KAZAHMYS WILL GIVE TO GOVERNMENT OF KAZAKHSTAN 100 MLN LOAN FOR THE RIGHT TO MANAGE OVER 35% STATE BLOCK OF SHARES - GOVERNMENT

/REUTERS, Almaty office, Nov.09, 99/ - the Government of Kazakhstan has agreed with the offer of copper corporation Kazahmys about granting for three years of $100 million loan to government in exchange for the right to manage 35% state block of corporation, is spoken in the decree of the government. "The government of Kazakhstan decides to agree with the offer of Kazahmys corporation about granting to the government of Kazakhstan of $100 million loan. Transmit to President Kazahmys confidential management for three years state block of shares in volume of 35%", - the employee of the Public Relations Department of the Prime Minister has cited the decree of the government to REUTERS. The loan will be submitted to the government having the budget problems, for three years. The money receipt is stipulated as follows: $70 million before the end of the present year and $30 million in the first quarter of 2000.Kazahmys will begin management over state block since June 8, 2000. It is supposed, that after the loan term ending the government will sell state block at advertised tender with attraction of the financial adviser agreed with Kazahmys. Now 35% state block is under management of Samsung, the main Kazahmys shareholder, which possesses 40% of the shares of copper branch of Kazakhstan. 10% of common and preferred shares are owned by the natural and legal persons, 5% belong to investment - privatizing funds. In this year Kazahmys plans to produce of 360,000 t of a refine copper.