0 To be t r ansmi ted at 12:01 a. m. E. S. T. Februar y 21, 195'7 CLASS OF SERVICE: FULL RATE DATE: FEBRUARY 21, 1957 TO: MINISTRY FOR THE TREASURY VIA XX SETTEMBRE R()t.{E COUNTRY ( ITALY) ...:.XT: Cable No. Al.. PLc.AShl> NOTH'Y Y U BA1iA ACCEPTS i:.VIDE!~Cr., SUBitlTT.cJ) BY BORRCJRAR AND GUARANTOR IN FULFILUlEHT COl'mITI01~S PR.t.~~~T ·ro ili°'F6CTIV :.N.c.SS OF WAN AGREFJ4ENT )A'r.i:J) JU1~E 1, 1955 BEffi~N THIS BANK A1ID CASSA PER I L MEZZOOIORNO \ND GUARANT.IIB AG~"T OF Tllli SAME DAT.t. BE'l'n~~ REPUBUC OF ITALY Am THIS BANK WITH RESPECT TO Tllli AUGUSTA PETROLCHIMICA FERTI JlJ:ZER PROJECT STOP CONSEQUENTLY SAID LOAN AND GUARENTEE AGREEMENT ~ BECOME EFFECTIVE TODAY FEBRUARY 21, 1957 I N llliSPECT OF SAID PROJ ECT I N THE AMOUNT OF FOUR MILLI ON THREE HUNDRED EIGHTY- FOUR THOUSANI DOLLARS STOP PLEASE CABLE CONFI RMATION RECEIPT BLACK INTERNATIONAL BANK FOR RECONSTRUCTION AND DEV lLOPMENT Si gne d = - - - - - - - - - - ~ (Type In last name of sender) AUTHORIZED BY: NAME: For Use bv Archives Division Richard G. BAt eson DEPT: legal Checked for Dispatch SIGNATURE,'--,...-;--::----~---:-:~,.....-,,--~__,.___,,___ _ _ __ l autho r ized to approve cab1eY:- ( Sign ature of i nd ividua ' Cleared with Area, Treasur~ificbI~~LOpefftffgs ~'f:>tpy) (IMPORTANT: See over for guide in preparingOutaoin_a Wire) GUIDE FOR PREPARING OUTGOING WIRES 1. Class of Service Type in class of service desired. Each class is described as follows: Letter Telegram Letter telegrams are normally delivered the morning after day of despatch. The cost is half the cost of full rate messages with a minumum charge for 22 words including address and text. Full Rate Full rate messages are normally uansmitted and delivered immediately. There is a minimum charge for 5 words, including address end text. IBF Govt. This is a preferential rate extended to the Bank by some of its member countries. Messages are sent at full rate speed and at about half the cost. This rate normally should be used whenever available. It is at present available for the following countries: Bolivia Cuba Guatemala *Peru Brazil Dominican Republic Honduras • Syria T Burma Ecuador Jordan Uruguay Chile El Salvador • Lebanon Venezuela i • China • Ethiopia Nicaragua Yugoslavia I Colombia Costa Rica • France Greece Pakistan Panama I :I Code Day Letter • lo these countries the letter telegram rate is lower than IBF government rate and should be used for messages when immediate transmission is not required. Code messages are transmitted at full rate (or IBF Govt.) speed and cost. This rate should be used only for confidential messages to staff members having a code with them. Day letters are delivered during the day of transmission and should be used only for messages in the United States and to Mexico and Canada. There is a m.immum charge for 50 words in text. LJ Teletype To be used only for messages w the New York Office, United Nations, and certain commercial firms. For information, call Cable Post (Ext. 3008). 2. Address Use only last name of addressee and cable address whenever possible. The Bank cable address "INTBAFRAD" 1s registered in Paris, Beirut, Rio de Janeiro, Bogota, Guatemala City, Bangkok, Karachi, Quito and Tegucigalpa. The International Finance C.Oiporatioo cable address "CDRINTFIN" is registered in New York, Paris and Washington. The name of the country of destination must always be added. (No charge is made for the name of a country). 3. Text Messages to Bank Missions and to Resident Representatives should be numbered. These numbers may be obtained by calling Ext. 3008. Type text in capital letters and double space between lines. The text should be edited to eliminate unnecessary words and unnecessary punctuation. If punctuation is needed, spell out the words "Comma,• "Stop," etc. Use common abbreviations whenever possible, i.e. reourlet, reurfive, etc. Write as one word hyphenated words, hyphenated names, and certain two-word groups, e.g. A1rma1l, Newyork, enduse. 4. Signature Type in last name of sender. Use INTBAFRAD as part of the signature only when addressee does not know the address of the sender. 5. Authorization Type in name and department of staff member authorizing message and have authorizing staff member sign the original (pink copy). A list of authorized signatures is kept in the cable office. Forward messages in triplicate in a cable envelope to Room 211 for despatch. The cable service is open from 9:00 a.m. to 5:45 p.m. on working days. Speciall arrangements should be made for the despatch of of cables outside of these hours. ANY QUESTIONS REGARDING INCOMING AND OUTGOING WIRES SHOULD BE REFERRED TO THE CABLE POST, EXT. 3008. February 18, 1957 Dr. G. Pescatore President Cassa peril Kezzogiorno Rome, I t a 1 y Dear Dr . Pescatore : W / e received in good order with your letter of January 15, 1957 t@e first annual report on the agricultural development in the regi on of the Latania Irri gation Project. It is a pl e asure to write you that we are very pleased with this document . It gives a ver y good and detail ed i mpression of the agricultural situation in the ar·ea, and of the act ivities of the Consorzi o and the Ente Riforma . Your staff must have spent a great deal of time and effort in the composition of this r eport, and I should like to ask you to conv~ to them our appreciation of the r esult of their work . The reoort mentions in Chapter II, a study m ade by Dr. Schipani on the costs of land transformation and the coats of wat er resources for irrigat i on. We are very much interested in thie subject , and we would apnreciate it if you could send us a condensat ion of t his study. The Tfriting of the subsequent reports will be much easier now that the basis for this reporting system has been adopted . We hope therefor e that it will be possibl e t o send us the second report ( covering 1956) before the end of this year. This repor t woul d be even more valuable t han the first one i f it were possible to include two items not covered in the f irst r eport . In the first repor t we did not find informat ion about the agricultural cr edit facilities in the region, or about the volume of loans granted to farmers (see item 6, of part II of our question- naire, sent by l etter of September 9, 1955) . Also, there is hardly any information on t he activities of the extension of ficers of the .r.Iinistry of Agriculture (see i tem II 2, of our que&tionnaire). - - - - -,----------- - - - -- - - - - - - -- -- - - - - - - - - - - - - - - - - - ~ ~ - r-,- • - 2 - / Dr. G. Pescatore. May I, in closing, once more express our appr eciat ion of the work done . I am convinced that a series of these reoor ts will give a very interesting picture of the development of the Catania plain. Sincerely yours, D. GrJ;nveld Agriculture Division Department of Technical Operations cc: •essrs . ·\.oson lheeloek DGroenvelu:ccb INDIAIZZO TBLRGRAflfCO : CASMSZ • ROMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE (CASSA PER IL MEZZOGIORNO ) TRllfaLAT ION Prcl. N ...5/ . . . . Posiz .. E/sp Allegat1 R O MA VIA AN I EN B , 1 4'. T EL. 8 4'.Q.420 - 2 8 • 2'7 • 28 • 2 G Ris Jo;ta a .. de ..... N OGG ETTO· 49·· . . . . . . . . . . . . . . International Bank for Reconstruction and Devolopment 1818 H Street, N.W. Washington 25, D.C . Gentlemen: 0 .. i: E ~Eject: Third IBRD Loan No . 117 I~ - Industrial Projects : 0 .. ~ SIOULAZOTO Joint Stock Co. 0 ] C: :, In our letter 5/122686 of aanuary 21, 1057 , we have inform- ed the Bank - among other things - that cons truction of the SICULAZOTO Industrial Project, finaliced under Lonr 117 IT, had not been stated yet because of difficulties encountered by the promoting Company in the supply of natural '3 (the basic rav: material for the project) , and that investiF,atior~ ,~re bein~ carried out in that respect. Actually, .• _s had informea the Cassa with letter of No- vember 9, 1956, that the SICULAZ~TO Co. had decided to forfeit the execution of the Project because the possible local supply of natural gas was failing . The Cassa has expressed to IRFIS its disapointment in re- s re of such decision, and requested appropriate itjvestigations. The Ir ~ llte in now furnishing the followin{" infomation : 11 We point out that the Secretary for Industry and Commerce 11 of the Sicilirm Regional Government - in rerly to our letter of 11 October 12, 1956, a copy of mi.ch has been forwarded to the Cassa T 0 ';f I () ( •L r 0 1'0'( •• J. [') f C ~ " CASSA PER IL MEZZOGIORNO .. ) ,r .J Foglro n. 2. " inclosed w:L th our letter of November 9, 1956 - has confirmed 11 that at prE~sent it is impossible to supply the SICULAZOTO Co . 11 with the natural gas required for carryin.p; out their initiative. " ~hE~ natural gas pocket, whose exploitation has been grant 11 ed to the IIU. SO. Co., ia in fact yielding a gas with high impu= "rity content which bars any utilization for the proposed chemical 11 ::,u,.. . . . nses. On the other hand, it is still .i-,..,.. early for granting 11 ·~re·-1.sional licenses on the exploitation 0-I:. ,...,ther prospection drill II ~"'} "' • l) II • Consequently, it should be deemed that the present outlook 11 of researches is excluding the expected natural gas availabilities "(which were~ the preliminary requisite for the Company's initiative), 11 in discrepancy with the information once received by us and for- " war0ed to the Cassa. " We are of the opinion, however, that the SICULAZOTO Co.has '' reached the decision of abandoning the initiative after the most 11 profoW1d and careful consideration of the actual situation, also " in respect of the eacrifice that is entailed by such deci.sion aft- " er years oj~ studies and considerable expendi tu.re on both project It •) t. N. :. .1-1. IJ ) Posiz. .J.../... £. ROMA Allegati VIA ANICNS:, 14 TtiL. 840.420 - 29 • 27 - 28 - 2V Ri~posla a. de N. ... ..:, '.J.. ... (/ L - ,J ... 3 t 1, • .1.,; .l.J. .J.i. ... .l .; .. ... 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C: ( , r.cn I? , '" . /. 41 February 5, 1957 Professor Gabriele Pescatore President La Cassa per" 11 Meei ogiorno, Via Aniene 14 Roi:ie, Italy Dear Professor Peacatorea Re s Loans 50-I'1'9.7-IT k 1$0-rr Thank you tor your letter ot January 25, in which you sum- marise the progress made on the induatrial projects in which we are interes~d. We shall look forward to receiving the reports of SINCAT and Ce.menterie Siciliane and later of the other projects as th87 become ettective. As part ot our normal. i"ollow""'Up procedure, we are tenta• tively planning to send representatives of the t3ank to Itaq, probably in Kay, to visit the industrial projects. Durini such an inspection the physical progress of tho projects and the fin• ancial situation or the companies will be examined and arrange- ~ents m~de tor .tuture reports. W e hopo that this fol.low- up work may be done in close cooperation with the casaa and the Ill8titutes, since you and the7 will or course be pr1aariq responsible £or the smooth running or the supervision system. W e shall write to you later regarding plans for the end-use mission. With best wishes, You~~ H .--- . B. Ripma.n -1-~- Chiot, Industry Di.vision MDBryce:ejw 7,vt~~partment of Technical Operations ,, Cleared with and cc . f D, ~~~ • • Ur. Roeen January 29, 19$7 D. Gr~eld Agricultural Report on the Cai;ania Project (loan 117-IT) The first annual report on the agricultural development of the area included in the Catania irrigation project has been receive~ Thie r eport was first asked for by letter to the Cassa of September 9, l 9S$ . The r equirell18nt1 for the report were discussed with the various authori- ties during the end-use inspection by Mr . Chadenat and me in the apring of 1956 . The report whioh we received aives a very complete and detailed analysis of the agricultural situation in the pro j ect area. I t appears that the analysis presented in the project reports was basically correct, although the data used in those ro~orts were the r esult or a pr eliminary survey. Xh.e main discrepancies are: 1) That the number of f armers is larger than it was thought .. to be, mainly because all the very s~ll 11 rarm.s 11 , which have no economic value, have now been incl uded in the count . The area in small far-=ts is however not larger than tho original estimate (S,000 hectares out or J0,000 hectares) . 2) That the value of prC<.luction is slightly h1ehcr than in t he original re; orts (t . ;.9 billion now, a, ainat L. 3.5 billion in earlier estimates ) . This is mainly because the crop of wheat i ncreased considerably' . It is pos sible that this inc~eaae ia real, because of the progress made 1n various drainage and reclamation works since the original figures were computed. 3) That the nwaber of mand~a par hectare/year is now estimated at 45 against the original figur e of JS . This cha!}ge may ilso be real for the sa."l':.O reaa.on aiven under (2) . The report includes chapters on t.be acti vities of the Land Reform Agency and o! the Consortium. These chapters confirm the impressions gained during the end- use inspect i on of 1956 as related in tho mission r eport of llay 4, 1956. Tho organizations aro doing good work in many fields to aaaiet the farmers t o use the new f•oilities to full advantage . The Consor tium has now completed 65% of the drainage worka 'ffhich were inoluded in its overall plan. Moreover 45% of the planned roads have been completed . ... Howeirer the ~eport givea no :tnrormat1on about agricultural credit facilitieo in the region, and very little information on the aotivitiea ot the government extension •er.vice. It is suggested that a letter should be eent to the Cassa concerning t hio annual report. A draft of this letter is attached. coi • Chadenet llr. l heelook • ·' ... Draft January 29, 1957 Dr. G. Pescatore Preaident Cassa peril Yezzogiorno Rome, I t a 1 y Dear Dr . Peaoatorei It is a pleasure to acknowledge the receipt of the first annual report on tho agricultural de"Velopment in the region of the Catania Irrigation Project {yow, letter of January 15, 1957) . We are of the opinion that the r eport gives a very comolete and detailed picture of the present agricultural situation in the area, and ot recent developments . In subsequent reports it will ba very intere,iing to follow step by step how agrie~ltural produotion 1, expanding as a result of the works financed by the Cassa. The chapter• on the aotivitiea or the Land Reform Agency and the Consortium are also most informative. e have however a few ~eatio~ . For instance we would be interested to receive a condensation of t he report ot Dr . Schipani on the· ooata or land trana.t'or.mation, and the costs of • ater resources for irrigation (mentioned in your Chapter n i} . We would also like to know how J1J11ey tractors ER.AS employs . We did not find any information about the agricultural credit facilities in the region, or about the volume or loans granted to farmers (aee item 6 of part II of our questionnaire, eent by letter or September 9, 1955) , Also, there is hardly any information on the activities of the extewsion or.ficers of the !ti.nistry of Agriculture (eee item II 2, of our questionnatae) . We would appreciate it very much 1! you would cause these itema to be covered in the second report. ·' ... Dr . O. Pescatore. e realise tha~ the co~11ition o! thi& fir•t report involved a great deal of work on details . Howevel.' once this baeio work has been done, the writing or subsequent reports will be much easier . We hope, therefore, that it 1fil1 be possible to send us the aeoond report (covering 1956) around July ot thia year. Sincerely yours, OOroenveld: ccb .. INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT WASHINGTON 25, D . C . TELEPHONE BABYL.ONE 17· 10 CAaL& ADD~OH• INTBAF'RAD PARIS PL.EASE REPLY TO PARIS OFFICE: 67. RUE DE LIL.L.E PARIS (7•) • FRANCE Rome, January 25, 1957 3 Uf1Ta1110:>3f1 .:> .a .as YIO T C:WIIH8AW ,.e1RA.. QAA'IA8Tl11 ......aaA uu:> 0 1•,I 3110JY8A8 .J"'OH•U.lllT OT YJ .. 