OREANDA-NEWS. July 15, 2010. Eurasian Development Bank (EDB) and Kazakhstan-based Syrymbet JSC signed an agreement on financing of investment project "Launch of first stage of tin production". Under the agreement, the Bank will issue to Syrymbet JCS a USD48.7 m 10-year credit, reported the press-centre of KASE.

The project envisages construction and launch of the new full cycle tin production complex - including mining and enrichment through production of tin. The plant will use ore from the only Kazakhstan-based and the largest Central Asian deposit - Syrymbet. The equipment will be purchased from Russia, Kazakhstan, and abroad.

The complex is expected to be commissioned in two years after the beginning of financing and will produce 6 th ton in the first year of operation. The complex will reach its projected capacities within a year from the commissioning. During the first year of operation the complex will only reach 50% of proposed capacities. The project cost is USD70 m.

The project is implemented under the State program of forced industrial and innovative development of Kazakhstan for YY2010-2014. The project pursues to create a new nonferrous metallurgy sub-industry. The project has export, import substitute and integration effects: the production volumes will meet needs of Kazakhstan, Russia and other CIS countries with a substantial multiple influences on Russian and Kazakhstan economies.

According to EDB the implementation of the project will create roughly 3,500 jobs in Kazakhstan and Russia.

Reference

Syrymbet JSC (formerly Syrymbet TOO) was established in 1998 to organize mining and processing of tin-containing ores at Syrymbet deposit (Northern Kazakhstan). Syrymbet is a 100 % Kazakhstan company and a unit of the Lancaster Group, operating in energy, mining, oil and gas, finance, hotel business and etc. Details are available at website www.lancasterholding.com