Pampa Holding S.A. Today Announces the Closing of a Financing Agreement of Up to US$80 Million for the 178MW Capacity Expansion of Central Termica Loma de la Lata S.A

BUENOS AIRES, Argentina, June 24 /PRNewswire-FirstCall/ -- Pampa Holding S.A. today announces the closing of the financing agreements entered into by Central Termica Loma de la Lata S.A. Said agreements contemplate commitments to grant 5 year loans to Central Termica Loma de la Lata S.A. for up to US$80 million, which will accrue interest at LIBOR rate plus a margin of between 4.75% and 5.50%. The funds obtained will be used to finance its 178MW capacity expansion project, which requires an approximate total investment of US$205 million.

The financing agreements contain, among others, the following guarantees: an irrevocable unconditional guarantee by Pampa Holding S.A.; a first priority pledge on the shares of Central Termica Loma de la Lata S.A.; and the fiduciary assignment of certain rights of Central Termica Loma de la Lata S.A., such as electricity sales contracts for the additional 178MW generation capacity.

The financing was jointly arranged by ABN AMRO Bank N.V. and Standard Bank, Plc., and shows the confidence of the international financial system in our company's projects.

CONTACT: Mariano Batistella, Capital Markets, +011-5411-4510-9500, mbatistella@pampaholding.com

Web site: http://www.pampaholding.com/

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