31'1 3eA3J"I 3JJI.J 30 llUR .'t'l, : 3:>1,,0 81RA"I "~()I t ~~ "('I.Wm.it t ernofl 3::>11AA ... • (•,) e,,.A .. ;, (.:d811H "I.680 t ?I "CI.61JCLSt 'io ,:9jje! '1.UO"t lo jqteoe'I e3belwom[oa o.t e.t e.i:dT .eo'I.Ueoione ej.t bas~~ .ow ~ Al -ant t "tabeerr.b&W ao o,:o.t.&oeeq .1oTi beUa.i:v I .tao:U{)e'I 'WO"( .tA - e.i:b oe!s I .m..trl o.t beeeei:bbs '1Sj.te.r 'WO"l; ml:d bebns.d baa t (S: ~su oj beaeoi:bbs i:e:t.teI 'IUOX lo e.tnejnoo erl.t Ilsjob nl mlrl djlw beaeuo 't.UOX n..t bealt1 UO"t e:tn.i:oq erlj Lis lo ejorr ~ooj ei:o.tsoaeq .loTI .em aoljauj.te erlj ojnl JlooI o.t beal.mo-xq bn.s em o;t ma m.i:d o.t d.tod e'le.t.teI wol 'IO ee'I.rl:t .txen arl.t alrl.tl.w "\Iqe•..: s "o-v; bnea oj bn.s ~e.:tal:b001ml .~.sb em bsm-Iol!l.i: txu; em beI1£0 £misCI .fb oi:i:e.t • bealai: UO"t enol;teeup , erl;t i:ewens o.t c;tqms,:t;ta -1<.-orl t lI •"('Ioj:>i1le.U.sa eTod.G erlj mll "(£am UO"t ;tsrl.t .tewi:.t I em e.tl'IW eeseiq tno.i:jan,:ola..i: Isnol:t..i:bb£ 'Io1 been bnll VO"( ~,:eve el: ejsb e'IU.t'lsqeb '111() • "'(.[jqrno'Iq .t..i: o.t bne~Ua II.6.de I b.11.6 al.s~.a • 8 "t"ISLI 'Id81 t "t.Sb.l:Tl t eb'Is~e-x i.Gttoerisq .teea {e'I.UO"( "t[e'leoa.ta I : ..foa3. asmq.i.:fl • a 4uH . 'IM 'IOl ~a.GS: Isnol.t.GO"!e.taI .tnemqoievea f:tr& aol.tou"I.taaooefl l~I U~ s; UI 1i 1.v1 · .o.a tCS aojytlrlasW i:ll ..it ,,,,-; ~ ',1 /,'•1 • "· I 'J:-1,., . ,,. CASSA PER IL MEZZOGIORNO Servizio C.I.F.T. Roma, Ufficio Jndustria e Turismo RE/bi - 5/ PRO-MEMORIA PER IL SIGNOR PRESIDENTE OGGET'l{) : Situazione proge tti industriali finanziati con prestiti B.I.R.S. - In merito alla lettera indirizzata il 15 c.m. a Mr.Ross da Mr. Ripman della B.I. R. So , si accl1~ae la richiesta situazione sullo stato delle pratiche e dell'avanzamento dei lavori per i venti pro- getti industriali finanziati con prestiti B.I.R.S. Per quanto riguarda l'invio dei rapporti periodici sui pr£ getti stessi, evidentemente la richiesta riguarda soltanto il III Pr~ stito BI~S 117/IT, in quanto peril I Prestito BIRS 50/IT la BIRS ha richiesto a suo tenpo di s 1 spendere l'invio dei rapporti ad eccezione di quello peril Lanificio di Maratea (ricevuto regolarmente l'ultimo dalla BIBS il 7 novembre u.s.) e peril IV Prestito BIBS 150/IT l'in- vio dei rapporti sara effettuato man mano il trimestre ·successivo al- la stipula di ogni singolo contratto. Peril III Prestito BIRS 117/IT, soltanto per i progetti sr::CAT e Ccmenterie Siciliano e possibilc l 'invio dei rapporti e le Societa stanno predisponendoli nel modo dovuto dopo numerosi solleci- ti. Peri progctti S.I.L. ed Augusta Petrolchimica saranno inviati a partire dal 1° trimestre 1957 essendo appena avvenuta la stipula dei relativi contratti di mutuo. In ultimo, peril progetto Siculazoto non e stato po&sibile inviare alcun rapporto, in quanto i lavori non sono stati ancora iniziati e la S:ocieta avrebbe intenzione di abbandonare l'iniziativa. Peri progetti da finanziare con il IV Prestito 150/IT, sta procedendo regolarmente la c:omplessa istruttoria giuridica per ogni singolo contratto di mutuo, come la BIRS ha avuto modo di rilevare da!_ le numerose richiestc in corso di approvazione di specifiche clausola contrattu·~li. Per i soli pro1getti Vetreria Latina e Chimica Tirreno si riscontrano anormali ritardi nella definizione dei contratti di mutuo, dovuti a mancanza di documentazioni richieste dall'ISVEIMER alle Socie- ta proponenti. ,.. ,,,...,. ., ' . 2 ·MIJ f tn ~ii Ai1 1 357 .. PROGETTI INDUSTRIAL! JPRESTI'i'I 5J/Ir, 117/IT , 150/IT NO Stato della pratica Situazione dei Pro get to Tipo industria Prestito lavori SIL Nuovo impianto 117 Contratto stipulate il Iniziati i lavori cartiera 24/10/56 . Entrato in sui terreni di vigore il 22/12/56 proprieta. VETRERIA Uuovo impianto 150 Contratto da stipula- Terreni da acqui- . iATiliA vetreria re presumibilmente stare, lavori da entro l ' aprile 1957 iniziare DALt~INE Nuovo impian to 50 Impianto in esercizio Lavori ul tima.ti produzione tubi utuo in ammortamen- saldati to CEMENTIR Muovo impianto c~ 5Q Impianto in esercizio Lavori ultimati mentificio Jutuo in ammortamento VIBERT! Nuovo impianto 150 Contratto in corso di Lavori iniziati carrozzerie au- stipulazione , presu- per circa il toveicoli mibilmente entro il 30% febbraio 1957 uovo impian to m._!:! 150 Con t1·atto in corso 'l'erreni in corso toveicoli di stipulazione, pr~ di esproprio . La- sUlilibilmentffontro vori parzialmen- il febbraio 1957 te iniziati FORIIfO Amp 1 iamen to co!! 150 Contratto in corso di Lavori quasi co! servificio stipulazione, presu- pletati mibilmente entro il febbraio 1957 SAINT Uuovo impianto 150 Contratto da stipula Terreni in corso GOBAIN vetreria re , presumibilmente - di espropri o, la entro il marzo 1957 Yori da iniziare CHH1ICA DEL lluovo impian t o 150 Contratto da stipula Terreni da acqui . TIRRENO per concimi re presumibilmente stare , lavori da entro l 'aprile 1957 iniziare ./ . - 2 - Progetto Tipo di industria N° Sttato della pratica Situazione dei Presti to lavori AKRAGAS Nuovo impianto 50 Impianto in esercizio, Lavori ultimati per concimi mutuo in ammortamento CE} ENTERlE Juovo impianto 11'7 Contratto stipulato Impianto in avan- 3I CILIAfJE cementificio i 1 ',;,'J/12/55 zato stato di co struzione - Nuovo impian to 117 vontratto stipulato Lavori iniziati concimi il 14.12.55 su terreni acqui- siti SICULAZO'ID Nuovo impianto 117 Contratto stipulato Lavori da ini- concimi il '_~/2/56 ziare AUGUSTA Uuovo impianto 117 Contratto stipulato L~vori iniz1a1,i PETROLCHI concimi presso LUCA - raffineria il 5 .12.56 su terreni acq,i- si ti CE DNTEilIE Raddoppio cemen 150 Contratto in corso di Lavori iniziati , AUGUSTA tificio stipulazione, presu- macchinario or- e mibilmente entro i l febbraio 195'7 dinate ABCD Nuovo impianto P2 150 Contratto in corso di Lavori iniziati , iitene, ampliamen stipulazione, presu- macchina.rio par- to raffineria - mibilmen te entro il zialmente ordi- i'ebbraio 1957 ne.to LANIFICIO Nuovo impianto di 50 Contratti stipulati , Primo stabilimen- .1ARAT.cA lanificio su tre mutuo in ammortamento , to di tessi tura stabilimenti primo stabilimento in completato . Secon esercizio, secondo sta do stabilimento bilimento in esercizio di filatura quasi parziale, terzo stabi- completato. Terzo limento di previsto stabilimento di esercizio al giugno tintoria e finis 1957 saggio di previ- sto completamento en tro i l rnaggio 1957 • ./. ,.. ... , ,. • • I - a- Progetto Tipo di industria NO Stato della pratica Situazione dei prestito lavori CALCI CE Raddoppio di ce 50 Impianto in eserci- Lavori ultimati MEt!TI J! mentificio zio , mu tu o in am SEGrn mortamento - CEMENTE- Uuovo im:pianto cementificio 150 Contratto in corso di stipulazione , pre Terreno acquistato, lavori inizia.ti RIE DI sumibilmente entro - . ARDEGNA il febbraio 1957 NOVILEGNI Nuovo impianto 150 Contratto da stipu- Terreni da acquista.- legno pressato lare , presumibilmen re , lavori da inizia.- te entro il marzo - re 1957 I,'\ •' l. .in z, tn is Alt L7 - ' .. .. ~J ,,.../. //1 ,-r 1ND1RIZZ0 TBLKGAA.-ICO: C ASMEZ • ROMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE (CASSA PER IL MEZZOGIORNO) ..: tAI, S:.Ji·..: .L l..l Pror. N."', '2.2. Q-1.{ Posiz. '.E,/mg Allegar ROMA , VIA ANl&NS. 1 14 T£L, 84D , -C.20 - 2 f!I • 27 • 28. 20 Risposro a .................. .. _ del................ .. N OGGETTO , ....... .. International Bank for Reconstruction and Development 1818 Street, !~. l . A 1ashinGton 25, D.C. Gentlemen: Subject: Industrial Projects of Third Loan 117- IT and Fourth .. 0 c Loan 150-:T: ~uarterly ..1eports E 0 .. ~ t/ 0 refer tc I:r. 3.i... ar 's letter cf January 15, 1957, cor.cern le ] C ing the quarterly JroLress reports on the Tr.(ustrial Projects financed W1dCr Loan 117-I~. :, le C "' Subreission of such rc~orts is coin 0 to take pl~ce shortly 0 in respect of s:rCAT and CeI'\enterie Siciliane Projects, as -t;r,ose are ,he only two for which the rr.latea loan contracts have been executed and maie e ·ective, \vhilc concurrently co11s1.ructi?r. work is undPr ··1ay. "O !or th0 abovA two rr.,orts, i t hac- bE:en thought proper to include thP data re flec..f. int. tr.c third 'Luarter of 1956 Hi th those of the last quarter of tee raame :rear, o thet the Tumk may recC'ivc da tr brouc.:h t up to date on the ferns a greed u_ion. As to S. I.L. and Aucusta Petrolchimica Proiects, ~he reports will be subrr.itted for the ~Lrst quar~er oi 1S57, as the relev nt loar. contracts have been very rC'cently exec'..A.ted nd con::itruction was just started. rith respect to Siculazoto Pro~ect, i t is not possible to submit any ... h~,7sical prOL,Tess report, because the I'rojcct has not been started yet ~ollowine di:~icu:ties encoun~ered by the promoting Com- pany in the supply of tho basic raw neterial (r.at1.1r=tl gas); in that respect, investica tions are beir,; carried out. (-1,),-.q\'\ r,,, \~ (,f t ...... PER IL MEZZOGIORNO Foglio n. 2 In connection with your request for informtition on the Projects to be financed u.r..der : 0 an 150-IT, pending the submission of normal reports for the quarters subse~uent to contract execution for each individual Project, we inform that the credit Institutes are ex,ecting tn execute at the soonest, and 8nyhow within February next, the loan contracts for the Projects: FIAT, Viberti, ~orino, Cementerie di Augusta, A.3.C.D., and Ceoenterie di Sarde 6 na. :or the Saint Gobain and :;ovileeni Projects, the loan cortracts should be executed within the next mer.th of March. ,lhile for the Projects of Vetreria Latina and Chi~ica del Tirreno, unusual delays are being experienced in the fulfiluent of the leeal creening on the contracts, 0 due to shortcomings of the b~neficiary Coirpanics. In resp~ct of the above Projects, construction is nearly completed for the Forino Pro~ect; work has been actively initiated for Viberti, r:AT, A.B.C.D., c~ncnterie di Sardebna, Cementerie di Sardegna Projects; the industrial site is beir..i; either ex:r>rorriated or purchased for Saint Gobain and Novilegni; while :,hysical activity has not been started yet for Vetreria di Latina and Chi.mica del ~ir- rer.o Pro~ects. With best regards. Sincerely yours, THE PRESIDEI;T 'l /s/ Pescatore " ~ " 0 .. 0 0 ~ ,,,' r. ~ 0,:. <~-52) ~ NHRNmONAL RAN> >OR RECONSTRUCTION ANO DEVELOPMENT Date ROUTING S LI P / ROOM NO. d/L --l--=::.. r !~ -Cv 1 ------ Ac-tfon Note and File -f _o_t_e_a_n_d_R_e_t_u_r_n_ _ _~ ~pprova_l_ _ _ _ __,__ _~H ~ omment P~epare Reply ,iJIIPutl Report Previous Papers llnformation Recommendation 1lnitial Signature Remarks e From INDIRIZZO TaLac:IRAl"ICO t CASMaZ .. ROMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIOINALE (CASSA PER IL MEZZOGIORNO) .... Prot. N. . /t~G. Posiz. RE/bi ROMA , .. Allegat, VIA ANIS.NII:, 14 TEL. 849.420 - 28 - 27 - 28 - 29 Risposta a . .. Lettera del. .L::> . l . 957 ... N . oGGEno , .. Pr.oge..:tt1. i.ndustriali Alla BA:;CA I1 T3RNAZH 1..11::~~R LA. ~ 'res:ito 117/IT e IV RICCS11i.1GZIONE E LO SVILUP .. 0 • PresJi:ito· 150/I'I' - 1arporti 1818 H S+,reet t\/ . triroestrali . 1 lASHlNGnl.. ~5 D. C. Si r-'.. sponde alla letter3 soprqind ica ta di hr. Ripman, 0 relat:va ai rapporti trimestrali sullo state di ~vanzamento dei . c E :-rogetti irdustriali finanziati con il I-restito 117/IT . 0 "' :;; L' invio dei ra~porti stessi ~ in corso per quanta ri- 0 "§ guarda i proeetti SI1~CAT e Cementerie Sicil1:1.ne, essendo ri.t1esti • C :, i dne unici progetti per cui $USsistono le condizi.oni rlella sti pula ed entr~ta ir vigore dei rel~tivi contratti di mutuo e ~er c contenpo siano in corso i relativi lavori di costruzione. "' 0 .. ~ Q. Peri rap:porti stessi si e ritenuto di far conglobare i dati relativi al 3° trimestre 1936 con quelli del trimestre te ste sca.duto nerche codest-=i. Banca possa avere dati ae. iorna.ti e compil~ti sui moduli prescritti . Peri progetti S.I.L. ed Aurust1. Petrolchimica i r~p- porti stesc;j verranno in,Tiati per iJ 1° trimestre 1957, essendo si appcna stipulati i contratt; di mutuo ed iniziati i lavori di costruzione. Peril ~rogetto Siculazoto , irfine , none possibile 1 ' invio d: alcun rap .. orto sull 'avanzamento dei lavori peril fa! to ere · J :rrogetto non ha ancora a.vuto inizio di esecuzione a se ) guito di difficolta incontrate d~lla Societa promotrice sull ' ap- provvifionamento della ma teria pri.Ti'ia princi pale (metano) ed, in proposito, sono in corso accertamer!ti . Per quanta riguarda la rictiiesta di notizie sui nroge! ti da fin2-nzi~re con il IV Pr~stito 150/IT, in A.ttesa di i~viare .I . ;- '#- ·, • I \ , CASSA PER IL MEZZOGIORNO Foglio n. i regolari rapDorti per i trimestri successi vi 'llla sti nula dei contratt: di mutuo relativi a ciascun progetto, si comunica che per i progetti FIAT, VIBEBTI, FORINO, Cementerie di Augusta, A. B.C.D. e Cementerie di Sardegna gli Istituti contano di poter stipulare 1uanto prima e com~nque entro il febbraio prossimo ven turo i contratti di mutuo; rer i progP.tti S~int Gobain e NovilP- gni i contratti dovrebbere essere stipulati '3ntro il marzo p . v. ·, mentre per i progetti Vetreria Latina e Chimica del Tirreno si riscontr~no anor~nli ritardi nell'espletlmento dell'istruttoria t~~"'Cn dei contratti stessi per colpa delle Societa mutuRtarie. Correl~tiv~rrente i lavori risultano quasi comp:etati peril progetto FOTIINO, attivamente iniziati ner i progetti Vibe~ ti, Fiat, ~.B.C.D., CemeLterie di AufUsta, Cementerie di s~rdegna, in corso di esproprio o di acquisto di terreni peril progetto Saint Gobain e Nov1legni ed ancora da inizi3re per i progetti Ve- trerie di ~at1na e Chimica del ~:rreno. Distin ti s--1l·~~j. e 0 c 0 IL ..--.Ll:SIDENTE "" {1},br~~)- C. - I ,, ' .. ,:, I () :.,4 •; , I -- / j CASSA PER IL MEZZOGIORN O Inc.ustry ~ranch RE/mg ""tor. e , January ~4, 1957 • ._:.i ORA!:DUL SUBJ:ZCT: Situation o:f Industrial Projects PinancP.d under IBRD Loans .'.'i th refe1"ence to the letter of January 15 addressed by Ir. Ripr 0.n to ;,i.r . Ross, we are a ·tachinc a schedule illustratinG 1 p~oject situation and 9hysical proiress of the 20 :n~ustrial Proj- ~cts financed under IERD Loans. As to the submission of project l)eriodical re!•Orts, the relevant requ~st reflects obvious:y only the third Loan ~o . 117-IT: for the first Loan No . 50-I'l', the BarJ;: has requested tiMe aL>o to discontinue any reporting at the exceJtion of Lanificio di l aratea ( the :ast report thereon has beeri. received by the Bank on 1 oveirber 7, 1956, on the due time); ··or the fourth Loa11 :-·o . 