Eurasian Development Bank allocates $80 million for Kyzyl gold project development
Dec 11. KAZINFORM. ST PETERSBURG
Polymetal International plc is pleased to announce that it has entered into a five-year non-revolving committed credit facility agreement with Eurasian Development Bank (“EDB”) for the total amount of US$80 million (the “Agreement”) to finance the development of the Kyzyl gold project in Kazakhstan, according to the press service of the company.
The facility will be used to finance the pre-construction expenses in 2015 and in 1H 2016, including preparation of the feasibility study and design documentation, purchasing of mining equipment, and investments in exploration and infrastructure construction. The drawdown period is 18 months.
The loan will be repaid in equal quarterly installments starting from April 2018 with a final maturity date of April 2, 2020.
“The signing of the credit facility agreement with EDB is another important milestone in the development of the Kyzyl gold project and strengthens our long-term relationship which we expect to lead to further future cooperation with EDB on this project”, said Vitaly Nesis, CEO of Polymetal.
“This deal is a further step in the development of our bilateral partnership with Polymetal. Despite a challenging macroeconomic environment, Eurasian Development Bank continues to finance projects in complex and capital intensive industries such as mining”, said Gennady Zhuzhlev, Deputy Chairman of the Management Board of the Eurasian Development Bank.