OREANDA-NEWS. In the course of Russian President Vladimir Putin's official visit to the Republic of Korea the North Caucasus Development Corporation (NCDC, Vnesheconombank Group), AVG Capital Advisory Limited and the Korea Rural Community Corporation (KRC) signed an agreement on cooperation.

On behalf of the North Caucasus Development Corporation the document was signed by NCDC Board Director, Vnesheconombank Chairman Vladimir Dmitriev, on behalf of AVG Capital Advisory Limited - by Managing Partner Rustem Mirgalimov and on behalf of the Korea Rural Community Corporation - by President Li Sangmu.

The parties intend to implement comprehensive projects in the Stavropol Territory as well as in other regions of the Russian Federation on the reconstruction of the existing and creation of a new advanced agricultural melioration infrastructure using innovative technologies in irrigation and water resources management as well as agricultural projects with the use of irrigation.

In order to implement this agreement the North Caucasus Development Corporation is ready to create conditions for implementing projects and participate in funding them. In its turn AVG Capital Advisory Limited intends to provide plots of land for implementing agricultural projects, create conditions for their implementation and participate in funding them.

As far as the Korean party is concerned KRC is ready to assist in raising and structuring financing needed for implementing projects including through export financing in addition to developing project and technical documentation, organizing supplies of equipment and managing construction of facilities.

OJSC the North Caucasus Development Corporation (Vnesheconombank Group) was established in 2010 in order to develop investment environment of the North Caucasus Federal District through engaging investors and participating in implementing production and infrastructure projects on the District's territory. The Corporation's mission is to create efficient investment business to stimulate economic development of North-Caucasian regions. At present the North Caucasus Development Corporation is implementing 7 projects - two infrastructure projects, two in the industrial sector, 2 projects on the development of intensive crop growing and one in the tourism sector.

The Korea Rural Community Corporation is a Korean state-run corporation involved in developing rural areas. It was established in 1908. Its main lines of activity are to provide the agricultural sector with water resources and infrastructure for intensive farming including through introducing water resources management technologies, using the most advanced technologies in green power engineering with the use of solar and wind energy as well as develop aquaculture industry (fish growing in artificial lakes). KRC is active in exporting its technologies, in the past ten years it has implemented more than 87 projects in 22 countries for a total amount of 88 billion US dollars.

AVG Partners is a private equity fund specializing in making investments in the Russian agricultural sector; it is also a controlling shareholder of one of the largest Russian agro-holdings - OJSC Razgulyai. AVG Partners is operating in a whole number of Russian agricultural sectors - from crop growing and animal breeding to manufacturing end-use products. The fund manages more than 200 million US dollars worth of investments in share capital.