150-IT, repor"ting shal:.'.. be ,nade startine with the quarter .JubsP.quent ~o the da~e of execution o: each indiv-id·.tal loan contract. lor the third Loan :\o . 117-IT , it is :ossible to .:ubmit reports only for bil CAT and vementerie ,;,iciliane Projects: such Companies are preparine the reports iu the ·~orm a 6 reed 1..tpon with the Bank, after havin.3 received Jl.any urbings . Reports on SIL and Augusta Petrolchimica Projects will be submitted st~rtinb with the first q'.18.rter of 1S57 , as the relevant contrBct executions have just talren place . r'inally, no re1)ort nas been nossible on the Siculazoto Proj- l ect, in so far that works haV(" not bee":. ~tarted J'et , and the ~ompany wovlt'. have the intenliion of abandonint, the initiative. i i th respect to Projects under Loan , 50-IT, t:he complex lec:al screening is re 6 u.l'.lrly protressing :for each ir:dividual loan contract, ae the ~a.nk Cfi.11 rea:i.i ze from a number of requests awaiting ap_:)roval on speci fie contract terms awi co11di tions. Um,'.sual "7elays in the finalization of loan cor.tracts are be.:.ng encountered only in respect of Vetreria Latina and Chimica del ~irreno Projects: such delays are itr.putable to t'ailure -co submit nocuments requested b~r ISVEI1.:ER froE the beneficiary Go~panics. :., JI \ ... CASSA PER IL. MEZZOGIORNO TR,! Al'IC ! ( och('dule al, tached to uem,'.)randum of' Janu~ry 24, 1 S 57) r;rJUS ~nIAL I i.<..JEC'l'S Loans 50-IT; 117-IT; 150-IT Project ~ype Loan Aclmi~istrative Sta~~s Ph~rsical Sta t1.1s 5IL r~ew ::?lant, 117 Contract executed on dork started on site Paper Get. 24, 1956. ~ffect owned by Company ive on Dec. 22, 1S56 new Plant, 150 Contract to be executed Site to be purchased; Glass rn·esu'Jlably in A"')r. 1957 work to be started )a lztin ~ :q ew Plant, 50 Plant in operation; loan fork completed Steel Tubes bein ~mo:rtized 0 Jementir lew P!snt, 50 Plant ln operation; loac ;'lork complet'"'d Cer.ient being amortized viberti I!ev, I>l.::.:nt, 150 ~ontract being ne~otiated, ,York executed "..lJ; to fehicles presumable exacuti on some 3CJ,~ within Feb. 1957 J'IAT Nev; Plant, 150 Contract being neeotiatea, Site bein 0 expro~riat Vehicles presumable execution od; work partially Nithin Feb. 1957 ~tarted Exriansion of 150 Contract being necotiated, 7ork nearly corrpleted Cannery presumable execution within ~eb . 1957 Saint Iiew Plant, 150 Contract to be executed, Si~e be~ne expropriat- Cobain Glass ..:.")r€ sum"-' bly wi -tJ:in ed; work to be started . arch 1957 Chi.mica ITGW Plant, 15C Contract to be executed, Site to be purc~ased; del 't c-rtilizer ~res~1ably ~~thin work to be started •rirreno April 1957 .i\kracas New Plant, 50 Plant in operation; loan ,iork conp1eted li'crti::.1.zer bein...., ar;iortized Cementerie Hew Plant, 117 Contract executed on P.::.ant in advanced Siciliane Cement Dec. 23, 1955 staee of construction .t i\T New Plant, 117 Contract executed on Vork started on site ....-ertili zer Dec. 14, 1955 already purchased PER IL MEZZOGIOANO Prcj:)ct Type Loan - - Arl;, inistrative ut&tus rpysical 3t 1 t'.is 3ic.ulazoto l'cw Plant , 117 l outr8.c t executed on lork to l1c strrted 1 ertilizer Ieb. 29 , 1956 A'1. "'1sta ilCW Plant , 117 ·ontract executed on /ork started on site P,trol- at old :Jee. 5 , 1:56 a::.read;:,r purcl.o sed chimica r"'fincry , .. ertilizer , ,emc ntcrie Expansion 150 Co~ tract bl in(;., r.eio- .iork iri.tia ted; rnaci.inery fl1usta of cement tia ted , .r,swnable lr~ady ore: rrd plant PX('C'ltion ,Ii tl..ir. ~'eb. 1957 ..., ........ A .; , ~·ew r1ant , 150 Contract beinb LeLo- 'orl· i:r:.i. tlat.ed ; r1c. ~S57 . 0 .ril€ ni : f'W 11 .. r.t, 1 ..,(' 01. t_• Ct • l'C X C .. cd, ui -te to 1--~ _~urcl:.ascc:', :. :!.l bo' r · r •... ;,.u: , 11:, ·i thin , ) ,, ,, ,. ~ ini ";ia ted , .-::.·ch 1~57 .. • .M·1 ?/ . ,,.. ~ ORll 'Iii'. I 'Ii T •~ (''JAL ll A • ~ I " ( 3. •,2 l R ill T F< ' ON A• I;~ LO F 1 Date- ROUTING SLIP Janu;;iry l5J 191? e NAME f{OOM NO. 1) ·1' ·~ 1 ' 3 ll 2) <.r . s~~ 3o,- r , 0 .0 .w, II tn 14 AN 19.=iJ - EJ.JCJ03JJL68 -- ... --- !,68C8'.,i?OL6 J'iHE l>BE8IDEI1~ a:rucs:x.GJA "-o.rn:.a ) ;; ~ • er ~ C, "' ~ I,L0~6C+ COAGL:fD& +P6 DGL:f Og DGC6Wp6L J ) Ja~v - MOAempGL 30 1 Jo~2 · • . j GlJCJOBGq DJ68'86 t:rug ~p6 VlllTff8J BGDOL~ OU +PG Q8+8'l1~8 ILLr~+rou :, tffL+PGL +O OJJL JG++GL ~\0 J82av Ot MOAGmpGL SJ ) Ja~e ) . C 0 0 • I,L0~6C+ - VD111!8J BSDOL+ QI 0 arrp~sc+ : J.P:rLq IBHD roan MO " JJ~ I~ - cs+au:rs ILLT€8~:rou i ,: 0 (}6D,4!J6llJGD ! 1Asap:fD~+ou s~) n· c · J9J9 H 8+LS6+ ) M• • BGCOlJ8+LrrG+:rou sug .l) ...i ..uJODll1SlJ.f. ID+6LD8+:fODS'J B8~ tOL OCC£110 ' qsf 11r IS!2bo210 o · · ··· /\t Y YMl l!' M • ' ,l't 1&01111..,, - V 4, , .,. • J.BVMarvJj IOI,( (C'V'22'V' bEI:$ If" IIIIE S SOOIO!ai"10 ) C'lif22'9' bEl::S VI Err. I.L 'lifrlV ObEl::SE 1,1\1 El::SIDIOVl'lifrE 2.Ll::S'lifOl::SDIVIVl::SIE DI bneeri c o 1"1.LEl::SE22E .. I NDIAIZZO TaLSGSIA~tCO . CAeM az - ..OMA CASSA PER OPERE STRAOROINARIE 01 PUBBLICO INTERESSE NELL' ITALIA MERIOIONALE (CASSA PER IL MEZZOGIORNO) u~1J l 1 5/ LV Prot. N ............................ Posiz ................... .. PJ.:d VIA EEREA Allegati......... 2................... .. R O MA ................... .... ............................. . VIA A N l&NR, 1 4 Tl!L.• 849.'420 - 2 8 • 27 • 28 • 28 f '·oosto 0 ....................................... ................... ......................................... N ................... .. s.!.~e tt . BANCA IN 1 'Rn ZIO"i .LE P..:. LA RHt)S nRUZIO ~: "' LC" SVTLUPiO 'T...I.I.~ . ..t.r.B..porto si rinette , inoltre, 19. traflu- .. .2 C E zinne ir ir.P,lese • 0 .. !!' 0 ~ Jic::+i.nti s~luti. C ~ . ~ ! c "' 0 .. Q. .. "' " Q. iii . U') -- ~ 'E 0 § .. !i .. ~ ~ \ ~ .... ~ "O .\ \\ 0 ~ AMOtl. saMeA.:> • O:>IWIAtllOa..laT OSSIAfOMt . 3223R3T"11 oouas,uq ,a ~3.JA"10101R3M 31RA"110ROART2 3R3qQ AI.JATI '.J.J3"1 R3q A22A:::> (0"1ROIE>OSS3M .II R3~ A28A:>) .'>izc9 YI 1019 . AMOR tcgsllA ,_, ,aMJlfMA A.IV ete. et:: .. TC'. •c - oc•.•• • .~aT c ctioo Sl 9. :, I '!? • 0 f :, .. C ~ ~ !. :, 1 ( .. ' '~ .. <:I' 'i: ' ·1'i ----... 0 L< l P~ . . _ ,, "" 1..1/ '' t1r, · No. 2 Mr. Murray Ross, Flora Hotel, Rome, I ~ . Dear Murray: I wonder if you would be good enough to help us on a follow-up problem on tho industrial projects under LOan8 117- IT and l$0-IT. We have heard nothing on the progress on these 15 projects since A.rmetrong and Bry-ce left Ro-:ne last June~ In August, Professor Peacatore promised to start reports on the five projects of Loan 117 with reports covering the period up to September 30 1 but ve have not reoeiT8d aey ot them yet. ,-~.,~11, Please give the attaohed"letteJ" to Pro.fessOI" Pescatore and "tJ7 to find out whether aey of the reports have cotte in from IRFlS and ISVEDn. If not, does he know whether the institutes are working on project follow- up? If aey reports are in,.., would like to have them prompt~ even though they are not all available. For the ten 150- IT induat.rial projects we do not upect detailed reports as we have not requested them yet, but we would like to know which projects are actua~ UDier construction, and whether &J\Y' of the projects has encolUltered a major delaJ"• 'e are also interested i n ~ idea Professor Pescatore may have ae to 'When the executed contracta on the 11 projects not ;yet ettective may be executed and sent to the Bank so the industrial portions of the loans can be made etrect.1.ve. The reason for our concern at this time is that we want to make our em-use travel plans for the coming months, an:l the extent to which we will have to covor the Italian industrial projects depends mainq upon how well IRFIS, ISVEIMER and the r...ASSA. are doing the follow- up and reporting job• - 2 - I art enclosing a list of the 1muatr1al projects with notations as to probable st.at.us. You IU.y wiah to mark the list with &J'\1 COJ'IIID9Dta available at the CASSA. W1 th best wishes tor a good m:1.aaion., Yours Tf1%7 ~ , Hugh B. Ripman (hie£., Industry Division Department of Technical Operations Atta. (2} , ~ (~~ with am cow to Mr. Wheelock) .A.,-- r«>Bryoe/bna er"( \I \ \" ' January J.S, 1957 Professor Gabriele Pescatore, President, Cassa per 11 Mezzogiorno, Via J.niene 14, Rome, I t.alTe Dear Professor Pescatore, // You will recall in our letter of J ~ 111 1956 we outlined the type o.t progress reports we would like to receive on the projects :tina~ under the industrial portion ot Loan 117- ITt In 7our letter ot August 6, 1956 you suggested that the first report.a should cover the period up to September 301 1956. w e have not yet receiYed •IV" of these reports and as we have had no information on the progress of tbeae projects tor a number ot months we would appreciate it if you would advise us when we rJJ//iq expect t o r eceive the reports. A.a the projects urder Loan 150-IT are not yet effective we are not at thia time asking that regular reports be commenced. However, we would like to Jm.ov on which ot the projects construction has started and whether arJT project has encountered UV serious delay'9 Yours very ~ . Hugh B. Ripman Chief, Industry Division Depart.ment of Technical Operations ~·~''1 • l \hoqt$ t~ •tlbl '° 1atan "* b ......, . - , ~ MIii •r 41.,_..1q u • .:IJan panbMe4 vt\h vs..fnDN . t--• 1.... • DOI ~Ni\a\e le ot 1Nt.e d\h M lt ~ ia 111M .i. ., • U \ _.. f.1s Ul7 ~ Wona\1• "1,- I ou lift , -. ESDden pallCIDll npra, ooa Mr. au., Mr. VbNlook Hr. PrlM Mr. StrNt Hr. ~--,- FO RM NO. 59 ( 2. 55) • CROSS REFERENCE SHEET COMMUNICATION: Paper DA TED: January 9 1 39,1 TO: • FROM: !mrray Do Bryce F1LED UNDER: It.a.q .. Loan lS01 SUMMARY: Italian Industrial Projecw • Loans SOIT, 117IT and lSOITo alter e. , • tand lnt.at.1 today ~r abrov19 portion cf' na..~•"'• e!'fect.1n ~.:~btr U . l9!56. ( •t•r • Ell• r\.h • Cltll'k to •••ra. tr. • V look , J.as aroban\ dated PM!Cl:»v. it.6 , 19.56) . >'.r. Louie Pere& December 2?, 1956 The Bank cabled Cassa that the -.Jn.. project in the amount of -1-4,160. 000 waa made affective Decelt.bor 22 , 19.56. Continuation of receipt or cable haa now been received in the Bank, and the usual advice from l.egal De~ent should be received ehortJ¥. However , 1,lease prepare an uended ~tatement ct >ccount to the borrower for the payment due Janu.ry 1.5, 19.57, and note your records that th• above-mentioned portion of the loan becaJT.e effective December 22, 1956. >!r. Cavan&uch l'd•a Charalambous Deel¥ Mr . Street ¥.r . Rutland (2) •NOIA IZZO TCL eGfltAl'ICO : CASMl!Z. • ROMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE (CASSA PER I L. MEZZOGIORNO ) TRANSLATION Pro!. N .. .5/ ..... Posiz . .L V /rog Allegeh VIA A N IEN£ 0 14 Rispost& a .............................................. T~u.... 840. , ao .. ae .. 27 .. ae .. ao del................ ..................... N OGGETTO: International Bank for Reconstruction and Development 1818 H Street, N.W. Washington 25, D.C. 0 Gentlemen : ~I)~' c • E 0 ~ Subject: Third IBRD Loan 117 IT - Catania Irrigatiop Project * ~ • 0 7 1 Further to our letter Noo 5/017843 of November 10, enclos- C ::, ~ .! ed please find one copy, with English version , of the report illustrat ] ing the change in discharge features from the right to the left bank - c of the Salso river, representing the variation introduced in the "' 0 Catania Irrigation Project. ;\,Lv.. We inform that , above change does not require any amendment in the text of Loan Agreement Noo 117 IT. With best regards. Sincerely yours , THE PRESIDENX /s/ Pescatore - Encl osures -/ ef~ I au,. (9p7-~ ,., ;:; .." ~ - ,EDCJOO.l!I.08 \ I, C .COLG 2IDE ~ ""UC L6JA A0.N'I.8 i ~ Lqa · ~ • 0 • A ru +PS +GX+ Ot rosu v€:L GIDGU+ ~o· J .. .l ~6 flJ'tOLW +µat'apoAG not 1.sd'rr:r1.s u ,..... 0 Cg+S'lJrs ILLr€s+rou bLO~GC+ · 0 .!: ot +~~ a8J80 LIAGL ' L6DL696U+J.'"£ • ¥ ru€ +P6 C}J8U€G ru g r ac}J8L~6 tG3+ •::, sq DJ6886 trng OUG cohl. ' rrP " +- .C 0 WJ'L+JJGL +O 0.N'L J 0 :!! "' 0 lJ JJ.l LL - C E ~ 0 (;Gll+JGIDGU : epru€~OlJ ~ 1 n•c• J8J8 +L 6+ 1 H H 0 H6COU8+LrrOff0D aug ID+GLU9+rouar BB OCCEUO ' V tso.,..v · blOl v1 ~\ iLHV11 rvTI (C"ll:1' 0 0~ bCt:S 1r- II\IE:S:SOI PUBBLICO INTERESSE • NELL'ITALIA MERIDIC)NALE ~A (CASSA PER IL OGIORNO) MEZZ • ?re ~~l; Prot. N ..... < ? f ~ ?~. Posiz ...... ~~1.. . . . . . ~4,,1 ~~- ,_ ?,~.iV t,l- - •J.' VIA AEREA 'PR"~ 1956........ tY+ 2. s. otc.. ;J I Allegati........... ..... 2 .. ROMA ... VIA AN IK N K, 14 T RL. 8 4 0,420 - 2 0 - 27 - 2 8 - 20 Risposta a ............................. ............................ . del................. ............................ N ........ .. R_p ett . I fmt1nh ZIO 1~\LE PER LA R 'NCA OGGETTO : .I.I.T0 .../r8sti_ to.... BT1S n° 117 / I T RIOOS''RUZION:= tG LO SVPJTTPPO ..~R1R H Street ?ro~ett ''"""-""'"..~..... n Trri~10 • Piana -w•s.w, \ ·~~~·-- - - ui - Catania - ... . .. . f.ASHDJGTOllJ ?5 LC. -,,acPnd() qep:u i to alla nota rli ~11esta Cassa n . f>/01 rz.8-{3 del 10 nnv mbn::i 0 11.q., 8 11~ T)Y'PSente ~i rimette tm.!3. copi8, accl1rna cnn tr~1uzinnA in in~lese , della relazinnP relAtivR all0 sposta- !PAnto dellA ope re di scarico (1 <:1 l] A ~.nonda cl8str~ a 'lllella si11i- 2. . C E str~ rlAl fi11r11p Salso, rir:uerdante l:! V?.riante ap:)ortata al '!')Y"' - 0 .. 2' 0 :)/~tto irriguo della Piana di C!ate.nia • ] C :, ::! !! Sj inf or a che per 13. v~riante snd 1etta rii::>c::q1m2. modi - ~ c OI . ,. fica occorre aonnrtafe al te8to 1ell tAccordo di Prestito n -117/IT. 0 • Q. ,. Cnn i ~jaljori c::aluti . T1 , PRES TDBWrB -0 0 :E ? ::E 0 I .D ij u5 PN fhl • O' "' • ~• .. • CT :! 'U r 0 .!: • "' .~ c ... UvCU.L ... OL.f~:q.s .. i CGO.i.. T . J~\ 7i • :, C ~ u 6 ..... J ++u .... .; 0 • +J r .. QI 0 i C 0 + .J.., ~ + ~ J.. ;0 ~a+L u + ~ lJ L6 0 ~ :f +G Uu ti .J o \I!J v1' I\IY YMl•1t1•• ,l 't ~owv ·· blOI' Vf l \..I > (CV22~ bEtS rr . IIIIE:S::S:0010tS"10) "1Err, IJ.Vrtv INEt:S1010"1VrE CV22V bEt:S ObEt:SE 2.lt:SVOt:SOl"'1Vt:S I E 01 bneenco 1"'1.LEt:SE22E IMOIIIIISSO J.ar•G1t¥lalCO ' c••w•s. "OWY • wrr, .._-..r-.• A attP• • ld wid tea Unort.b • Clark !ilo. 117 rt. leot.1io ~ . Ifflp\lcrs 111d Jn.lltta't.P1al Pro3ect.s - Etf ttct.1: • ha t.o111 arid OuarcttM .,...._,u becase •trec~1ve 22, 19:StS., ot the SIL Pllplr 1ll Pl"oJec, Sl\ tbe Amftnn ,160., • FORM NO. 26 I 1.50) INTERNATIONAL BANK FOR RECONSTRUCTION ANO DEVELOPMENT • INCOMING WIBB DATE OF WIRE: DECE'HBER 2 .3, 1956 1100 ROUTING TO: I NTERNATIONAL BANK FOR RECON. AND IEV. ACTION COPY TO MR. CLARK FROM: ROME INFORMATION COPY TO MR. OOPE De coded By TEXT: I'\ ..rA. ?,:r . y .5/20668 OONFIRM RECEIPT CABLE EVEN O\TE HOT!XING LOAN Aml OOARANTEE AGREEMENTS JUNE ONE NINETEEN HUNDRED FIFTYFI VE BECAME EFFECT! VE THIS TWENTYSECOND DAY OP' DECEMBER IN nr:SPECT OF SIL PROJECT P~CATORE PRESlDENTE CASSA MEZZOGIORNO DUPLICATE I .... FORM No. 26 ( 1.50) INTERNATIONAL BANK FOR RECONSTRUCTION ANO DEVELOPMENT -J .t: t! A- - . INCOMING WIBB -fVJ/-J UF.CEMBER 22 1 1956 2110 ROUTING DATE OF WIRE: TO: INTERNATIONAL BANK POR RECONSTllJ CTION AND ACTION COPY TO MR. CLARI DEVELOPMENT INFORMATION COPY TO FROM: ~ME Decoded By TEXT: 27861/335216/15 RISPOOTA VOOTBO TELF.ORAMMA PREND:ESI ATTO DATA ENTRATA I N VIGORE A OOROO DI PRIBTITO N ll7 IT ET ACOOROO DI r GARANZIA STABILITA PER 22 DICEMBRE 1956 RALAT! VAMENTE PRO'JETTO CARTIERA SIL PER OOLLAfil QUATTBOHILIONICENTOSESSA.lJTAMILA PER MINISTRO TFSORO mcRISTINA DUPLICATE r ...., C: FORM No. 27 INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT ( 9. 