EDB Chairman Met with Kazakh Prime-Minister to Discuss Construction of New Wagon Works in Kazakhstan

Moscow, 12 December 2008. Karim Masimov, Prime Minister of Kazakhstan, arrived in Moscow to attend a meeting of the Inter-state Council of the Eurasian Economic Community (EurAsEC), and met with Aleksandr Nesis, President of ICT Group, and Igor Finogenov, Chairman of the EDB Executive Board.

The parties discussed some issues relating to a project to construct a new wagon works in Kazakhstan.

As is known, on 30 October 2008 in Astana, the ICT Group, the National Company Kazakhstan Temir Zholy, the Development Bank of Kazakhstan and the Eurasian Development Bank executed a Memorandum on Co-operation in the Construction of a Wagon Works in Kazakhstan.

Particularly, ICT and Kazakhstan Temir Zholy will consider establishing a joint venture on a parity basis to manufacture wagons in Kazakhstan, and the EBD and the Development Bank of Kazakhstan will consider acting as lead managers under this project.

The new works will have a design capacity of 5,000 wagons a year. Investments in the project will exceed $200 million. The new works will manufacture wagons of three types: gondolas, hoppers and flat wagons. It is envisaged that the works will assemble trucks and new generation wagons from spare parts to be supplied by the Tikhvin Wagon Works.