EDB to Increase Financing of Mining Projects in Kazakhstan
Astana, 17 November 2010. Today, Kambar Shalgimbayev, Deputy Chairman of the EDB Executive Board, and Bolat Svyatov, Chairman of the Board of the National Mining Company Tau-Ken Samruk, signed a Memorandum on Cooperation.
The purpose of this document is to further “the implementation of joint medium and long-term investment projects in the minerals and raw materials sector of the Republic of Kazakhstan, enhancement of high-tech and high value-added production, and creation of jobs in the country’s mining and smelting industry”.
The Memorandum stresses that the parties have common interests in Kazakhstan’s mining and smelting industry, high-tech sectors, and investment projects being implemented by the public-private partnership mechanisms. Cooperation in these areas can take the form of co-financing particular investment projects and exchange of experience and expertise, e.g. at seminars, conferences, business forums and other events held by the parties.
In accordance with the Memorandum, Tau-Ken Samruk will furnish the EDB with information on investment projects in which the Bank can participate as co-investor or arranger, and the Bank will keep Tau-Ken Samruk informed of investment projects which may be of interest to the latter.
Tau-Ken Samruk will secure “the required financial participation in projects to which the EDB is a party, provide and maintain required collateral and bank guarantees under the EDB loans, and render organisational, legal and other support for such projects. The EDB on its part will consider projects proposed by Tau-Ken Samruk and act as a liaison to this company under multilateral projects”.
“The Eurasian Development Bank places a high value and high expectations on the signed Memorandum which lays foundations for multilateral and, undoubtedly, mutually beneficial cooperation”, said Kambar Shalgimbayev. “The sustainable development of Kazakhstan’s mining and smelting industry calls for large-scale projects, which in turn require long-term investments on flexible terms. The EDB is prepared to take part in such projects; directly or indirectly, they will undoubtedly promote Eurasian integration. In the near future we will proceed to put the Memorandum’s principles and provisions into practice”.
Additional Information
National Mining Company Tau-Ken Samruk is the national operator of mining assets in Kazakhstan. The company was founded by a governmental resolution dated 15 January 2009 to explore, develop, produce, process and sell solid minerals and to replenish the country’s mineral resources base. Tau-Ken Samruk is a member and 100% affiliate of the National Prosperity Fund Samruk Kazyna group.