56) OUTGOING WIBB • COPY CLASS OF SERVICE: FULL RATE DATE: 0001 DECEMBER 22 1 19$6 TO: MINISTRY FOR THE TREASURY VIA Il SETTElmRE ROME COUNTRY ( ITALY EXT : YOU ARE HEREBY NOTIFIED THAT aANK ACCEPl'S EVIDENCE SUBMITTED Cable No. BY THE BORROWER AND GUARANTOR IN FULFILI.UENT OF CONDIDONS PRECEDENT TO EFFECTIVENESS OF WAN AGREEMENT DATED JUNE FIRST NINETEEN HUNDRED FIFTYFIVE BETWEEN THIS BANK AtID CASSA PER IL MEZZOOI:ORNO AND OF GUJRANTEE AGREEMENT OF SAME DATE BETWEEN ITALY AND THIS BNAK WITH RESPECT TO THE SIL PAPER MILL PROJECT STOP ACCORDINGLY SAID LOAN AGREEMENT AND GUARANTEE AGREEMENT BECAME EFFECTIVE THIS TWENTYSECOND DAY OF DECEMBER IN RESPECT OF SAID PROJECT IN THE .AKOUNI' OF FOUR MILLION ONE HUNDRED SIXTY THOUSAND DOLLARS STOP PIEASE CABlil; PROMPl'LY CONFIBMATION RECEIPr THIS CABLE EUGENE R. BLACK PRESIDENT INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT Signed: (1=- -r.: y- pe a-s-,--t-n-a111 --=- 1n---=-1 _e_o-:f,--e-nd s e-r ~ -:- ) - -- - - -· AUTHORI ZED BY: s.R. Cope, Department of Operationa-Europe, Africa am Austral · NAME: E.E. Clark For Use b Archives Division DEPT: Legal Checked for Dispatch ORIGINAL (File Copy) (IMPORTANT: See over for guide in preparing Outgoing Wire) GUIDE FOR PREPARING OUTGOING WIRES 1. Class of Service Type in class of service desired. Each class is described as follows: Letter Telegram Letter telegrams are normally delivered the moming after day of despatch. The cost is half the cost of full rate messages with a minumum charge for 22 words including address and text. Full Rate Full rate messages are normally transmitted and delivered immediately. There is a minimum charge for 5 words, including address and text. IBF Govt. This is a preferential rate extended to the Bank by some of its member countries. Messages are sent at full rate speed and at about half the cost. This rate normally should be used whenever available. It is at present available for the following countries: Bolivia Cuba Guatemala • Peru Brazil Dominican Republic Honduras • Syria Bunna Ecuador Jordan Uruguay Chile El Salvador • Lebanon Venezuela • China • Ethiopia Nicaragua Yugoslavia Colombia • France Pakistan Costa Rica Greece Panama • Io these countries the letter telegram rate is lower than IBF government rate and should be used for messages when immediate transmission is not required. Code Code messages are transmitted at full rate (or IBF Govt.) speed and cost. This rate should be used only for confidential messages to staff members having a code with them. Day Letter Day letters are delivered during the day of transmission and should be used only for messages io the United States and to Mexico and Canada. There is a minimum charge for 50 words io text. Teletype To be used only for messages to the New York Office, United Nations, and certain commercial firms. For information, call Cable Post (Ext. 3008). 2. Address Use only last name of addressee and cable address whenever possible. The Bank cable address ·INTBAFRAD" 1s registered io Paris, Beirut, Rio de Jaoeiro, Bogota, Guatemala City, Bangkok, Karachi, Quito and Tegucigalpa. The lntemariooal Finance Corporation cable address •coRINTF1N" is registered in New York, Paris and Washington. The name of the CQUQtty of destination must always be added. (No charge is made for the name of a country). 3. Text Messages to Bank Missions and to Resident Representatives should be numbered. These numbers may be obtained by calling Eu. 3008, Type text io capital letters and double space berween lines. The text should be edited to eliminate unnecessary words and unnecessary punctuation. If punctuation is needed, spell out the words "Comma,• "Stop," etc. Use common abbreviations whenever possible, i.e. reourlet, reurfive, etc. Write as one word hyphenated words, hyphenated names, and certain two-word groups, e.g. A1rma11, Newyork, enduse. 4. Signature Type io last name of sender. Use INTBAFRAD as part of the signature only when addressee does not know the address of the sender. 5. Authorization Type io name and department of staff member authorizing message and have authorizing staff member sign the original (pink copy). A list of authorized signatures is kept in the cable office. Forward messages in triplicate io a cable envelope to Room 211 for despatch. The cable service is open from 9:00 a.m. to 5:45 p.m. oo working days. Special arrangements should be made for the despatch of of cables outside of these hours. ANY QUESTIONS REGARDING INCOMING AND OUTGOING WIRES SHOULD BE REFERRED TO THE CABLE POST, EXT. 3008. FORM No. 27 INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT ( 9 . 56 ) OUTGOING WIBB COPY CLASS OF SERVICE: FULL RATE DATE: 0001 DECEMBER 22, 1956 TO: CASSA PER] MEZZOGIORNO VIA ANIENE 14 B)ME COUNTRY ( IT.AU EXT: YOU ARE HE bY NOTIFIED THAT BANK ACCEPTS EVIDENCE SUBlllTTED Cable No. BY THE BO m-ER AND GUARANTOR IN FULFILnMEN'l' OF CONDITIONS PRECEDENT to EFFECTIVENESS OF LOAN AGREEMENT DATED JUNE FIRST NINETEEN RED FIFTYFIVE BETWEEN THIS BANK AND YOU AND OF GREEMENT OF SAME DATE BETWEEN ITALY AND THIS BANK WITH RESPE~rr TO THE SIL PAPER )IIIJ, PROJECT STOP ACCORDINGLY SAID LOAN GREEMENT AND GUARANTEE AGREEMENT BECAME EFFECTIVE THIS TVIENTYSECO b DAY OF DECEMBER IN RESPECT OF SAID PROJECT IN THE AJIOUNT OF l ~ UR BILLION ONE HUNDRED SIXTY THOUSAND DOLLARS STOP PLEASE CAB tE PROMPrLY CONFIRMATION RECEIPr THIS CABLE EUGENE R. BLACK; PRESIDENT INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT Signed: -.------,---,---,----=---,-- (Type in last na~e of senderY- AUTHORIZED BY: s . R. Cope, lDepe.rtment ot Operations-Europer-J~~h-,~~~~.a-- - - - - , NAME: E.E.Clark DEPT: Legal Checked for Dispatch SIGNATURE: ---,,....;-~;----::-:---:-:--:--:----:---:-:---,---:-~---~ (Signature of individual authorized to approve cableY:- eaclark;amr;/i2/2l/56 C RIGINAL (File Copy) (IMPOR'fANT: See over for guide in preparing Outgoing Wire) t GUIDE FOR PREP.ARING OUTGOING WIRES 1. Class of Service Type in class of service desired. Each class is described as follows: Letter Telegram Letter telegrams are normally delivered the morning after day of despetch. The cost is half the cost of full rate messages with a minumum charge for 22 words including address and text. Full Rate Full rate messages are normally transmitted and delivered immediately. There is a minimum charge for 5 words, including address end text. IBF Govt. This is a preferential rate extended to the Bank by some of its member countries. Messages are sent at full rate speed and at about half the cost. This rate normally should be used whenever available. It is at present available for the following countries: Bolivia Cuba Guatemala • Peru Brazil Dominican Republic Honduras • Syria Burma Ecuador Jordan Uruguay Chile El Salvador • Lebanon Venezuela • China • Ethiopia Nicaragua Yugoslavia Colombia • France Pakistan Costa Rica Greece Panama • In these countries the letter telegram rate is lower than IBF government rate and should be used for messages when immediate transmission is not required. Code messages are transmitted at full rate (or IBF Govt.) speed and cost. This rate should be used only for confidential messages to staff members having a code with them. Day Letter Day letters are delivered during the day of transmission and should be used only for messages in the United States and to Mexico and Canada. There is a minimum charge for 50 words in text. Telecype To be used only for messages to the New York Office, United Nations, and certain commercial firms. For information, call Cable Post (Ext. 3008). "' 2. Address Use only last name of addressee and cable address whenever possible. The Bank cable address •JNTBAFR.AD" 1s registered in Paris, Beirut, Rio de J aoeiro, Bogota, Guatemala Cicy, Bangkok, Karachi, Quito and Tegucigalpa. The Intemational Finance Corporation cable address •mRINTFIN" is registered in New York, Paris and Washington. The name of the country of destinatioo must always be added. (No charge is made for the name of a country). 3. Text Messages to Bank Missions and to Resident Representatives should be numbered. These numbers may be obtained by calling Ext. 3008. Type text in capital letters and double space between lines. The text should be edited to eliminate unnecessary words and unnecessary punctuation. If punctuation is needed, spell out the words "Comma,• "Stop," etc. Use common abbreviations whenever possible, i.e. reourlet, reurfive, etc. Write as one word hyphenated words, hyphenated names, and certain two-word groups, e.g. Auma1l, Newyork, enduse. 4. Signature Type in last name of sender. Use INTBAFRAD as part of the signature only when addressee does not know the address of the sender. 5. Authorization Type in name and department of staff member authorizing message and have authorizing staff member sign the original (pink copy). A list of authorized signatures is kept in the cable office. Forward messages in triplicate in a cable envelope to Room 211 for despatch. The cable service is open from 9:00 a.m. to 5:45 p.m. on working days. Special arrangements should be made for the despatch of of cables outside of these hours. ANY QUESTIONS REGARDING INCOMING AND OUTGOING WIRES SHOULD BE REFERRED TO THE CABLE POST, EXT. 3008. \ ' December 18, 1956 Union• Esercizt Elett rici Direzione Generale Via Tor imo, 117 Roma. Subject: Loan No , 1J?-IT Prggri§S Reports ~ Gentlemen : We have r ead_ ~)ih interest the reports for the two past quarter s of 1956 on the Cast el~~~and t he A scol i projects enclosed with your letter of November 20, 1956. In view of the changes made in the plane of the Talvaccbia dam and of the difficulties encounter ed i n the construct- ion of the diversion tunnel for the A~coli plant, ve would expect an in- crease in the estimated costs of these works. We would like you t o in- clude a r evision of your estimates in your next report. At the time the loan was granted it uas expe€ted that the Talva- cchia dam would be completed by the end of 195?. As t he construct ion work had not yet been started at the end of June this year it is evident that t he expected date of completion must be post poned . We ask you there- fore to include a revised construction schedule with your next report ~ The progress r eports which we have asked you to prepare are design- ed to keep us currently informed about t he stat us of projects financed under Bank loans . They only serve a useful purpose however, if we can receive them promptly. We would therefore appreciate your cooper at ion in speeding up t heir preparation so we can receive them not later than a month aft er the end of the period that they cover. Sincerely yours, Ber nard Chadenet Chi ef, Publi c Utilities Division Departme~t of Technical Operations cll.:ab cc: Mr. 11 Jago ·' Finelettrica11 INOIRIZZO TELe:GRAf"ICO: /;-; I 7 CASMEZ - ROMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTE RE SS E NELL' ITALI A MERIDI ONALE (CASSA PER IL. MEZZOGIORNO) TRANSLATION Prot. N . .f.>/.............. .... Potiz . ....BM/mg Allegali ....................... .. ROMA ................................... .. ...... ..... ... .... ....... .. VIA ANIE NE: 0 t4 Risposta a ..................................................... Tc.1..# 849.420 .. 2e .. 27 .. as - 2a del .............................. N. OGGETTO : .................................................. .. International Bank for Reconstruction and Development 18 18 H Street, N.W. Washington 25, D. C. Gentlemen: .. ~ r C Subject: Third Loan 117 IT - Cementerie Siciliane Industrial Project C ::, We refer to Mro Umbricht's letter of November 21, and we thank for the approval granted by the Bank on the changes proposed in respect of the loan contract IRFIS/Cementerie Sici- .. ~ Q. lia neo In that respect, we have notified IRFIS of the Bank's .. approval on such changes, and invited the Institute to enter ., 0, ci. with the Cementerie Siciliane into the supplementary agreement ;;; to contract of December 23, 1955, which has not been executed y et pending authority from the Bank o As soon as the instrument will be executed, we will abide by the apecific request made by the Bank with t he above letter, and submit copy thereof together with the legal opinion of Cassa Counselo With be st regards o Sincerely yours, THE PRESIDENT /s/ Pescatore ,., ;:; C • • ,;,rt , l!) - ij I/:, r a\ saco; L6 0 I:. .... .6 EEZID ,:-; ill a:r C6 JA AOJJJ'..t:.l l ') &:; PN l'.:, :f+P PG + Le :.gao ..\:f .f!P ,P}'G cs • g co i1J8SJ 0 +PG ]PI..T :r +J .f!PG spc.A. J6.f!+6T.. ' guq arrp :rl! co ". .L O,t M:fJJ p6 6X6CJJ+Ggl MG ,:fJT 8p 1 6 A fPG Sr>GCTt.:rc .r.ed' rr .. + AG+ bs1Jq:rn err +JJOL:f ,i:'.h Lo .f P' .uy.· aoou aa +O COlJ+L C+ Ot DGCG pGL ]' J e lJO .f! :f CJJ :r+P +PS c e +sL:rs rc~J:rauG ~p6 orrbbJ sbbLoAUJ olJ errcp cp a ~ gug :µo I ID +P9+ L 8 6C+ ' /.\6 s c.r=r :reg 0 J:f8DO • s Qt ;:; bLobosGg :ru LGGDGC+ Ot ,i:ps J08D COJ L c.r. ::: ' a\cs J;+ L:f6 2:rc:r- /.\6 +JJS'l1Jt :{',OL +PG a:OI>LO.AS'J f.LS'D.(!Gg p" ' 6 - ClJ "JJG cpe11€oa ¥ 0 ~ G LGtGL +O L 0 nmp:.:rcJ+ 1 JG+.f!GL 0~ OASmpsL ··J ' 8V 0 0 I IT8+h:f8J LL ~OC+ .Lg r u JJ~ Iili - c • 6L:f 6 8:f :fT:f l '-' l 0 (}GlJ+T -o OCCEH O· V .u:r· • • _.~,,so - • • • 11 .) .. s a .. se H 2bo21'- '- tlOWV . V1Err. 1.J..'l:fr1v LNEl::SIDIOIA'7're: c...,aav bE~ ObEl::SE 8..1.1::S'l:fOl::SD I IA 'l:fl::SIE DI b n esr1co 1 IA~El::SEaaE IN DUII ZZO T a L.aCl"A~1CO t C A •M•Z • flOMA CASSA PER OPERE STRAORDINARIE D I PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE (CASS A PE R I L MEZZOG I O R N O) / ,, ,..1 Pro t. N. J/....YV..:?,,:-:.~ Posiz ....3~.J.Lv... PJR VIA AEREA - J. IC. 1956 I Allegori.............................. RO M A ........... . V IA A N la N a , , . T • L. 840. ,Q O - 2 8 • 2 T - 2 8 • 20 ~isposto o .......... ............................................. ......................................... N ..................... ATTiA O NCA INT RN ZIOlJALE PE1i LA _no :II.I.?......... .r.1::1.B.:t.i..t.0. ... 117 /IT - Prop.;e t to ~I0JST3UZI01: ~ LO S/IJJPPO '1 1 lustrial.P C!AmenteriP. Sir.i.liane - 1818 H Street ~ASHPfGTO:N 25 D. C. Con ri ferimen to alla lette ra ctj ~1r . Umbricht in data 21 nave btP 11.'"', si rine.;razia p"r l 'a.pprovazione di cndesta Banca del e V'1ri'~zi0rii nroDoste relativamente al cnn+rPtto di mut110 IP$IS/C~m8nteriP icili~ne . In proposi to si e rir0vvPduto a com1micarA all 1 IRFTS ~ C • l ' arynrovazione di codesto nte Jelle ~o1ifiche RUddette, inv·tan- e 0 . !!' do l 1 Istit~to Rtesso a stinulare co le Cementerie Siciliana l ' at- 0 tn i:i.~e:j11ntivn al Gontn1tto· di trJ1lt11n 93/12/f>5, nnn ancora stipula- ] C +o in 2ttesa dell ' P.utori7,zazione ~i conesto ~ntP. Non annpna l ' at- " to in pa-rola sara st9.to pe·rfezionato, si provvedera ad ottemperare alla specifica richiPsta fatta da codes+.2 Banca con la nota che si riscnntra, inviandone copia col parere del cnnsul'3nte lPG~le t 0 .0 nr: : ,r1 ? 65 Pi'l 1 ~ fT .. & e .... ... • "' '.. Ji ; 0 "' !: ] .ii .. C: 0 0 • Ii, 0 I ..... +O c.., 1') vi' -i .,. .{. .a.