ELECTRIC ENERGIA Decree 1694/94 Adjudicate a percentage of the Diamante S.A. Hydroelectric Power Supply Package to Inversora Diamante S.A.

Bs. As., 23/9/94

VISTO Issue No. 750.206/94 of the SECRETARIAT of ENERGY of the MINISTERY OF ECONOMY AND ARTWS AND PUBLIC SERVICES, by which it processes the process of privatization of the hydroelectric generation activity by WATER AND ENERGY SOCIEDAD OF THE STATE, in the course of execution under the provisions of Decree No. 22

CONSIDERING:

That by Resolution of the MINISTERY OF ECONOMY AND PUBLIC SERVICES No. 140 of 26 January 1994 approved the International Public Competition for the sale of the CINCUENTA AND NEW FOR SCIENTI (59 %) of the HIDROELECTRICA DIAMANTE SOCIEDAD ANONIMA (HIDROELECTRICA DIAMANTE S. A.) shareholder and proceeded to the respective call.

That the conduct of the bidding process was carried out by the PRIVATIZADOR COMMITTEE, which in such a way prevented the offer presented by INVERSORA DIAMANTE SOCIEDAD ANONIMA, composed by E. D. F. INTERNATIONAL SOCIEDAD ANONIMA, BANCO DE GALICIA and BUENOS AIRES SOCIEDAD ANONIMA and NUCLEAMIENTO INVERSOR SOCIEDAD ANONIMA, by the CINCUENTA AND NUEVE BY CIENTO (59 %) of the HIDROELECTRICA DIAMANTE SOCIEDAD ANONIMA (HIDROELECTRICAN).

That the SECRETARIAT OF ENERGY of the MINISTERY OF ECONOMY AND ARTWS AND PUBLIC SERVICES through Resolution No. 152 of 26 May 1994, in use of the powers that be delegated by Article 12 of the aforementioned Decree No. 2259/93, transferred to HIDROELECTRICA DIAMANTE SOCIEDAD ANONIMA (HIDROELECTRIC)

That, as a result, the relevant Transfer Agreement was signed on 11 May 1994.

That, therefore, it is necessary to dictate the relevant act in order to enable the taking of possession, by the private operator, of the Hydroelectric Seizures of the DIAMANTE RIO System, in the terms of the Concession Contract granted to HIDROELECTRICA DIAMANTE SOCIEDAD ANONIMA (HIDROELECTRICA DIAMANTE S. A.).

That the NATIONAL EXECUTIVE POWER is entitled to the dictation of this act by virtue of the powers conferred by Chapter II of Act No. 23,696 and article 99 (1) of the NATIONAL CONSTITUTION.

Therefore,

THE PRESIDENT OF THE ARGENTINA NATION

RIGHT:

Article 1 . Adjudge the CINCUENTA AND NEW FOR SCIENTI (59 %) of the HIDROELECTRICA DIAMANTE SOCIEDAD ANONIMA (HIDROELECTRICA DIAMANTE S. A.) shares Class "A" and "B", INVERSORA DIAMANTE SOCIEDAD ANONIMA, composed by E. D. F. INTERNATIONAL SOCIEDAD ANONIMA, BANCO DE GALICIA and BUENOS AIRES SOCIEDAD ANONIMA and NUCLEAMIENTO INVERSOR SOCIEDAD ANONIMA.

Art. 2o APPRECIATION OF THE ACTIVITIES, INCLUDING THE EXTRACTING PARTY (51 %) and "B" represented by the OCHO.

Art. 3o todos Please fill in all the documentary, legal and accounting requirements set out in the Resolution of the General INSPECTION OF JUSTICE No. 6 of 24 December 1980, regarding the registration of the increase in capital carried out by HIDROELECTRICA DIAMANTE SOCIEDAD ANONIMA (HIDROELECTRICA DIAMANTE S. A.), in the terms of the Resolution of the SECRETARIAT OF ENERGIA No. 152 of 26 May 1994.

Art. 4o . Send to the General INSPECTION OF JUSTICE the immediate registration of the increase of share capital referred to in the preceding article.

Art. 5o . Instruct all the agencies that form part of the National Public Sector, in the terms defined in Article 1 of Law No. 23.696, to implement the measures necessary, within the scope of their respective competence, to give immediate application to the provisions of this decree.

Art. 6th . Notify INVERSORA DIAMANTE SOCIEDAD ANONIMA, composed by E. D. F. INTERNATIONAL SOCIEDAD ANONIMA, BANCO DE GALICIA and BUENOS AIRES SOCIEDAD ANONIMA and NUCLEAMIENTO INVERSOR SOCIEDAD ANONIMA.

Art. 7o . Communicate, publish, give to the National Directorate of the Official Register and archvese. . MENEM. . Domingo F. Cavallo.

NOTE: This Decree is published without Annexes. Unpublished documentation can be consulted at the Central Headquarters of this National Directorate (Suipacha 767 . Capital Federal).