/KASE, February 6, 08/ - Company KAZAKHMYS PLC (London), common
shares of which are traded in Kazakhstan stock exchange's (KASE)
category "A" official list, provided KASE with the press-release dated
February 5, 2008, in which the following is informed:
Quotation begin
Kazakhmys PLC ("Kazakhmys") announces today that it has signed an
agreement with AES Corporation ("AES") to acquire the Ekibastuz coal-fired
power plant and the Maikuben West coal mine in Kazakhstan. Completion is
subject to certain conditions, including obtaining the necessary regulatory
approvals from the Government of Kazakhstan.
- Ekibastuz is a strategic asset in the Central Asian power market:
- It is the largest source of power in Kazakhstan, with nameplate
capacity of 4.000MW, in a market increasingly short of power
supply.
- Ekibastuz offers significant growth opportunities with capacity to
double output over the next 5 years from current available capacity
of 2,250 MW;
- The captive coal mine at Maikuben provides a secure base of raw
material supply, with current output of 3.1 million tonnes of coal
with estimated mine life of about 30 years based on A,B, C1
classification of reserves.
- Considerable potential to create commercial opportunities and off
take agreements.
- Total payments of up to US$1.5 billion, subject to adjustment under a
closing mechanism:
- Includes an initial cash consideration of US$1,100 million and a
deferred cash consideration and other payments of up to US$381
million, payable under earnout provisions.
- Kazakhmys will retain AES on a management service contract up
to 31 December 2010г.
- Kazakhmys will fund the transaction through a debt facility, which
has been announced separately today.
Oleg Novachuk, Chief Executive of Kazakhmys said "The acquisition of
Ekibastuz and the captive coal mine at Maikuben West is consistent with our
strategy of diversifying our portfolio and secures the future of an asset that is
of importance to the development of Kazakhmys and the region. It offers
considerable opportunities to develop commercial relationships through
surplus power generation
For detailed information please contact at:
John Smelt, Head of corporate connections department
Tel.: +44 20 7901 7882
Tel.: +44 787 964 2675
Olga Nekrasova, Financial analyst
Tel.: +44 20 7901 7814
Kazakhmys PLC
David Saymonson and Tom Rendell (in English language)
Te.l: +44 20 7653 6620
Leonid Fink and Anastasia Ivanova (in Russian language)
Tel.: +44 20 7653 6620
Quotation end
Full version of press-release of KAZAKHMYS PLC is available on KASE's
web site at:
-
http://www.kase.kz/emitters/scan/kzms/gbkzms_reliz_050208.pdf - in
Russian language;
-
http://www.kase.kz/emitters/scan/kzms/gbkzms_reliz_050208e.pdf - in
English language.
[2008-02-06]