• r· •••·•~o - :111 • 3~ • :se · .:so l\t 'W' YMI Ma' .,._ v111.dQt ¥0WY blO! 1,1 Cc•aa,, bE~ tr IIIIESSOOIO~MO ) ll!Err, 1.L.Vrl'1 a,\!Et:SIDI0"'1VrE CV22V bEt:S ObEt:SE 2.1.t:SVOt:SDIIIIVt:SIE DI bneenco 1"'1J.Et:SE22E IMDI .. ISSO .L•r• a ..... ,co • c••w•s - 1,0WW Offaber 21, 1956 Gentlemen a Sub,est• 3rd mRD LoaJ111 lo . 117 rr - Cementerie S1ci11ane I~,dustr~ject I rerer to your lettt!r dat@d o•e iber 8, 1956, m,d all hapPJ' to intorm 701l th t the Banlc appro'ff.8 of each of" th" changes 1n the IRFIS/CeMnteri S1cil1ane lo n agr ment l"fl,·uested th rein. We asBW1e , in doing so, thnt the Cassa and A:n. !r canna will have seen and ap. rmved the t xt oft.he eru pleaer. ry £N nt IR1'IS/Cementer1e Sicilian before it been oign~d . ~ill a to 1 ndment to th Cas a/IRFIS agree nt also be n•c~•ft ry (tor ~xampl•, ot Appendix tC ), • a aons~uence or the recueated chan a? hen the eupplement"'r_y fl8J"9f! nt I1RP'IS/C••nter1e s,-ciliane (and, ir n ceesary, Caaea/IRl'lS) ha• bt111n apprond by the Ca••• and ATW. Ti-acanna d s1fnfld by the ~~1~• th roto, the Caaoa ie requeated to forward a COPY' thereot 1~ the ~ k together vi th a auppleaentary legal opinion ot 1..-,. '!'i c nna coveririt the qlidit7 or the aup le11e11tary agreement .. !lincerely youra , !. I v. Uabricht Aasiatan1, Director or Oper tiona Eur<>J>@, Afric a and Auatriliaia • ssogior:no C esa per 11 )l' Via Aniene 14 Ro•, Italy RGBat eson/r,nn ~-~''l FORM ,'JJ . 57 (c;_ ~a> INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT OFFICE MEMORANDUM November 9, 1956 ~ TO: DATE: Files FROM: J.fu.rray Ross SUBJECT: ITAIX" - lean 117 A meeting of the Working Party took place on November 6, 1956 at 5 p.m. (continued on November 7) to consider the letter from the Cassa of Augu~, 1956 concerning the Pugliese power project. Present were Messrs. 'Wheelock, Bateson, Chadenet, Kanters, Ross and Verheyen. It was agreed to accede to the Cassa 1 s request. A letter indicating this and containing a revised project description will be prepared. MR/jcf ~OR~ No. 75 INTERNATIONAL BANK FOR (3.52) RECONSTRUCTION AND DEVELOPMENT Date ROUT I NG SLIP 11/20/56 NAME ROOM HO. Mr. Wheelock A ull Report Pr~vious Papers ~ nformation +- Recommendat~;o - , In i t i a I S i gna tu re Remarks Attached is a proposed draft 1ietter to take care of the Cenenterie Sici]j.ane request. / Nothing is said in t.'1e Caspa letter ~ a change in the drawdown per cent. Am I correct in assuming from Walt~r 1 s O. K. that the rate would stay at 38%? / (If my figures are correct, the decrease would be slight, if we took into account the increase in fixe assets (35% against 38%) . ~ ~- · ~ ;, 6, D ~ 4A/JP. P4¥ h4ul ~~~ .d!l~ · · r,,;~;D-_ ~ -~~ ( ,46 _ a ; ( l ~ . f,l .A . j AA/JJ-- I ~ ,.t~~- FrOII ::o~T~eso~ - c~~ ·t\T~ -- ...... FOR"M No. 75 INTERNATIONAL BANK FOR (3.52) RECON STRUCTION AND DEVELOPMENT oate 1 I ,I ROUTING SLIP I , - -~ction Note and File Approval Note and Return Comment - - - -- ---+-- Prepare ~ ~ - --~ Replr ~ Ful I Report lPrevious Papers . Information lRecommendation In it ia I Signature Remarks ~ {M o,_ vii , - INOIRIZZO TELEGRAFICO: CASMEZ • ROMA CASSA PER OPERE STRAORDINARIE IOI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE (CASSA PER IL MEZZ:OGIORNO) TRANSLATION !'rot. N. 5/ .. Posiz .. Jt~/mg Allegoh ROMA ... VIA ANIENE. 14 Fisposl o a .. T -c1,,.. 849.420 - 28 • 2 7 - 28 - 29 C el N. O GGETTO : International Bank for Reconstruction and Development 1818 H Street , N. W . Washington 25, D.C . Gentlemen: Subject: 3rd IBRD Loan No .. 117 IT - Cementerie Siciliane Industrial Projeut 0 c C, E 0 This is to advise that Jo:Lnt Stock Company Cementerie ~ ., 0 Siciliane , which received a loan of Lit . 1 , 060 million out of ~ the Loan 117 IT funds for financing its cement factory project C ::, at Isola delle Femine (Palermo), ha1:3 notified that substantial ! adjustments for improvement have to be introduced in its finaliz illt - 0 ed project. " a. The major change consists of an increase in the length of the kiln from 117 to 137 l . me . , with consequent raise of the daily capacity from 350 to 400/450 1ne . ton. Of course, the Company has to revise accordingly the sizes of nearly all the other sec- tions of the plant, with an estimatc~increment of Lit . 270 mil- lion in the expenditure on fixed asBets . Such expenditure increment will be the total liability of the beneficiary company; considering also the benefit that the increased production capacity w:Lll constitute against the Western Sicily requirements - including those originated from Cassa-financed work - both IRFIS and the Cassa express a favor- able opinion on the project change under consideration, and re- quest, therefore, the Bank approval thereon. As a consequence of the p:roject expansion, IRFIS points out that the date of constrm)tion completion and con- sequent closure of disbursements shall be postponed from June /1 I~ ,. _f C \ e,< S SA PER I L. M EZZO G I ORN 0 ti ' Fogl o n•. ..2 .. ....... 30, 1957 to W-arch 31, 1958 . The Cassa expresses a favorable opinion also on such a change in the loan contract, and re- quest the relevant Bank approval, also considering that the new deadline still falls within the general closing date as of June 30, 1958, established under the Loan Agreement 117 IT . Finally, Cementerie Siciliane requests, with the concurrence of IRFIS, that inception of loan amortization be postponed from July 1, 1957 to July 1, 1958 . Such specific request for extension is also found justified by us both be- cause the project already approved by the Bank envisaged a grace period of two years ( whj.ch would have fixed the origin of loan amortization at January 1, 1958 rather than July 1, 1q57, as the related contract has been executed on December 23, 1955); and because an extension of six months appears justified by the project expansion; and lastly in order to avoid that repayment by instalments be requested on a loan that would not be entirely disbursed at the time of the first reimbursement . e E 0 "" Specific authority is hereby requested of the Bank in respect of such contract extension, which will require a supplementary agreement IRFIS/Cementerie Siciliane to the loan contract currently in t ffect . .. 0 i: E ·~ 0 C O< Best regards . Sincerely yours : THE PRESIDENT /s/ Pescatore .. • INOIRIZZO TEI...EGRAfl'ICO: CASMEZ - ROMA • CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE ( CA SS A PER IL. ME:ZZOGIORNO ) - I Pr >l I\J ·/ Posiz .~/so Al legot,. -8 NOV.1956 ROMA .. V IA A N IENE. 14 Ri!pcsla a .......................... .. T"u .• 849.420 ... 2 6 - 27 - RB - 29 ........... I"< osc;Eno, I I Pres ti to BIRS 117- IT -~ogetto industriale Ge- Alla BAlrCA IN i'~~XAZI OiJALE PER LA RIC08TRCZI01TE E LO SVI~UPPO -· .... .... · s· .. ........ ment e-r-1·e·-.. ··1· - ·:1.:·e·1 1an e - :018 H Street ,lASHIUGS.'ON D. C. 25 Si comunica con la presente che la S. p.A. Cementerie Si ciliane, beneficiaria peril proprio progetto di cementificio ad Isola delle Femine (Palermo) di un finanziamento di £ . 1. 060 milio c.. 0 ni sui fondi di cui al Presti to 117 IT , ha sitrnificato di dover - E 0 ap_t)ortare notevoli modifiche migliorative al proprio progetto ese .. ~ 0 cutivo . - ] C ::, ?ali modifiche si sostanziano in lll1 aumento di dimensio ni del forno rotante , dalla lunghezza di m . 117 a m.137 , con conse guente aumento della potenzialita giornaliera da 350 tonn. a 4007 450 tonnellate . Di conseguenza, la Societa ha dovuto opportunamen " Q. te ridimensionare auasi tutti i restanti reparti del:o stabilimen to, con una previsione di mac,>iore spesa di £ . 270 milioni rer i!!! pianti fissi . Poiche la suddetta magbior spesa sara assunta a totale carico dell ' impresa finanziata, l ' IRFIS e questa "Cassa", in con- sidera~ione anche uel beneficio dell ' aumento di potenzialita pro - dutciva peril fabbisogno della Sicilia occidentale , compreso quel loner i lavori .finanziati da:la "Cas3a11 , sono iavorevoli alla mo difica di progetto in esame e si richiede pertanto , in proposito7 il be.nestare di cot0sta Banca . q.Uale conse]uenza dell ' ampliamento del progetto esecu ti vo l':HFIS fa inoltre presente che la data di completarnento dei fa vori e correlati va ci1iusura delle erogazi oni dovra spos tarsi dal - J0/6/1957 al 31/3/L95b . Anche su questa modifica :el contratto di mutuo questa "Cassa" si dichiara f::.vorevole e richit.de il benest~ re di cotesta Banca in considerazione anche che con il nuovo ter- mine Gi rientra sempre nel termine di chiusura c:.enerale urevisto .,, al v0/6/1958 dall ' Accordo di Frclstito:117 IT . C ~ ./ . .. , . CASSA PER IL MEZZOGIORNO Fogl o n . . 2 In ultimo, richiede la S.p .A. Cementerie Siciliane, su conforme parere dell ' Ifu7IS , che l'inizio ~ell 'amuortamento del mu tuo venga prorogato dal 1.7.:957 al 1.7 .1958 . Si ritiene Giustiff cata 1 u.re questa specifica richiesta di proroea, Gia in quanto iI progetto gia apnrovato da cotesta Banca prevedeva un periodo ~i prea!!lr1ortamento di due anni (il che avrebbe dovuto f;ia rortare ~t unc scaden~a ~ell'inizio uell'ammortamento del xutuo al 1°/1/1958 anziche all'1/7/:9o7, e~sendo stato stipulato il contratto il ~J dicembre 1955); sia in quanta si ritiene dustificate. una proroga di altri sei mesi a causa dell'ampliamento del proietto, sia infi ne ad evitare che venga richiesto un rimborso per rate di presti= to non ancora completamente erogate . :?er questa proroga. contrattuale, ::_3er cui sara. nece:::sario uh atto aitiuntivo IJFIS/ Cementerie Siciliane al contratto dim~ tuo in vicore, si richiede specifica autorizzazione di cotesta Ban ca. Con i migliori saluti . .. 0 c E ·~ ,0 .: "' C1 ;:: r FQ1>1.1 No . 57 ( 'i. '18) INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT OFFICE MEMORANDUM TO: DATE: r• FROM: SUBJECT: LJ . , - V > ~.. T • L' u~ . . J ... .. i.' l' '.1 .., . .... 1 .i - 1. 1 ~l .J. .Ln t l u i.~ ..1 r I ' .. . 1'1 . .. -5 .. L . .. I' ~ I, I" , , ... l' ... ., .... J l ·- .., ., . , ... ~L ,."' ., r .. ! V . ) C ' r J LL:. 3 .. ~ . . .. ..· • 1• l •t. r ' ~ ( ' ' -· • j. j . s .. .., .. ' "' r• t. t . ' r , .. J , 1· .. , . uJ. .• .. ~ L u ·t . .i r .; . .' " .., ['. ~ ~ -l.' ..., ' .... ,.. .., ..·i s ·t , r J. r, . ::, 1. . " t .... !' .. JC .. ..., ,l .. ~ ,.. e u .. .l. . . 1 i .. ,L .... t . c.. V .... . . ~ ..J rrt .. .t ' .. ., l,..,, <: .i, .., ) '1, !:; .d r r : 1' ., . ... r .... . , FILE COPY INOIRIZZO TELE G R A .. ICO: CASMEZ • R OMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA M E RIDIONALE (CA S SA PE R IL M EZZ OGIORNO ) TRANSLATION Prot. N. .. 5./J..5..3.~J Posiz . ... J~~/:qig Allegali ............. ...... . ROMA ..... ..U.~..:..~..,.\'}.......................... VIA ANIENE:. 14 Rispo sla a ............................................... ......... . T EL. 849.420 • 29 • 27 .. 2 8 • 29 del ............................................... N OGGETTO: ..................................................... ..............................................................................._ ~ International for Reconstruction ad Development 1818 H Street, N. W . Washington 25, DoC. Gentlemen: 0 c • E 0 Subject: Third IBRD Loan ~oo 117 IT - Industrial .. ~ 0 Projects 1 C ::, We refer with thanks to your letter of September 19, 1956, signed by Mro Cope, and acknowledge receipt of your let- ter of agreement on the amendments to the Loan Agreement No.117 IT, and of the revised amortization schedule. .. L Q. Concurrently, we would like also to receive a kind conf'irm from the Bank in respect of the change in the Closing .."' Dat e of SIL Project, as of our letter dated September 13, f Q. No. 5/14425 0 ;;; With best regards o Sincerely yoursp THE PRESIDENT /s/ Pescatore . t i II ,;, .. .. 0 0 ~ .... "' ;:; .. "' ., "' ij 0 i, \a\ bG8CS+OLG n 1,HEaIDE :fl1G L6JA 1lo.m $ !:)! . $8 Ot O!J'L JG++GL ga Gg 86D+Gmp6L JJ > coutr:r..m tr..om +PS B9'DJC :ru r..sahec~ ot +PG c u€s ru +PG croa:ru€ QODCJll.LSD+JA ' 6 MOJTJg J~~6 8J80 +O LGCG:fAG g ~:pl'g .. 0 .!: I~ ) S'Dg ot +PG r..sA:raeg a or..~:r~sf:rou ecpsgrrre · • +GL ot 8\u~GGIDGU+ OD ~PG IDGDqIDSlJ~O +O +PG ro U V~6Clli6U+ 1o· JJl ¥• Jo~e ' 8:f~UGg p'.A NL• QOD6 ~ SDg 8C~lJOMJ6g€G L OG:f ~ Ot 2orn:. jG+- 0 G LGtGL :f+P +P8DJCC +O AO!fL 16++6~ ot 8GD+~mpGL Jo ' 0 • QI 0 },L0~6C+8 IC: arrp1Gc+ : iliprr..g I BD rosu ~o · JJi Iili - ruqrra+Lr J 0 QGIJ+JGIDGIJ: aap:rn~+OD S2 ) D c· 0 Jg H3 H B+LGG+ ' F6COD8+LrrCf:fOD uq rob su+ ID+ LD8+:f0IJ T OCCEUO' i\lV 'lfl'M l£MC' j , f tLHV nrv r ( C'l:f99'1" b E ~ Ir VJ ES: S : 0 0 1 0 ~ &..10 ) vie:rr. I.J..'~rl'1 IAI Et:S IDIOIA'=l're: ... cv2 e v bE:t:S O bEt:SE' 2..Lt:SVO t:S D I IAVl:S I E DI bn aer,co I IA..LE:t:SE22E IND1,..IZ%0 TIE~t!ORA ..ICO : CA:SMB:Z • fltOMA CAS S A PER O PER e : STRAOROINAR I E 01 PUBBLICO INTE RE S SE NELL' !TALIA MERIOIONALE (CAS,S A PER I L M E Z Z O G I O RN O) Prot. N .. 5/ 15321 Posiz. RE/ ~O Allegoli . R OMA .. ....................................................... .. Risposto o ... l..~.t_t~r.~.......... . ........... VtA ANll!:N at, l4 T11 ... a,a.•20 . . a e - 27 • aa • ae del....19.•.9.•.56........ N. oGGETTo, 3° Prestito BIRS 117'/IT Proge.tti .... fn·au·striali-=- ............................................................................... _ Spett. BANCA IN~'EPJfA ZI OHALE PER LA RICOSTRUZIONE E LO SVILUP~O 1818 H Street NoW. rlASHINGTON 25 D.Cc ~ C In risposta alla lettera di cui all ' ogcetto , a firma di • E 0 ~ Mr . S.Ro Cope , si ringrazia e si accusa ricezione della lettera • ] 0 di consenso per gli emendamenti all ' Eccordo di Prestito 117/IT e C ~ ~ ~ della nuova tabella di ammortamento . 1 c Con l ' occasione, si prega di voler altresi confermare °' . 0 ... ~ l ' emendamento relativo alla data di chiusura del progetto SIL, di cui alla lettera di questa "Cassa" in data 13 corr . n. 5/14425 . Distinti salutio .., 0 • M ... .., ;:; "' ~ .. • n:r rror:r asrrr.r:r . O :. :! • crr.r OJJS JG" +GLO' ~ -: dnee+s /~ u :ro gs+c,, J3 co ~L • o • ?\,. 'iS?. • l 0 T,G GIJgO'IDGJJ+O I.GT .. .rrAo s-rrs + g:r CJJ:f fl fTLS' geJ LLO Gf+O 2rr err 1 ..:\.. "' .!: C 1J J,OCC a:ro G1 a:r t.t.e€s- T AO"""GL SJ LG'")~ COIJ:j; 1~llJS'LC OL,PT.!JGJJ +O • e .. Q 0 q:rcooae1.rno hex. r:r smeo s eo .rr .:1 JJ. Ecco1.qo g:r 11.el'.) r:r .ro ... ~\IT e • Qt 0 E ~ · 8 .B. QObS 1 o-:- I.:fll iS'~.fS' G 9:f SCCIT8S' LTCS"''f0IJG 6J~S' JG~+GLS' t 0 IIJ LT8D08+S S'JJS' JG+ LS' :f crr:r SJ., ,o s~fOa t:fL S' g:r ·:v2 ·c·· .., "LG"'+ ! 0 • ...... ······· ................... .............. . .. .. ..... ··- Lo~+ +:r. rog_na +L:fSJ:f - ocer110' 0 Lsa.rr +o BI m rr~\IiL 1.r,.. •••·•so · se - s-1 · •• .. '59 is.20oa10 g -rsffeis- " ' " YHIS:H£' , .. ~o...,v·"·· ·· \f!lGao,,' 1Ae:rr.1.1.vr1v II\IEl:SIOIOIAVrE c v ee'O' bE'l:S ObEt::SE 2.L.1::SVOl:SDIIAVl:SIE DI 1::,neer1co IIA.LEl:SEeee: Il!'advc$1a Included ia tlae 1-a 117 ff ot t10 aillloD • • t.- t1mmciac ot tile vt• v1• 1:Mnal plaDt, to be bull\ at. Bari b7 Pucli•N, a au._1diary of tbe SMB group. It vaa cl••iped to be equipped 2 unite, NCh a oapecitr of 60,000 kW. TM total coat vu orq1Dall7 eat.111ated at. L. u .5 bUlion { 18•.4 aw- ion equJ.nlent.), 1nclucUnc 6.5' tor cont1ncw1••• On Aucut. 