02:15 PM EDT, 05/08/2024 (MT Newswires) -- Pampa Energia ( PAM ) and Central Puerto ( CEPU ) are leading efforts to renegotiate the terms of a debt settlement offered by the Argentine government, Bloomberg reported Wednesday.

The country's privately run power producers, led by the two companies, plan to reject the existing offer to settle $2 billion in debt that the government began accumulating late last year, Pampa Chief Executive Gustavo Mariani reportedly said during an earnings call.

The government's offer is made of a sovereign bond that is trading at about 50 cents on the dollar and matures in 2038, the report said.

Mariani reportedly believes the sides can reach an agreement but insisted that power producers won't budge on their demand that the government not rack up any more debt.

Pampa Energia ( PAM ) and Central Puerto ( CEPU ) did not immediately respond to requests for comment from MT Newswires.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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