/INTERFAX-KAZAKHSTAN, Astana, April 23, 05/ - The authorized state body - committee of state property and privatization (CSPP) of the Ministry of finance of Kazakhstan exhibits to trades the state block of shares of (SBS) of Joint venture Vasilkovskoye zoloto JSC at the rate of 20% of its authorized capital.

It's planned to sell the SBS at commercial tender.

CSPP published the announcement about it on Saturday in republic's official press.

The SBS comprises 431624 shares, starting price of lot is KZT1 bn. 170 m. (current 131.44/$1), guaranteed fee for participation in the tender is KZT175.5 m.

The tender has been appointed for 16:00 on May 24 of this year in Astana in the House of ministries, application acceptance ends one day before tender holding.

In accordance with the terms of the tender, the future owner of the SBS will have to take measures for promoting to fulfilling the terms of the depths usage contract by Joint venture Vasilkovskoye zoloto JSC, including - "completion of building gold extracting plant by the year 2008 and increasing ore output to 4 m. tons a year with the annual gold output of about 9 tons", the announcement says.

According to the order of the tender holding, the participant, whose offer will contain "the highest price for the object" and who will meet terms of the tender, will be declared the winner. Pretenders must submit their proposals in written form in closed envelopes.

If proposals of two and more participants include the same price and meet requirements of the tender, for them an auction by English trade method will be held at the price for privatization object for determination of the winner.

If less than two participants take part in the tender, it will be announced failed, "excluding the third and following trades, at which privatization object must be sold to the only participant", CSPP says.

JV Vasilkovskoye zoloto develops Vasilkovskoye gold containing field in Akmola region.

It was said before that in this JV a Dutch company Floodgate Holding B.V. owned a 60% market share, the other 40% - CSPP of the Ministry of finance of Kazakhstan.

In January of 2005 JV Vasilkovskoye zoloto outputted 56.553 kg of cathode gold against 70.144 kg in January of 2004, cathode silver - 2.106 kg against 5.080 kg correspondingly.

As the result in January company issued commodity output for a total of KZT94.048 m. in comparison with KZT115.259 m. in January of 2004.

As a whole in year 2004 company outputted 908 kg of cathode gold against 955 kg in 2003, extracted 1570 th. tons of ore against 1509.1 th. tons correspondingly.

[2005-04-25]