2nd, 1956, ~ Caaaa per el Mesaagiorno vrote to tu But to Wona it tbat DW ..U..tea bad been llade br tbe Plaali•M CcapaJS7 111 the ll&bt ot order• paa1ed to .uppltera. The coat eniate tor a 2 unit pover plaat vu Nduced bJ L. 2 blllton, traa L. n.5 billion to L. 9.5 blll- 1cm. 1'b1a Nduot.toa - . called bJ' tnorabl• prioN obt.1Dtld tor the egui~ nt on tbe buu ot illt.el"Da\toml biddlllc ud b7 plentit'11 av.ppl7 ot apr1Jla vat.ff at '1ae •1'- ot tu plallt,. It ta nov the 0C11pt1n,•1 1Dtent1on to 1u"tal.l a third Uldt •1•Uar to tbe tvo Ulllta elread7 ordered. '?be con ot t.be atenaioe 1'0Uld be L.3.5 billion (t 5.6 anlton ec.uJ.•.), of wb!ab L. 2 bUllGl\ are aftUebl• trca ~ aaTIDp obtd.Md 1a t.he 2 fh'at um.'8. Th. total co,t ot the 3 unit th~ar.til plant UDd• coa•icl.ration would tbeNtore uacNDt to L. 1' blllion ( 20.8 aw.- ion) ud woaal.d l,e onq L. 1., bllliCID ( 2. 4 lllllion) h1cbtr tbaD \be 2 Ullit. plaat. litdob tor.cl tbe bui1 of part ot Lou 117 IT. ivu&tse,\iAR at,,. nw IPerre•· The toreoalt. llllde tor tliii S>lt gl"Ollp, ot wbiob Puali••• ta a ~ . lbov ~ t tbe 11aore.... 111 produotioll ot •mra 1n tile 0C1111111ean vill rel.7 •lnl7 • tAelwll pluta, utile purohaN arrana....nt with ta. ooapente1 opent1Jt& 1D C.tral ud lortbenl Italy cu not be coulderab.17 en.ndad, aad aa ~ raa1a tev hTdro project• to be eeODC11teall7 oarr1"4 ou.t. IA 195,, the source• ot power in tb• SM! &roup vei-. a tollowaa l1Jdro ,,280 GWb 76j ot total Purcbaaed 530 " 1'7% or total Then:al 290 " 1J or t otal Total. .3, 010 In 1964, th• forecaate are a, t ollowa H;rdro 3,000 GWh 42jot total lU or total Purchued. 'nlermal Tot.al ,.,oo 800 ?,roo • 11 471, or total 2. Thia ooaparlND, atNaaiq ~ atroac d.-nJLoJaeD, of tb•nal powr Oft!' the oc-S• JMI"•, abola the\ "7 ~ a JJrd uait of 60,ooo kV at Bari, tM Pucl.1..• eo.p.117 nu ilato ao riak of flftr 9Clu1ppi. 1\8 tacU1tt.a. 1'be bed b7ctroloe1oal oOlldltloee 1'bicll prnall~l dv1lac ~ Wtat.er ot 19'6 oa MOCNat •f OGld wa\ber caueecl nob a NdWstioll ot tr,dro reaouro•• that the h'ect'Ud07 ot \be I\alia ae\wwk oaaa dCMI tl'Oll ,0 to 47 qoler.. Thia dUf1cul.t •1-a~iaa waa a lnceat.in tw U1• SMI to iDaNaM 1ta thermal power tacUiUea u quiokq u poealble. lta ad41t1oa, tbe ccapl.etioD of tale 1,0 kY \rauaiaaion line bu.U, bJ th• llCZS t.o CODD ct SiclJT to tb• Pen- n1.Dwla oreatea a MV 11arket poeeibllit7. rfflllv!a •bo'n, Ill tlle lilbt ot the reaacma ,1..... 1\ 1a reooaaenad tbat the Bank abould qree to tbe edellalala et tb. lari ~raal plan traa 2 to 3 ai\a, each vitb a 6o,ooo kv capacU,7. n.. additianal e:xpeuea ot L. ,., ••Tin&• 'bWioD abou.14 be . ., tor L. 2 billioll i., OD taa. ortciDal. oo t ••tiJtate of 2 uni'k, u4 for the balance bJ' reaourc .. traa Pual.1••• BCbadenet1ab Ct. ~l't-) RMl!:A::> I 0::) 11AAl>D.JJIT Olll ..10"11 . :::tee::!IR3TVII 001...JBBUC'I 10 31RAVIIOAOARTB :3..JAVIOIOIR3M :9R:!IC'IO AI-IATI '...J-l:3VI A:!ICI ABBAO ( OV1s:IOI QO~S::3M ..JI S:.:ilCI ABSAO) .. I 111 10,q acer .r32 ct . AMOA es. e~. t'S • e c · os•.••• ..n,,. ,OTT3~~ 0 ol :a l g, i 0 ~ • 0 ff :, C: e'Io1 .ta £J t 'I9V09'I01IC. toet'Ioq: ill: :::: ,,t ta 9 bn.s nI ct o.i:'IcfmU 'l::t.aoo a o.C t'±mb e 9 {:t t ( t b11B rt t , O( 9.CIJJt mo'I,. 0 so .e no.tto 8 oat a.teoLO ton bn.i:lI £Ii: rl;t mo'I1 oci rl;t .t\ .,. • 9'1 .. " •. O'IOt.soc ... caaaa ~•" IL Nazzoe,o.-No fogl,o n.. .. J •o. Industrial Project• 1. SIICAT Pertiliser Piant••••• •• ••••••• • ••••• 5t760,000 2. SIL Paper Jlill ••••••••• •••• •••••••••••••••• 4,160,000 3. SICUL.lZ01'0 ••rtiliser Plant•••••••••••••••• 2.400,000 4. CIIIEIITBRIB SIOILI.Al"I o..eDt PlaDt •••••••••• 1,696,000 5. AUGUSTA PBTROJ.OBDCIOA ..rtiliser Plant ••••• 4,384,000• In view of the expected ooaatruotioa period tor the Ala1CU•ta Petro,l chimica 7ertilizar Pro 3eott we al.ao hereb~ requeat that, 1rubject to the terms and provision• ot aa14 Lou Acre••••, 7our -.nk ao1: in reapeot of the .lugusta Petrolohiaioa ••rt111ser .ProJeot and the ..1ou11t ••t forth oppos ite such Project i ll Soheclw.e 4 (u ao -•Dde4) of aai.d Lou .lgre ..ent aa 1t the Closing Date .__ •peo1tie4 u Deci,. .ber 31 • 1958, instead of June 30, 1958. Will you kindly aignit7 your agre•ent •1 tb the torego1 iaa amendments to S@hedule 2 and Sohedu1e 4 to aa14 Loan Acreeaeat ud lfitb the requeat contained 111 th• i-•diatel.7 preoediDC para&ra,pb of tbi• letter 'b7 aipinc and returniac to u tbe ...ioaed cluplioa1 te oopy ot thia letter. I Youra Tery tru.ly, CONFIR!LED: J INTERNATIONAL BANK 70R RECONSTRUCTI ON AND DEVELOP~ENT S . R. 1:: 1-- Dh, c-to r or 1.-"PT'l Furl oe , Af... ic.~ us t r aJas i a CASSA PCA OPE . . c STAAO .. DtNAAIE 01 PUl!!IBLICO INTl!!:.-£9SE NELL' ITAL.IA ME .. IDtONALI!!: (CAaaA PC,. 1 1.. MCZ:ZOO IO~NO) P,01. N Po s,z 3 t AG0.1956 , Allcgo t R sposlo o _ ~· ... ........ ...... VI.A . . . . . . .. . .. ,...... ~ ., de • " OGGUTO : International Bank tor Reoonatruction and Development 1818 H Street, B.W. Waahington 25, D.C. Gentleaeni Purauant to Section 3.01 (b) ot the Loan Agreement between ua I .~ dated June 1, 1955 (Loan Buaber 117 IT), we hereb7 request your i agreement to the following aaendaenta to Schedule 2 ua4 Sobe4ule 4 C > • to said .l&reeaent, aaael7s j (a) that allot part Cot Schedule 2, entitle4•I11DJS!RIAL c "' 0 • Q. PROJECTS•, be deleted and there be aubatitute4 therefore a new part C as follows : • INDUSTRIAL PROJECTS "' • Q. ;;; •1. SINCAT Pertilizer Project Thia Project oons iat• of a fer tilizer plant at Kelilli- Auguata, to be conatructed, owned and operated b7 SINCAT, Societa Induatriale Catanese, S.p.A., with an initial oapac1t7 ot 100, 000 tone per 7ear ot ooapound fertilizers. •11. SIL Paper Mil l Pro je ct Thia Project consists ot a paper aill near ATeazano,to be constructed, owned and operated b7 SIL, Sooieta Idroele ttri ca Liri, to produce about 6,000 tone ot . newaprint, 8,000 toaa et aa~1siae paper, 1,000 tella of aediua grade paper ud 4 ,iooo tona et ft•• ,..._. per year. The plaat will haYllJ • p-olldwoet aill, producing 12,000 ton• of woo,11 JNl• ..r year, • • a straw pulp aill, .,.octaoiac 6,000 toa• et bleaollet aulphi te pulp per ,ear. !be 1 1quipaeat of tbe plaat will i nclude aa eleetrelyaia plaDt tor tb• pro4aot1oa ot cauatie eeta 8111 eblerine, aacl a ...11 thenaal plant ~~ . . . . . . •teaa1 • • part et tile r ~ i n t· , ..... .._ lft~eot ,,111 alao inolate aa 0 •1atiq ~be elMVl• pl.an·, oned by .s11,. !bi• Project oeaai~t• et a t~•rtiliaer .iut at Oataaia, n,.. to be ooutl'llote4, 0 . . .1 • • ... "1Icm.&IO!O, s.p.A., witll u 1a1t1al • ~t7 ot aleat 50,000 utne toaa .... 7oar of ,,.,.... f'IUI••• .-.., l,000 toaa et n.ot.&L, • • taeili ~ tv lac tbe neoeaaa17 _ . a l a • • ael,aJrie aeiL •tv. CEIIEll~DI• SIOILIBK a,•••, lPJ.ut h e ~ This Pro~eot ooaa1ete et i 4JE7-prooeae o . .oat plaat at Iaola toll• •-1ae, aear ~a:Le1118, te ._ ....ino1e4, owned aa4 operated b7 s ••• A. :, OW.18JW IIau.JAll,WS.a a oapaoity of about 130,000 ,toaa fiT ....., ,er ,ear. •y. AUGUST.A PBTROLCBIMIC.A hrtiljlser Pro~eot lfh1• Pro j ect consi s t• of a f4•rtiliser plant aear . .1 1 ~ .Augusta, to be oonatruote4, cNaed ud operated by Aapata Petrolchiaica, S.p • .A., with a oapaoit7 of about 63,500 tons per year ot ...on1ua au.Jlphate.• tb ) that all part C of Sobe4ule 4, entjltled •Industrial ProJeota•, be dQle ted and there be subst1 ~to4 tllerefo re a new part C as to11. .a1 INDIAIZZO TSLEQAA ...ICO : CASM&Z. - AOMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIOIONALE ( CA S S A P E R I L. M E Z ZOG I O R N O ) Prot. N.5/. ........ ······· Posiz .RE/nl Allegali . 31 AG0.1956 ROMA ................. ..... .... . \/IA. ANIIENE. 14 Risposta e .................................................. . n ._ 849.4ao - a& • a, • aa - 2a de l...................................... N ... . OGGETTO : . ... .......................................... . International Bank for Reconstruction and Development 1818 H Street , NoWo WASHINGTON 25 , D. C. Ai sensi della Sezione 301 (b) dell'Acco rdo di Prestito in tervenuto fra codesta Banca e questa Cassa in data 1 giugno 1955 (Prestito 117 IT) , si richiede con la presente il consenso di co- desta Banca alle seguenti modifiche da apportare agli allegati 2 e 4 di detto Accordo , e piu specificatamente : (a) che l'intera parte C dell ' allegato 2 intitolato (PRO- GETTI INDUSTRIAL!) sia cancellato e sostituito con una nuova Pa£ te C come segue : "Co PROGETTI INDUSTRIAL! "IoProgetto SINCAT per concimi Questo progetto consiste in una fabbrica di concimi a Melilli - Augusta, che sara costrui ta ed esercita dalla Proprietaria SINCAT , So- cieta Industrial.a Catanese S. p.A., con una - capacita di produzione iniziale di 1000000 tonnellate annue di concimi complessi . "II.Pro8etto di cartiera SIL Questo progetto consiste di una cartiera presso Avezzano , che sara costruita ed eser cita dalla proprietaria SIL , Societa Idroe= lettrica del Liri , per produrre circa 6.000 tonnellate annue di carta da giornale, 8.000 di carta da rotocalco , 70000 di carta tipo CASSA PER IL MEZZOGIORNO Foglio "· ······································- medio e 4.000 di tipo fine .L' impianto com- prendera un ' impastatrice meccanica della c~ pacita di 12.000 tonnellate annue di pasta di legno ed una impastatrice di paglia della capacita di 60000 tonnellate di pasta sbian- chita al solfuroo Le attrezzature dell ' impian to comprenderanno a.nche un reparto elettrol i: si per la produzione di soda caustica e cloro, ed un piccolo impianto term ico per la produ- zione del vapore occorrente per le l avorazio- ni e per una parte dell ' energia elettrica ne cessaria. Il Progetto comprendera anche una- centrale idroelettrica gia esistente e di proprieta della SIL. •111. Progetto SICULAZOTO per co:ncimi Questo progetto consiste i :n una fabbrica di concimi a Catania, che sar.a costrui ta ed eser cita dalla proprietaria SICULAZOTO S. p. A. con- una capacita di produzione iniziale di ci rca 50 .000 tonnellate annue di concimi complessi i FLOTAL, e le at- e circa 3 . 000 tonnellate d: trezzature per produrre i quantitativi occo11 renti di ammoniaca ed acid1 0 solforico . - .. '° E 0 "IV. Progetto di cementificio c:~MENTERIE SICILIANE 0 c I> E Questo progetto consiste diiJ un cem entificio ·~ a processo secco situate ad Isola delle Fem- '° C ii: EB r abs++ ·rs V H•2bo21g g JGf + l.8 ,..,_ • • •·-..so .. -s:e s:. · •• · •• l'\IV V ""'tlE ME ' I • IIOWV VI 1.ag1 .V blOI 1.1 \ J~o r b02!S- \UJ a..1e:rr.1.1.'7'r1-o- 1NE1::S101oa..1'7're: C'1'oc:?'7' bE:l:f ObE:l:f&: c?.1.l:f'7'01:fD1"'1'7'1::SIE DI bnaer,co 1"'1.1.E:l:fEc?c?E ,..,o ..,no .u :.-cro11r1o.ic:o • c:vawc s: • wo'"'• LO.Alf 1171T TO CASJ A PER IL MBZZOGIOR.NO - RBYISED AIIORTIZATIOB SCH ElXJLS (After cancellation o! 11,600,000 on July 24, 1956) ReTieed Schedule 1 Original. Principal. Amount Payaente ot Pro-rata Pa711lent ot Ou.tatanding After Principal (ex- Canoell.a- Principal Bach Payment Date Payment Dile Jul.y 15, 1958 January 15, 1959 . -- . -- . --- . -- . - pressed in dollars) 1,000,000 1,000,000 Ka"turitiea Sol.d 1,000,000 1,000,000 Total. Unsold tiona (rounded) (expreaae4 in doll.ara)+ 1,000,000 1,000,000 (eapreaae4 in dollara)+ 168,400,000 67,400,000 66,400,000 July 15 , 195 9 1,000,000 1,000,000 1,000,000 65,400,000 January 15, 1960 July 15, 1960 1,000,000 1,000,000 1,000,000 1,000,000 -- 1,000,000 1,000,000 64,400,000 63,400,000 January 15, 1961 1,510,000 1,000,000 510,000 12,000 1,498,000 61,902,000 July 15 , 1961 January 15, 1962 1,546,000 1,583,000 - 1,546,000 1,583,000 39,000 40,000 1,507,000 1,543,000 60,395,000 58,852,000 July 15, 1962 1,620,000 1,620,000 41,000 1,579,000 57,273,000 January 15, 1963 ly 15, 1963 1,659,000 1,698,000 - 1,659,000 1,698,000 41,000 ,2,000 1,618,000 1,656,000 55,655,000 53,999,000 ~anuary 15, 1964 1,739,000 1,739,000 43,000 1,696,000 52,303,000 Jul.y 15, 1964 January 15, 1965 1,780,000 1,822,000 - 1,780,000 1,822,000 45,000 46,000 1,735,000 1,776,000 50,568,000 48,792,000 JUl.y 15, 1965 1,866,000 , ,a~,ooo 47,000 1,819,000 46,973,000 January 15, 1966 Jul.y 15, 1966 1,910,000 1,955,000 --- 1,910,000 1,955,000 48,000 49,000 1,862,000 1,906,000 45,111,000 43,205,000 January 15, 1967 '-.ru:1..7 15 , 196 7 2,002,000 2,049,000 -- - 1,001,000 2,049,000 50,000 51,000 1,952,000 1,998,000 41,253,000 39,255,000 January 15, 1968 2,098,000 2,098,000 52,000 2,046,000 37,209,000 Jul.7 15, 1968 2,148,000 2,148,000 54,000 2,094,000 35,115,000 January 15, 1969 2,199,000 2,199,000 55,000 2,144,000 32,971,000 Jul.y 15, 1969 2,251,000 2 , 251'Ja00() 56,000 2,195,000 l0,776,000 Jan~a17 15, 1970 ,• \y 15, 1970 2,304,000 2,359,000 - - 2,304,000· 2,359,000 58,000 59,000 2,246,000 2,300,000 28,530,000 26,230,000 • .auary 15, 1971 2,415,000 2,415,000 60,000 2,355,000 2),875,000 iTul.7 15, 1971 2,473,000 2,473~000 ,2,000 2,411,000 21,464,000 January 15, 1972 2,531,000 2,531,000 63,000 2,468,000 18,996,000 Jw.y 15, 1'972 Jatma17 15, 1!73 2,591,000 2,653,000 - - 2,591,000 2,653,000 65,000 66,000 2,526,000 2,587,000 16,470,000 1J,883,000 Jalx· 15._ _ 1.97l. ..! _ ·2.11,.QQO_ ~ - -- a.1si.ooo 68.AAA a.Efl,QQO . I.I, RJJ, 000 January 15, 1974 2,780,000 2,780,000 70,000 2,710,000 8,525,000 Jul.7 15, 1974 January 15, 1975 2,846,000 2,914,000 -- -- 2,846,000 2,914,000 71,000 73,000 2,775,000 2,841,000 5,750,000 2,909,000 Jlll.7 · 15, 1975 2.983.000 I 70,000,000 - 16,000,000. I 2.98).000 74.000 2,909,000 64,000,000 11,600,000 168,400,000 - ------------ ---------- ------······ ---------- ·····-····· + !o the extent that any part ot the Loan ia repayabl.e in a currency other than dol.lare (••• Loan Recul.ationa, Section J.02), the tigurea in th••• col.umna represent dollar equ1Talente. AC.RDDa AGREBDa Caaaa peril. ••zzogiorno Interaatimaal Bank tor Hecona 4 l)ey By_ _ _ _ _ _ _ _ _ __ lSy_ _ _. . _ _ ~ ~ - - - - - Authorized Representative Autbor1zed Rep s. R. Cope Director or Opera • Europe, Africa and uetralaaia /aa Dear Mr. Gullo : Tb~ll acknovledge receipt of your letter of August 21, 1956. Thank you very much for sending ua the statistical data for fiscal 1955/56. Mr. Rocco Gullo Vice PreeideJit Cassa per 11 M ezzogiorno Via Aniene 14 Rome , Italy FORM No. 26 ( 1. 50) INTERNATIONAL BANK FOR RECONSTRUCTION ANO DEVELOPMENT .. IN4:0MING WIRE DATE OF WIRE: AUGUST 23, 195f ROUTING TO: UMBRICKT, INTERNATIO ~ BANK FOR RECON- ACTION COPY TO MR. UMBRICEJT STRUCTION AND DEVELO MEl'l' FROM: l);I·OR\1ATION COPY TO Oc, od e d By -- - TEXT: I 5/12421 RIP'ERIMENTO LOG W4MA 3 CORRENTE LETI ERA 7 CORRENTE RINGRAZIANOO PFR INCLUSIONE POO ?FTTO GUSTA PET.ROLCHIMICA PR'-'.STITO 117IT ASSICORASI I NVIO LETTER! RELATIVE EMANJ AMENT! ACOOROO PRFSTITO ET TABELLA AMMORTAMENTO OULU> VICE PRFSIOENTE CASl.1EZ DUPL ICAT E FORM NO. 26 ( 1. 50) ''l INTERNATIONAL BANK FOR RECONSTRUCTION ANO OEVEL OPM ENT INCOMING WIBB DATE Of WIRE:AIJOUST 2), 1956 HOUI[ ING TO: COPY TO UlfBRICHT, INTERNATIONAL BANK FOR RLOON46 M t. UMBR! CJIT STRUCTION AND iJEVFJ,OPMmff l°\l·OR\IATION COPY TO FROM: u cc od e d By 1 TEXT: S/13184 RIP'BRIMENTO CABLOGRAMMA l (ooRRENTE RINJ A'1 IANOO P R ROVAZIOIE PROPOSTE OONTRATTO ISVEIMER SIL RISERVASI I NVIO ATTI STIP'JLA PE1 R RELATIVA ENTRATA VI30R.F: PRESTITO 117IT GULLO VICE PRF.SI DENTE CA.SMEZ • DUPL I CATE • • ~- ~''l JN D I A I Z Z O T ELEO RA,.ICO : C A S MEZ • ROM A CASSA P ER OPERE STRAORDINARIE D I PUBBLI CO IN T ER ESS E NELL' !TALIA M E RIDIONALE (C A S S A PER I L. M EZZOQ I ORNO ) Prol. N . 9S(FS/ as/ r703 2 Po siz . . 21 AG0.1956 Allego t1 ROMA ..... ............. .. TRANSLATI ON ~ .b ~ 8 ...... V IA A N IEN E . 