Chinese Bank to provide Kazakh Refinery with $1.13 billion loan

Oil&Gas Materials 6 June 2012 16:49 (UTC +04:00)

Azerbaijan, Baku, June 6 / Trend E. Kosolapova/

Chinese Export-Import Bank (EXIM) will provide the Kazakh Atyrau Refinery with a loan to build an integrated refining complex. The agreement on loan delivery was signed on June 6 within the visit of the Kazakh delegation headed by Kazakh President Nursultan Nazarbayev to China, the Kazakh Oil and Gas Company KazMunaiGas reported.

The loan amounts to $1.13 billion. The term of the loan is 13.5 years.

The heads of the Kazak Oil and Gas Ministry, Kazakh Oil and Gas Corporation KazMunaiGas and Chinese corporation Sinopec took part in the signing ceremony.

The facility will be built under the Kazakh State Program on Forced Industrial-Innovative Development. Its planned capacity is 2.4 million tons per year. The project's cost is $1.68 billion. The facility is planned to be built in 41 months.

The agreement on construction of this integrated refining complex was earlier signed between Atyrau Oil Refinery LLP and Consortium of Sinopec Engineering, Marubeni Corporation and KazStroyServis.

Atyrau refinery is one of three large refineries existing in Kazakhstan. KazMunaiGas Processing and Marketing is the main shareholder of the refinery. It holds 99.5 percent shares.