EDB to finance modernisation of the Magadan port
Almaty, 3 April 2014. Eurasian Development Bank (EDB) and Magadan Commercial Seaport OJSC signed today an 11-year loan agreement, under which the Bank will provide €9.95 million to finance the replacement of outdated port equipment. The funds will be used to purchase gantry cranes produced by Liebherr. The total cost of the port modernisation project exceeds US $30 million.
The renewal of equipment will make it possible to speed up handling operations and increase cargo turnover in the port.
The Magadan commercial seaport is an important link in ensuring the region’s economic life, in particular cargo deliveries in Magadan Region and beyond it, primarily to the eastern parts of the Sakha (Yakutia) Republic. Over 90% of cargoes, including 100% of solid and liquid fuels, heavy machinery and construction materials, are delivered to the port by sea.
In addition, the region implements a number of large industrial projects, which, when completed, are expected to boost demand for the services provided by the port. These projects include the development by Polyus Gold of new gold ore deposits, the exploration by Rosneft of oil and gas fields in the Sea of Okhotsk shelf, and the construction of the Ust-Srednekansk hydropower plant.
In this connection governmental authorities regard the port modernisation project as one of their top priorities. The port is expected to ensure the trans-shipment of process equipment and other industrial cargoes for the investment projects that are underway and to export products of new enterprises when they are commissioned.
Additional Information
Eurasian Development Bank (EDB) is an international financial institution founded by Russia and Kazakhstan in January 2006 with the mission to facilitate the development of market economies, sustainable economic growth, and the expansion of mutual trade and other economic ties in its member states. EDB’s charter capital exceeds US $1.5 billion. The member states of the Bank are the Republic of Armenia, the Republic of Belarus, the Republic of Kazakhstan, the Kyrgyz Republic, the Russian Federation, and the Republic of Tajikistan.
Read more about EDB at https://eabr.org/