14 Risposto o ........ c_ T &L. 848."420 • 28 • 27 • 28 • Z9 14/4/56 d e I............... ... . ... N OGGETTO, a:ti~:t.1c.a.l ....4ata on $t . Cass a a c tivity for ......................f 1s·1:ra1:····1·95·5/ 56 Mr. Si dney P. Wheelock Interna t i onal Bank for Reconstruc tion and Development 18 18 H Street, N. W . WASHINGTON 25 1 D.C . 0 c Dear Mr. Wheelock, • E ~~ J l ~ h to confirm the text of the cable p. have sent you 0 ~ • . 0 0 on .A.ugust 20, answering your request of August 14, which r eads as .. C foll .ows: {/ ::, wReference your cable augus t fourteenth stop amount Cassa c contra cts awarded includi ng privat e l and improvements one hundred "' 0 fifty billion lire gros s of bidding reduction one hundred thirtyfour billions net of bidding reduction s emicolon amou nt Cassa works completed including pr i vate land improvements eightytwo • billions semicolon Cassa financed l and r eform wo r ks completed .. "' ii. twentyfive billions plus ten bil lions for pur chas e of ma chinery vi fe r t .i l i z ers livestock technical economic financial assistance stop inve:s tments re aliz ed under Cassa progr amme provisionally estimated one hundred thirtyone bil lions plus t wentythree billi ons for fina1:icing industrial projects out of IBRD loa ns hotels touri s t p~om cJtion initia t i ve a gricultura l proau ce proces sing plants s top al l data refer to fi s ca l 195 5/56 s top best regards 11 0 To compl et e t h e above data I am encaos i ng a t able showing the lJreakdown, by s ector of interventi on, of the am ounts of the ~ 0 contr a ct awards and of the works completed dur ing the fis cal 1955/56 . § • l.._. ""' l I .. C) ;:; C) AMOA • S3M8A::> : 0::>1 .. AA0:9.J:IT OS:~ IAIOMI ' 3B83s=l:3TVI I 001..JSS u q IC 31s=IAVI I Cs=IOAs=ITa :3s=l::3qo s:1:3q AB B AO :3.JAVl01Cls=l:3M AI.JATI "...J...J:3VI ( OVIRO IE>O::S:S: 3 M ...II R3q Aa e A'o > eaer.oaA t s SE.0,'1\es\e'!I\80 siio9 VJ 1019 togsl!A .. A MOR jl,I 3 "1 !111,,1A AIV i1:0ITAil8'flAHT sld'so o otaoqeiH QC - es - t"s. • as - os.,...e•e ..J>T ill oc\.f) \.f\ t lsb no .sit s..b...... C.e.o.J:.t ..e.lt.eJ 8 , onJ~~o 'lol ~itlvlitos see.so ~c\ecer·· :rst'.)1:r.t1···· ................ xoolesrlW .. '3: "leob.t8 . '111 'lO':t xnsff isnoltsu'ls:toI tnsmqolsvscr b.as nolitos.ntanoosfl .W.H , tee~;t8 H 8t8t .o.cr ,cs HOT~~IH8AW , ~oolee.rfW . 'l.M 'lsecr 0 ::; y I,{' CD 3 0 "oi -:rose evs.d ~ eicf so erlt ':to it"x$;t ed:t m'l.t<.tnoo o;t .de~ 1 .. tg s e'l .do.t.dw t .f) t .t BlJ"SL.fA ':to :tee"ps'l. 'luo~ aoi'lewens ,os ;te.tf8uA ao .. 0 ae eb. 0 ::, :ewo.f.Iot .. C: seeaD :tnuoms qo:te rlitneet'luol te~us eldso 'l"o~ eons'l.elsRfl 5' be-ibouti s.oo e.tne.mevo·:i:qm.i: b.a.sl s;tsvl'lq ~(I4,:bSJlon.i: .bab'l.ewa ejos-iitaoo ,0 be'lbnurl sno ao.i:;toube'l ~nlbbla lo eeo~a e'l..i:I nolllld " t l l l .. 0 J .J> aeasr> .to.r.ro.ms no.Coo.tmee ool.to.ubs'l. , ;an.i:b.f>l:d lo ;tea enolllid' 'IJJ'o'r(.t'I.1:.d;t .. ~ = owit~.td~ .i:s e;tnemevo'lq.m.i: boal e.tsv 1:'l. q ~o.tbSJloal: .f>9;telqmoo ex'low ~ be.telqmoo e2l'low m'lols'1 bnsl bsons.oll seesO .ao!oolmee e.ao.tllld' .. a' .. ,0 "'l.so.trl!>Bm ":l:o sasrio'luq 'l.OI e.ao.i:ll.i:d oe.t e.u.r:q e.m:>.i:ll.t 1:J ,\.HJ ·:,11v 'L'-"IJ ; M :wt,; 1 ·,.,, r-;. ,.• • ,; ,\ ... ,,~,,n:i:.u er 0 ~ CASSA PER IL MEZZOGIORNO . Foglio n.............. 2 ..................... .. As to the data concerning the Cassa financed land reform works completed during the fiscal 1955/56 I want to make clear that such data refer to the works executed by the Land Reform Agencies operating in the South. As to the investments realiz ed in the fiscal 1955/56, it should be noted that the amount of 23 billion lire spent for credit operations in the industrial, · hotel and tourist promotion fields covers only the indus t rial projects financed out of IBRD f linds, investments for industrial projects financed by the tqree credit Institutes, ISVEIMER, IRFIS and CIS out of other Cassa funds. being therefore eecluded, as the pertinent data are not yet available from the above mentioned Institutes. With best regards. THE VICE PRESIDENT /s/ Avv. Rocco Gullo INOIAIZ.ZO TE.L~ORAP'ICO: CASMl!Z • ROMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE (CASSA PER IL M E Z Z OG I O R N O ) 1/31 !} 92 Prol. N. . Posiz.C S / ~ as/r7032 21 AG0.1958 Allegati ROMA .... . . VIA ANU!NE. 14 ! Risposta a .....:!ie. e g~a. . ~.m.~.. T c&... 840.420 • 2 8 • 27 • 28 • 2:9 del .......... .1.4/.e/.5.§ ... ~ OGGETTO : ~a~~ ...~~.~- ~:i.-..~.~-?,,Ci sull t atti- vi ta della Cas s a n~ll ' eser- ................ 00 ·0·i ·Z i o.... 1-9-5·5-56 Mr. Sidney P. Wheelock Internation8l Bank for Reconstruction and Development 1818 H Street, N.W. WASHINGTON 25, n.c. Egregio Mr. Wheelock, .. .2 C Le confermo il telegramma inviatole in data odierna in e 0 risposta alla Sua richieata telegrafica del 14 scorso. ~ • "Risposta telegr3lllma 14 agosto 1956. Ammontare lavori .. 0 0 C Cassa appaltati, compresi miglioramenti fondiari, 150 miliardi di :, lire al lordo ribasso d ' asta e 134 miliardi al netto, ammontare lavori Cassa ultimati , compresi miglioramenti fondiari, 82 miliar c "' 0 di di lire, opere riforma finanziate dalla Cassa, ultimate , 25 mi liardi di lire oltre a 10 miliardi spesi per acquisto macchine - concimi bestiame e assistenza tecnica economics e finanziaria. Investimenti effettuati per la realizzazione del programma Cassa .. "' stimabili intorno a 131 miliardi oltre a 23 miliar di di invest! • ii. menti per impianti industriali finanziati con prestiti BIRS, ini ;;; ziative alberghiere e turistiche e impianti di trasformazione dei prodotti agricoli. La stima degli investia enti e provvisoria . Tut ti i dati si riferiscono all ' anno finanziario 1955- 56" . - A completamento dei dati sui lavori appaltati e sui lavo ri ultimati nell 'esercizio finanziario 1955-56 Le invio la tavola- allegata contenente,il dettaglio per settore di intervento , delle cifre comunicateLe. .. 0 w 0 M ... CAS "" PER IL MEZZOGIORNO 2....... Foglio n.............. • In merito ai dati sulle opere della Riforma finanziate dalla Cassa e ultimate nell'esercizio 1955-56 Le chiarisco che t~ li dati si riferiscono alle opere eseguite dagli Enti di Riforma operanti nel Mezzogiorno. Circa gli investimenti realizzati nell'esercizio 1955-j6, si fa presente che nella cifra di 23 miliardi per investimenti e! fettuati per iniziative industriali turistiche ed alberghiere, sono compresi gli investimenti per i soli impianti industriali finanziati dalla BIRS, mentre sono esclusi gli investimenti per gli impianti industriali finanziati dai tre Istituti meridionali ISVEIMER, IRFIS e CIS, con fondi della Cassa, poiche non si posseggono 1 dati rel~ tivi, non ancora comunicati dai suddetti Istituti. IL VICE PRESIDENTE Avv. Rocco Gullo . IMPORTO DEI LAVORI APPALTATI E DEI LAVORI ULTIMATI NELL ' ESERCIZIO FINANZIARI O 1955- 56 (milioni di lire) : Im porto dei lavori appal tati compresa : I mporto dei l avo : SE'ITORI DI INTERVENTO : la quota a carico di terzi : ri ul tima ti com= : ''' al lordo del ribas :al netto del ribas:: presa l a quota a carico di terzi : I I so d' asta -: so d' asta - : ' I t t 'I '' t I : OPERE PUBBLICHE I I '' ' I ' I I I t I '' '' I t t t Bonifiche •• . . • . . • • ••• I I 50 . 230 I t 43 . 275 I 240966 I t t Bacini Montani ••• • • • ••• t I 7 . 175 I I 6. 751 ' I I 2. 562 I I I t t I Acquedotti e fognature • • • • • 't I 21 . 530 't 19 .. 084 ' I 8. 830 I t I Viabilita ordinaria • ••• 9. 606 't 7. 367 ' 12. 110 o • I t I I , Turismo • • • • • • • • • • • • 0 t t 4.416 'tt 3.843 I t 2. 001 t t : Opere Ferroviarie ••• • • • • • t t 16. 159 I 13. 321 I 8. 824 (a) I '' 't t ' t I '' T OT AL E . . . t t 109 . 116 t t 93 .. 641 59 . 293 t I ' OPERE DI COMPETENZA PRIVATA I I I t ''t ' I ' I Miglioramenti Fondiari • • • 39 .447 39.447 ''' I t t • • t 21. 264 Magazzi ni granari •• • •• o • • 1. 131 I 1. 131 1. 799 ' I I I t I '' I T OT AL E • • 0 40 . 578 (b ) 40.578 (b) t II 23.063 t '' C O MP L E S S 0 149 . 694 134. 219 82.356 I I ' t t t ========================================================= I (a) Gli i mporti si riferi scono a l otti di progetto e sono escluse l e forniture di materi ali. (b) Impor t o del l e opera ammesse a sussi dio . / go ..,. ."' l .J ........ --, •• -... ... . . -, ) .- .==: • 75 ~ , -....,J ~--- , !:? '1-:; _., -- .... !: : ·-'0 ;>" (n ;-l ~ - '- • ~ . ~~ ,-..r 0 - "-"' r < . -' ~ ....... ':i r- ·-~ r:1 ;.,. -~ -"' :z '" c;, i3 (.)1 en '· ~ J I \ • FORM NO. 26 ( 1. 50) INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT INCOMING WIRB DATE OF WIRE: AUGUST 21, 1956 0900 ROUTING TO: WHEELOCK INTERNATIONAL BANK FOR RE- ACTION COPY TO MR WHEELOCK CONSTRUCTION AND DEVELOPMENT FROM: ROME INFORMATION COPY TO Decoded By TEXT: L ,, 1/31806 RISPOSTA TELEGRAMMA 14 AGOSTO 1956 AMMONTARE LAVORI CASSA APPALTATI COMPRESI MIGLIORAMENTE FONDIARI ~ MILIARDI DI LIRE AL LORDO RIBASSO DASTA E ~ MILIARDI AL NETTO.AMMONTARE LAVORI CASSA ULTIMATI COMPRESI MIGLIORAMENTI FONDIARI 82 MILIARDI DI LIREj OPERE RIFORMA FINANZIATE DALLA CASSA ULTIMATE 25 MILIARDI DI LIRE OLTRE A 10 MILIARDI SPESI PER ACQUISTO MACCHINE CONCIMI BESTIAME E ASSISTENZA TECNICA ECONOMICA E FINANZIARIA.INVESTIMENTI EFFETTUATI PER LA REALIZZAZIONE DEL PROGRAMMA CASSA STIMABILI INTORNO AT 131 MILIARDI OLTRE A 23 MILIARDI DI INVESTIMENTI PER IMPIANTI INDUSTRIALI FINANZIATI CON PRESTITI BIRS INIZIATIVE ALBERGHIERE E TURISTICHE E INPIANTI DI TRASFORMAZIONE DEI PRODOTTI AGRICOLI LA STIMA DEGLI INVESTIMENTI E PROVVISORIA TUTTI I DATI SI RIFERISCONO ALLANNO FINANZIARIO 1955/56 CON I MIGLIORI SALUTI GUI.LO VICE PRESIDENTE CASMEZ ORIGINAL FORM NO. 26 ( 1. 50) INTERNATIONAL BANK FOR RECONSTRU TION ANO DEVELOPMENT • INCOMING WIRB DATE OF WIRE: AUGUST 18, 1956 ROUTI NG TO: WHEELOCK, INTERNATIONAL BANK FOR RECON- ACTION COPY TO MR. STRUCTION AND DEVELOPMENT FROM: INFORMATION COPY TO ROME Dec oded By TEXT : 1/31675 PRESIDENT PESCATORE ABSENT FROM RO WILL BE BACK END MONTH. WE ASSURE FULFILMENT OF CONTENT YOUR CABLE AU" ST SIXTEENTH ~ " ' GULLO PRESIDENT CASMEZ ORIG IN A The Wor1d Bank Group Record Ren,oval Notice Archives & Records Management File Title Barcode No. Power Agriculture and Industry Project - General Development - Italy - Loan 0117 - P037415 - Administration - Volume 3 1854115 Document Date Document Type August 16, 1956 Letter Correspondents / Participants To: L. Perez From: Walter C.P. Rutland Subject / Title Cancellation $1.6 million - Loan 117 Italy Exception(s) Attorney-Client Privilege Additional Comments The item(s) identified above has/have been removed in accordance with The World Bank Policy on Access to Information or other disclosure policies of the World Bank Group. Withdrawn by Date Vlada Alekankina November 26, 2018 Archives 01 (March 2017) ar. Walter o. P. Jlutlan4 Aug. 16, 1956 E. I. Clark Loan 117 IT - Cancellation ot tl.6 a1.ll1cm - Fal"INC11 Project // I have read the memor andua dated August 9, 19S6 troa Ir. Pens concerning the COllllitaent oharp on the .1.6 Jlillion which was can- oellec.t f'roa the above Loan in respect ot the Panedi Project. Since the Loan Agreement ne-ver becaae ettecti'ft w1 th respect, to the Faraedi Project or the $1.6 llillion which was set forth 1n Schedule 4 opposite that Project, it seeu quite clear to ae that we cannot charge or collect a couitaent charge tor arr:r period CJD this uount. To do otherdse would be inconsistent with our long standing practice ot not charging collllitment charge on our book• until a loan has become ettective. Section 9.03 ot the Loan Regulations as aended b;r SChedule 3 provides that the Loan and Ouarantee Agreements •shall ccae into force and etteot in respect of' each h"oject and the uount ot tlMt Loan set t'orth opposite such Project 1n Sahedule 4 of' the Loan Agree- ment at the times and in the aanner provided 1n Article mI ot the Loan Agreeaent". The requirements ot Article VIll were ne'fer aat1s• fied in respect or this Project am this aaount ot the Loan. It is true that the tena "Etfectiw Date• is defined in para- graph 16 ot Section 10.01 ot the Loan Regulationa, as amended b., Schedule 3, to be the date when the l,oan Agreement shall f'irat be- coae effective 1n respect ot any Project. HoweTer, the definition ot "Effective Date• was included onl7 for purposes ot paragraph (1) of Section s.02 ot the Loan Regulations and the tera is not used 1n Section 2.02 ot the Loan Regulations as aaen4ed b;r Schedule 3 or 1n Section 2. 03 ot the Loan Agreeaent. In additicn the second sentence ot Section 2.02 ot the J.oan Regnlations as set f'orih 1n (a) ot Schedule 3 clearly conteaplatee dif'ferent ettectiw dates in respect ot differ- ent parts ot the toe:il. eeclark/ amr 8/ 16/ 56 FORM No. 27 INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT (8. 55) OUTG OING WIBE CLASS OF SERVICE: NLT DA T E: August 14, 1956 TO: PESCATORE CASMEZ ROME COUNTRY ( ITALY TEXT: Cable No. PLEASE CABLE AMOUNTS CASSA CONTRACTS AWARDED COMMA CASSA WORKS COMPLETED ORKS COMPLETED COMMA INVESTMENTS ACTU AND CASSA FINANCED LAND REFORM W ALLY REALIZED UNDER CASSA PROORAM STOP ALL DATA FOR FISCAL 1955/56 BEST RIDAR.00 WHEELOCK INTBAFRAD ,/ Signed: AUTHORIZED BY: ~ NAME: Vo Umbricht For Use bv Archives Division DEPT: Operations, EAA Checked for Dispatch SIGNATURE: MRoss:mc ORIGINAL (File Copy) (IMPORTANT: See over for guide in preparing Outgoing Wire) • ~ t GUIDE FOR PREP ARING OUTGOING WIRES 1. Class of Service Type in class of service desired. Each class is described as follows: Letter Telegram Letter telegrams are normally delivered the morning after day of despatch. The cost is half the cost of full rate messages with a minumum charge for 22 words including address and text. Full Rate Full rate messages are nonnally transmitted and delivered immediately. There is a minimum charge for 5 words, including address and text. IBF Govt. This is a preferential rate extended to the Bank by some of its member countries. Messages are sent at full rate speed and at about half the cost. This rate normally should be used whenever available. It is at present available for tbe following countries: Bolivia Cuba Guatemala • Peru Brazil Dominican Republic Honduras • Syria Burma Ecuador Jordan Uruguay Chile El Salvador • Lebanon Venezuela • China • Ethiopia Nicaragua Yugoslavia Colombia • France Pakistan Costa Rica Greece Panama * In these countries the letter telegram race is lower than IBF government rate and should be used for messages when immediate transmission is not required. Code Code messages are transmitted at full rate (or IBF Gove.) speed and cost. This rate should be used only for confidential messages to staff members having a code with them. Day Letter Day l etters are delivered during the day of transmission and should be used only for messages in the United States and to Mexico and Canada. There is a minimum charge for 50 words in text. Teletype To be used only for messages to the New York Office, United Nations, and certain commercial firms. For information, call Cable Pose ( Ext. 2008). 2. Address Use only last name of addressee and cable address whenever possible. The Bank cable address "INTBAFRAD" is re~istered in Paris, Beirut, Rio de Janeiro, Bogota, and Guatemala City. The name of the country of destination must always be added. (No charge is made for the name of a country). 