BAKU, Azerbaijan, Dec. 7
By Klavdiya Romakayeva - Trend:
Russian Bank for Development and Foreign Economic Affairs (VEB.RF) will provide Almalyk Mining & Metallurgical Combine JSC with financing for the supply of mining dump trucks for Belarussian Belaz OJSC (the managing company of the Belaz-Holding holding) for the modernization of the mining and metallurgical plant in Uzbekistan, Trend reports referring to the press service of VEB.RF.
According to the information, the volume of financing is estimated at $59 million, the term of the loan amounts to up to five years. The interest rate on the loan will be subsidized from the Belarusian budget.
“The share of the Russian component in the prime cost of Belazov accounts for more than 30 percent, which is a prerequisite for VEB.RF's participation in financing,” the press service of the bank said.
“This is the first deal of a new format of cooperation between Russia and Belarus. Mining trucks will be supplied to one of the largest copper, gold, and silver mining enterprises in Central Asia. VEB.RF provides the buyer with a long-term loan, the interest rate on which will be subsidized from the Belarusian budget,” VEB.RF Deputy Chairman Daniil Algulyan commented on the deal.
In addition, VEB.RF made a decision to open a credit line for JSC Almalyk MMC in November 2020 to finance a transaction for the supply of Russian high-tech products in the amount of $1.8 billion rubles ($24.2 million) for up to five years as part of the modernization of the enterprise.
Belarusian Automobile Plant (Belaz) is a company for the production of quarry equipment located in Belarus. The enterprise manufactures mining dump trucks, production equipment for working in quarries, machines for underground work, bulldozers, loaders, airfield tractors.
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