Development Bank of Kazakhstan signs agreement with Euraz Caspian Stal on opening loan facility for construction of rolled steel plant in Kostanai

/KASE, September 6, 12/ - JSC "Development Bank of Kazakhstan" (Astana), whose bonds are officially listed at Kazakhstan Stock Exchange (KASE), has provided KASE with the following press-release of September 6, 2012: quote The Board of Directors of JSC "Development Bank of Kazakhstan" (DBK or Bank) has approved for implementation the investment project of LLP "Evraz Caspian Stal" on construction of a rolled steel plant in Kostanai (Project). The agreement on opening a loan facility between the DBK and the borrower was signed on August 14, 2012. Participation of the Bank in the Project worth a total of USD130.7 m makes up around 70& of the total volume of investment. The Project is implemented jointly with the major metallurgy and mining company "Evraz Group S.A.". The plant will feature production of 450 thousand tons of light shaped rolled steel (steel rods) a year. As expected, the rolled steel plant in Kostanai will become the first in Kazakhstan producer of steel rods of initial raw materials. That will allow reducing Kazakhstan's dependence on imports from Russia and Ukraine. In addition it is assumed that at least 50% of finished products will be exported. Commissioning of the plant is scheduled for 4th quarter 2013. 350 new work places will be created at the plant. LLP "Evraz Caspian Stal" was established in 2008. It has been implementing an investment project on construction of light-shaped rolled steel (steel rods) in Kostanai. unquote [2012-09-06]