UPDATE 1-Ram Power sees $216 mln debt financing from IFC

* Says executes mandate letter with IFC

* Seeks debt financing for Nicaragua geothermal project

* Says IFC to lend up to $40 mln, arrange rest

Nov 17 (Reuters) - Renewable energy company Ram Power Corp (RPG.TO) said the World Bank's International Finance Corporation (IFC) has proposed to arrange $216 million in debt financing for the company's 72 megawatt geothermal project in Nicaragua.

Under the non-binding terms of a mandate letter, IFC proposed to lend up to $40 million and arrange for the balance on a syndicated basis, Ram Power said in a statement.

IFC has also indicated that it may consider providing an additional $20 million in mezzanine debt or possible equity to the project, Ram Power said.

Mezzanine debt comes with a fixed interest rate and warrants tied to a company's equity.

Ram Power expects to complete construction and commissioning of the full 72 MW San Jacinto Tizate facilities by 2011, it said.

Shares of the company closed at C$3.19 Tuesday on the Toronto Stock Exchange. (Reporting by Koustav Samanta in Bangalore; Editing by Unnikrishnan Nair)