EBRD and Development and the National Mining Company Tau-Ken Samruk signed support agreement on a large-scale project

The European Bank for Reconstruction and Development and the National Mining Company Tau-Ken Samruk signed support agreement on a large-scale project – the development of the Shalkiya deposit in the Kyzylorda region. The project will contribute not only to the economic development of the region, but also to the technical education and job creation for the local youth.

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The agreement was signed in the presence of the Prime Minister of the Republic of Kazakhstan Bakytzhan Sagintayev. On behalf of the EBRD, it was signed by the Director, Head for Kazakhstan – Agris Preymanis, and on behalf of Tau-Ken Samruk by Chairman of the Management Board – Turmagambetov Mazhit Abdykalikovich.

The project operator – ShalkiyaZinc LTD JSC is owned by the NMC Tau-Ken Samruk JSC, which is a subsidiary of Samruk-Kazyna JSC.

Agris Preimanis stated: “We are pleased to work with Tau-Ken Samruk on the ShalkiyaZinc project – a project signed as part of the EBRD’s new approach on providing inclusiveness in the energy and natural resources sector in Kazakhstan. We share the confidence that the mining sector should be one of the engines of regional development that supports technical and vocational education of young people and creates new jobs for both men and women. Inclusiveness, that is, the creation of equal economic opportunities, is one of the priorities of the EBRD.”

“The Shalkiya lead-zinc deposit is one of the largest in Kazakhstan and is included in the state program for industrialization of Kazakhstan. For Tau-Ken Samruk JSC it is a key project, which, among other things, has a huge socio-economic importance for the entire region. The deposit is planned to produce 4 million tons of ore per year. The project involves the introduction of new technologies in the field of mining and production, including an innovative for our region vertical conveyor for lifting ore to the surface. The enterprise already provides more than 550 jobs, while the total number of employees after commissioning will be 1540 people,”- stated M. A. Turmagambetov.

As previously reported, the EBRD will provide a syndicated loan in the amount USD 350 mln to the mining company ShalkiyaZinc LTD JSC to expand the mining operations at the existing lead-zinc mine Shalkiya in the Kyzylorda region and of the facilities at the processing plant. The loan documentation on the financing of this project was signed two weeks ago, in Astana, during the first days of Expo-2017, dedicated to clean energy. The Shalkiya project will use modern, energy-efficient technologies in the development of this world-class deposit.

The project will also contribute to efforts on preparation for possible sale of the facility within the privatization program initiated by the government of Kazakhstan in 2015.