Uzbekistan, Tashkent, July 18 /Trend D.Azizov/
Almalyk Mining and Metallurgical Complex (AMMC, Tashkent region) and the Turkish Dal Teknik Makina Ticaret Ve Sanayi AS signed a contract to build a cement plant in Uzbekistan worth $114.2 million, an AMMC management source told Trend on Wednesday.
He said the project with the participation of Turkish companies was approved by the Decree of President Islam Karimov.
The cement plant with a design capacity of 350,000 tons of white and 760,000 tons of Portland cement will be built in Jizzakh region.
The contract with the Turkish company worth $97.6 million was signed for the development of technological documentation, supply and installation supervision, construction and installation and commissioning work on a turnkey. In turn, the AMMC will implement the construction of industrial infrastructure and other works to the sum of $16.6 million.
JSC Uzstroymaterialy will provide the enterprise with technical support for the project (it consists of companies producing building materials in the country). The project is scheduled to be implemented in 2012 - 2014.
It will be financed by a loan from the Fund for Reconstruction and Development of Uzbekistan worth $74.2 million and equity of the AMMC at $40 million. The Uzbek government has also provided a number of customs and tax privileges under this project to AMMC and Dal Teknik Makina.
According to AMMC experts, commissioning of the plant will fully cover the needs of the complex in cement and send up to 200,000 tons per year for domestic and export markets.
Almalyk Mining and Metallurgical (Almalyk) is Uzbekistan's sole producer and exports all of its products. Roughly 90 per cent of silver production and 20 per cent of gold production accounts for AMMC's portfolio.
Uzbekistan currently has six cement plants with a total installed capacity of around seven million tons. The largest ones are Kizilkumcement (3.15 million tons), Ahangarancement (1.74 million tons) and Kuvasaycement (1.107 million tons).
According to official statistics, in 2011 cement production in Uzbekistan decreased by 1.5 per cent compared with 2010 to 6.698 million tons.