3. Text Messages to Bank Missions and to Resident Representatives should be numbered. These numbers may be obtained by calling Ext. 2008. Type text in capital letters and double space between lines. The text should be edited to elirrinate unnecessary words and unnecessary punctuation. If punctuation is needed, spell out the words "Comma,• "Stop," etc. ~ Use common abbreviations whenever possible, i.e. reourlet, reurfive, etc. \t'rite as one word hyphe ~ ed r, . .~ 0 wo.rds, hyphenated names, and certain two-word groups, e. g. A1r ma1l, Newyork, enduse. ;;;;: 4. Signature ·- - .:E 7":• Type in last name of sender. Use INTBAFRAD as part of the signature only when addressee d o4l not :,, !> 0 ... - .. i know the address of the sender. -lL ~ :z., ;-,. C;:) -,: ...... ;: 5. Authorization , ,- .,. Type in name and department of staff membe r authorizin g messa ge and have authorizing staf@ mber sign the original (pink copy). A list of authorized signatures is kept in the cable office. ,.,_ l:l'- ;:::, _.; :r- L . ,,.,. ;,,., Forward messages in triplicate in a cable envelope co Room 210 for despatch. The cable service~s open from 9:00 a.m. to 5:4 5 p.m. on working days. Special arran gements should be made for the despatch of of cables outside of these hours. ANY QUESTIONS REGARDING INCOMING AND OUTGOING WIRES SHOULD BE REFERRED TO THE CABLE POST, EXT. 2008. n;51 Ud ?! S VI ~Ill '13tdtJ OtfV 'LSH00.::11, u· ,, • v11't-J ·1"1•;c,11 vm·:: t) J/113:>JH FILE COPY Kr. R. G. Batesoa .AJl«Us\ 13. 1956 Val\er C. P. lbltlaad te Loan 117 It - Cancellation of fl.6 alllioa ~ C\lSb v' I aa attaching hereto a memorand'lla from Mr. L. Peres, Chief ot our Loan Section r el a tinc to Ille aboTe cancellation. In Yiev of the fact that the portion cancell ed va• nenr 11ade effectiTe, would 70• please adTite me whether it i e appropria te for ua to eb&rge the borrower comi t•ent charge from August 2 , 1935 to Jul7 25. 1956. Mr thanks in anUc1pat1 oa. - AU. Mr. Ramm Mr. Bateson Mr. Rutland. ( 2 ) Mr. Perez WCPRutla.nd/fr. • .. !ugut 10, US6 Professor Gabriele Pescatore, President Casea peril Mezsogiorno Via ! n1ene 14 ROJ!l8, I ~ Dear Proressor Pescatores Thank you f or your letter or August 6, concerning the reporta on the progre1, ot the induatrial projects co?ered under Loan Ho. ll7 IT. • We agree With your suggestion that September 30, 1956 •hould be the end o! the period to be covered by the first report. With beet regard.a, Very tru.q your•, W al!r.;rm!Jtror,g Aeststant-C~,: • i:!!tu.ir,. Division Department of Technical Operations WJArmstrong:ejw ... FKLE COPY Mr. •alter C. P . RuUand L. Y. Peres Loan 117 ltal7 - Cancellation On Jul7 24, 1956the Bank cancelled $1,600,000 ot eubJect loan. fhis amount, r epresenting the J'armedi PharnaceuUcal Project, had not 7et been made •ef !eetiYe•. Jpparentl7, this cancellation extingu11hee the Bank 's r ight t o commitaent charge on $1 ,6oo,OOO from August 2, 1955, notvlthetandiig the fact that the Bank has s too d coI:UDitted t o disburse this aua for the elapsed period, aubJect onl7 to its being made •effective• . !he •:stfect1Te late• is defined in the Amendaent s to the Loan Re("U.- l ationa a • the date when the Loan Agr eement first become• effectiTe in respect of azq- ProJect. !hia would make the effective date of the loan Augnst 3, 1955. Section 2.02 of t he Loan Agreement proTides that the Loan Account ehall be credited (preswaabl;r on the 'Effective Date• ) vith the uount of the loan, naael7 $70,000,000. ~ • matter vd rahed when the first ProJect ($50 , 000,000 ) was made 1 effect1•e• on A.ugu.st 3, 1955. At that time 1 t vaa decided ~ credit the 14an Account vi th onl7 $50,000,000 and to leave the b ~lance of $20,000,000 in a •not eftecti•e• status. (An alternative entr;v would haTe been to credi\ $70, 000,000 to the Loan Account, of "blch $50.000,000 would have been aYailable tor withdrawal and $20,000 ,000 not available for wi ~draval.) Oontra1'7 to the •DeTelopaent Bank• type of loan. the portion not avail- able for withdrawal ("not effective•) would neYertheleea be subject to commitment char ge fro• August 2, 19.>5. It has been our pr a ctice not ~ 'book• the accrued Co.mm! taent charges until the "ef fecti•• date" and there- fore no charge has yet been made on the $1.600,000. RoweTer, if thia $1,600,000 had been made ettectiTe , a nd subsequentl7 cancelled, the colll!llit- ment charge would unq_uestionabl7 have been earned. The question ia: does the fact that t he :Bank has s t ood committed to loan thh eua enU tle the Bank to the comat. t ment charge for the p eriod f r om August 2, 19.>5 to Jul.7 25, l956t !he sua i n-vol'f'ed ie approxiaatel.7 $12 ,000. LVPerez/fr. cc. Mr. Raam Mr. Bateson JH-, Rv.ilcwl(2, Mr. Perez Cua per . i l ' szor;lomo Via An1ene 14 Rome ItaJT Rea Loan • U7 If OentJ.cona /lmovled.ge receipt, JulT 2h, 19 , of JOU19 lettor dated JulT 21.,!;,.9,;6 in 1cb 1'0l1 nque,rt th~t 1 c I of Schedale 2 am item C I of Schedule h to the Loan t be'hean UI dated June 1, 19S5 (Loan • 117 IT) be cancollec1 and tll1&t the aount cf the lom pl'OVided tor iD au.ch Loan Apieement be ced b7 ,600,ooo. In accordance With your lotter, 1,600,000 ot the loan eount of 70,000,000 under t.he &bow Loan I baa cancelled er t ctive ~ a, l9S6. W. an onclosJ.na herewith a table g the application oL the cancellation to th :turities of the Lo i and the l'GSUlts.ng rev1sed anort1gat1on achedtile ( Schedule 1) . You •rill note that, in accordance s.os vi.th tne prov1B1ona or Section to the Loan, t.he CallOOllatlOD bu been turitles o£ tbe Loan c 1n Jamar, ed , l m of th Loan Reotlationa applicable rata to the unsold .-We pro rat& lttOUJ1t or th cancellation .applicable to tilch aioh :turlt;y hubeen rounded to tho ne&t'Ut ,ooo, except in maturlv Wlun.. the CIK>UJlt vu 1"0l1Dded to cue of the firat • oat lower ,ooo. Will yoa contim ygu.r It with the revi eel rtization GChedule by sil¢1n8 and retuni1.na to u encloso4 dllplicate cow ot the table. I I f. d. V• Umbr1.ch\ Director or Operat.1.ona Africa am Aa.ietral aw Enelomre cci W orking P&rt7 Mr . Rutland RGBatesona ens ~ August 8, 19.$6 -r (! ,.,, IDAl U7 IT 'tO CASSA IL OOroml> • VI IZATIO SCHEDULS (Atter cancellation ol 1 6001 000 Oil J ~ 21,, 1.9S6) otal Unao14 - - - - - 1,000,000 1,cx,o.,000 - - 1,000,000 1,000,000 1,000,000 - - - 1,000.,000 - - - - - - - - - - -- - - - - - - - - - - - - - - - - 000,000 To tbe thd an, part of th.a Loan ie • 1D a ~ otba Loan Re t.iona11 t1o 3.02), the N.GQne in thue oolumna "1'NN:nt August 7, 1956 Dear Professor Pescatore: v I acknowledg,e with thanks your letter of .\ ugust 2, regard- ing the financing of the Pugliese project under Loan 117- IT. We shall study th19 Pugliese proposal and write to you again as soon as possible . . With best reitards , Yours~~erely, k,~v . S . 'Y. Wheel ock Professor Gabriel e1 Pescatore/J. President Cassa per il Mezzogi orno / ,, J / J/7. l &n/lld,t{,~ ~ Via Aniene 14 //;:;J Rome , Italy I' SPWheelock: vmc August 7, 1956 Proteaaor Oabri•i. Peacatore P.re11dent Catsa per 11 easogiorno Via Alli•»-, 14 Roice, Italy •• LoaD ll7 TT - Au,uta Petrolcb1111ca Dear Proteaaor Peaeatoret V Thia letter vill oontina 111' cable of A.ugu1\ 3rd to th• Caasa per 11· 11.es1ogiorno vhich read aa tollovaa "AM PLEASED TO INFO:RM YOU BAil PREPAllED I LUDK AUGOSTA rE'lROLCHIMICA PP.OJtCT UNDER LOAN 11'7- rr ran AMOUNr rotJR MILLI ON Tiffi£! HlJBt>RED llOBTI-FOUR TffOtJSAND OOLLA.tiS STOP LETTER SUGGESTINC PROCU,URE FOLLOWS ." In order to eff ect the allocation to the A uauat,a r etrol- chialca Projeot ot the unallocated oount of 4,J84,000 Wider Loan 117-IT, it will be n.c.011117 for the C a1aa to t o ~ reque1t the Bank'• agr eut to the required chana•• in Scbed- ul•• 2 am 4 of th• Loan ~e-.ent. I • enolodq a pl"OJ)Oeed draft l•tter tna the o,aea to the 9~ vhieh voul.4 ~ appropr iate for thia purpose. You vill note that the 4raft, letter t.akea into account the previoue cancellation~ the PARJl!EDI Projeo\ ancS the dropping out ot th• SFAS atd 1-~AllITEX Projeota, all or llhich vere or1g1nall7 inolmed in the Loan A ar...ent. Thia ha• reaw.ted.1n remabuing the paragn.pha relatllic to the llCAT, SIL, SICUWOTO and CDt NTERIE SICTLIAIE Project.a, which reu.in otherviee l1Mhanaed . 1ou will alao note that the penultiu.te pa.. o aph 1• deaigMd to •wid anr queat1on vht.oh llight othend•• arise becauae ot the prob- able duration of the conatruoUon period. tor Augata Petrolch1111oa b4ty'obi the Clo•iq Date apeoitied in tbe loan Agr. . .ent. -2- The result ot th••• change• 1•, ot cour••, to reduce the total noun\ or the loan tl'Cll l?0,000,000 to '68,400,000 vith a comsequ~ change in the uortih.tion table in Sohedule l to the Loan Aarecent. The Treaaurer'• Depar ent. haa in course of preparation a mw a:aortisation table vhioh llill be sent to 7012 •• soon aa it ia aftilable. Sincerely 7oura, /(, v. U.brich\ A••i•tant Director of Operatlone Europe, Africa and u&traluia cloaur• /Juea Per U Mezzogiorno Lettemeas' Lfiati/ International Bank for Reconatruot1on and DeYelopu.ent 1818 B Street, I . W. Wuhington 2S, D. C. OentleMJU Pursuant to Section .). 01 (b) ot the Loan .lgreeunt betveen undated June 1, 19.55 (Loan bber 117 IT) , whereby' request ;J011r acr-emm•t to the foll.ov1nc amenmenta to Schedllle 2 and Schedule la to Aid J.g1"1a.nent, nan~• (a) that all of part O of Schedule 21 ent1Ued •11mUSm.tL JPROJEOTS•, be deleted and there be subatituted there.tor a new part O •• tollovaa •o. I NDOSTRUL PROJECTS •I. SitrlAT fertillier Project • 1h1a Project conaiate ot a fertiliser plant at Mel11li- Auguata, to be conatructed, owned. an4 operated by SI?CA'l', Sooieti. I nduetriale Catan•.., S.p.A. , with an initial capaoity ot 100,000 tona per 7ear ot cm.pound tertilisen. •n. SIL Paper Mill Project Thia Project corud.ate of a paper aUl mar AftlHID01 to be oonatl'Ucted, oVNM! and operated b)' SIL, Soe1e1ia Id.roel ettrica L1r1, to produce about 6, 000 tona ail mva- print, 6, 000 toms of magazine p ~, 7 ,ooo to111 dlt aediua grade paper and 4,000 tona of tine paper per yeai•. 'l'he plant will haft a groundllood aill, producing 12, CIOO tona of wood pl1lp per year, and a etrav pup Jaill., pro,cticinc 6, 000 tona ot bleached sulphite pw.p per year. 1'1• equipaent ot the plant will include an eleotroq1sia plant tor the production of canatic aoda and chlorine, and a •all therul plant producing proeeae ate• and 1•art of the required power. !be Project w.Ul aleo 1nolu41e an uiating bJ'dro-electric plant 01fDlld b7 SIL. - 2 - •m. SICULAZOTO J'ertiliser Project Thia Project coruriata o~ a f ertillser plant at Catania, to be constructed, ovned and operated b.r SICULAZOTO, s.p.J.., vith an initial capacity of about 50,000 metric tona per year or compound fertilizer and about 3,000 tona of l'LOT!.L, and facilities for producing the neoeesar.r ammonia and sulphur1o acid. •iv. CIMENT.ERIB SICILliD Cement Plant Project 1'hia Project consiete of a dry'- prooeea cement plant at Isola delle Fecmdne, near Palermo, to be conatructed, owned and operated b7 S.p.A. C ~!INTIRIB SIOILIANI, with a capacity of about l.30,000 tona of cement per year. •v. J.ULCHIMICA Fertiliser Project 1h1a Project consist• of a fertiliser plant near Mellili- J.ugusta, to be constructed, owned and operated by .iu£Ueta Petrolchimica, s.p. A,, with a capacity of about 6.3, SOO tons per year or ammonium aulphate. • ( b) that all of part O of Schedule 4, entitled •Industrial Project•", be deleted and there be subatituted there.tor a new part C ae f ollowas •c. Induatr1.al Projects l . SINOAT Fertiliser Plant• •••• •••• •••••••• ,,760,000 2. SIL Paper Kill •••••••••••••••• •• •••••••• 4,160,000 3. SICULAZOTO J'ertilieer Plant ••••••••••••• 2,400,000 ,. 4. CIMEMTERii SICILIAN& Cement Plant ••• •••• 1,696,000 J.UCJUS?A PETROLCHIMICA Fertiliser Plant• • h,384,ooo• In view ot the expected conatruction period tor the Augusta Petrolchimica Fertilizer Project, ve also hereb;r request that, subject to the terma and pro- viaiona ot said Loan Agreement, 7our Bank act 1n reepeot ot the Aug11sta Petrolohimica Fertiliser Project and the amount ..t forth opposite such Project 1n Schednl.e 4 (u ao amended) of said Loan .Agreement as it the Closing Date had been specified u December 31, 19$8, instead ot June 30, l9SB. • - .3 - Will you lc:1ndly' aignU'y )"Oll1' agreement vi th the tore going amendment a to Schedule 2 and 8ohedul.e 4 t.o aaid Loan Agreement and with the requea\ contatn.d in the illll'llediatel.7 preceding paragraph of this letter by signing and returning to u1 the enclosed duplicate COJ!T of thi• letter. Youre very truly', !JllE PRESIDENT CONFIBM!Dt INTERNATIONAL B"1fK FOR RECONSTRl'.JCTIOI !HD DEVELOPMENT • JNOIRIZZO TELEGRAf'I CO : CA9M EZ • ROMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE (CASSA PER IL. MEZZOGIORNO ) TRANSLATION Prot. N ........................ Posiz. J?.~~.~. Allegoli ........................ To the attention of Mr.Armstrong RoMA .. ... ~ ~ 1...\J~~t. . .. ... Risposto a ................................................ . VIA ANIENE. f 4 TCL, 849,420 • 28 • 27 " 2 8 • 29 del ............................................... N ..................... OGGETTO: ..................................................... International Bank for Reconstru.ction and Development 1818 H Street, N.W. Washington 25, D.C. Gentlemen: 0 c ., Subject: Third IBRD Loan No.117 IT - Periodical physical E 0 progress report on Industrial Projects ~ .. ~ 0 2 We have received the letter dated July 11th on C :, ~ the periodical physical progress reports to be prepared by the l beneficiaries of the Loan 117/IT funds earm~rked for industrial .!! c OI 0 projects. Following Cassa instructions Regional Institutes will provide for the collection of said reports • .. .. OI ci. If t he Bank agrees, the Cassa would advise the .;; date of September 30th, 1956 rather than June 30th, as the ending date for the first quarterly report. In such case, said reports would cover the period between the date of the loan contract between Institutes and the beneficiaries and Sept.30th, 1956 Sincerely yours, THE PRESIDENT /s/ Pescato re ~ \ \~ \) \\ "' \, AMOPI • S»MaA:> : o:>,.. 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I ://JV M .., :: INOIRIZZO T~LEGR A r tco: C A .SMEZ • ~ OMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' ITALIA MERIDIONALE ( CASSA PER IL. M EZZOG IORNO ) 1~ 3 01 2, 1 Prot. N. . ?.{......... . ... Posiz . ....B.Ji.1 /l~ Allegoti ...................... . ' 6AGO. 19..i6 Alla cortese attenzione ROMA ............ ................. ... ..... ............................. . Risposta a .................................................... V IA ANIENE. 14 di ?~r . Armstrong T'&L.• 849.420 ~ 26 • 2 7 • 28 • 29 del ............................................... N .................. . oGGEno, Prestito 117/IT. Rapporti ~ )eri o :n 5 -·t !'T1 ~ Cl 0 o .. Ln ) 0 C .. < ::r CGLGJ J. J d , 1"1 ;):> -=· .... l 0 :::3: ~ ·~ -- m m7 r ,· r, c:;;, : L 0 J G :r r :f. l CG c•a2'1 bE~ rr INl:SSOGIIOUl-10 I N DUIIZ ZO TaLaGRAll'ICO l CAeMaz . flOMA CASSA PER OPERE STRAORDINARIE DI PUBBLICO INTERESSE NELL' !TALIA MERIDIONALE ( C A S S A P E R I L M E Z Z O