ENRC Seeks Abu Dhabi Investment to Fund $910 Million RailroadDate: June 23, 2009 Eurasian Natural Resources Corp., the producer of ferroalloys and iron ore in Kazakhstan, is seeking investment from Abu Dhabi to fund projects including a $910 million railway to connect its plants to China. Kazakhstan is seeking to boost trade with China, the world’s biggest consumer of industrial metals, by opening a second rail terminal on the border between the two countries. ENRC said last year its proposed “China Gateway” railroad would help increase the annual volume of trade between the two by as much as 30 million metric tons. “ENRC held a number of preliminary talks with the investors in Abu Dhabi regarding the financing of the China Gateway project,” the London-based company said in an e-mailed response to questions from Bloomberg News. “It is too early to comment on the outcome of these meetings.” The 300-kilometer (186-mile) track will link Zhetigen in Kazakhstan and Khorgos on the Chinese border. Work on the project will start in September, ENRC said in a presentation in Abu Dhabi on May 27. ENRC, which held an initial public offering in London in 2007, is also seeking $590 million to build three furnaces at its Kazchrome unit from the second half of this year through 2012, it said in the presentation. The economy of Kazakhstan is shrinking for the first time since 1998 after demand for its commodities slowed. The country struck a deal with China in April to secure a $10 billion loan in exchange for oil to prop up its economic growth.Source: Bloomberg |
China Eurasia Investment Forum 2009
Grand Millennium Hotel Beijing, China. China and Eurasia: Emergence of New Silk Road Investment and networking opportunities for investors, financiers, resources companies and service providers Inaugural China Eurasia Investment Forum aims to bring together the government officials, investors, financiers, resource companies, service... Read more
China and Eurasia Region
