VITA JSC (Kazakhstan) introduced new complex on production of soy- based products

/IRBIS, Ranida Gabdeyeva, April 21, 05/ - VITA JSC (Almaty) with bonds included in official securities list of Kazakhstan Stock Exchange of "A" category, released the statement today informing that on April 20, 2005 in Almaty VITASOY plant launched tow new chops on extraction and grinding. The launch was made under frameworks of second stage of project realization named "VITOSOY plant expansion" by creation of chops on extraction and interetherification, which VITA JSC implements at the expense of a loan granted by Kazakhstan Development Bank JSC. Imangali Tsmagambetov, mayor of Almaty, Kambar Shalgimbayev, President of Kazakhstan Development Bank JSC, Aset Dautbayev, Managing Director of Bank CenterCredit JSC, Zaletkin V.S., head of Europe Crown (England) liaison office head and Pyotr Potapov, Director General of VITA JSC, attended the opening ceremony. The statement says that as a result of project realization, it is the only production complex operating in CIS producing soy albumen concentrate - "white leaf", and soy butter and oil cakes. Projected capacity is at 140 th soy beans processed annually. Total investments in chops amounted $12.5 m. First stage of investment project "Construction of VITASOY plant for refinement of oil-bearing crops" was financed by Kazakhstan Development Bank JSC in October of 2002. This resulted in plant object erection and full installation. Second stage of the project "VITASOY plant expansion" via creation of chops on extraction and interetherification has been being financed since 2003. "As a result of positive change at Kazakhstan market, demand for seed-oil refining plant capacities turned out to be greater than it was initially expected due to which the volume of seed-oil refining capacities have been increased", the statement says. Total amount of loans lent by Kazakhstan Development Bank JSC to VITA JSC exceeds $20 m. VITA JSC provided its realty and machinery as collateral. Moreover, Kazakhstan Development Bank JSC issued a guarantee in favor of VITA JSC for a total amount of $5.7 m. Bank CenterCredit JSC lent $16 m as working capital for the plant. Out of this amount $7.5m were received by grain receipt program of Agriculture Ministry of Kazakhstan under guarantees of Fund of guaranteeing liabilities on grain receipts JSC. The project aims to develop production of concentrate of soy albumen, solid fat and seed oil. According to the statement of VITA JSC unique production complex enables producing 27 th tons of soy oil annually, 70 th tons of oil meal, 30 th tons of "white leaf" (concentrate of soy albumen, which is the base for soy isolates, concentrates, soy flour and other), as well as processing up to 30 th tons of soy oil and converting it into margarine and other products. The project mobilizes more than 600 farms with total area of 50 th hectare of sowing fields. In 2004 the company invested nearly $4 m in forming of seed and fuels stocks, training of workers contemplating doubling its investments during the current year. According to forecasts presented by VITA JSC during the time of project realization the Company will pay nearly $12 min taxes, including $3.6 m, VAT - $6.9 mln, social security tax - $1.1 m, property tax of $0.6 m. [2005-04-21]