Location: Ekibastuz, North Eastern Kazakhstan
Sector: Energy
Source of funding: USD 400 mln - China Development Bank (China) , Vnesheconombank (Russia), Samruk Energy (Kazakhstan)
Total cost: USD 400 mln
Implementer: Samruk Energy (Kazakhstan)
Start (of construction): 2010
Planned completion: 2014
INVESTORS SUMMARY
China Development Bank (CDB) was founded in 1994 as a policy financial institution under the direct leadership of the State Council. CDB is the world’s largest development finance institution, and the largest Chinese bank for financing cooperation, long-term lending and bond issuance. CDB provides medium- to long-term financing facilities that serve China’s major long-term economic and social development strategies. China Development Bank provided financial support for 32 projects in Kazakhstan over the first half of 2018. The amount of loan obligations totaled USD 33.5 billion. We signed multiple contracts worth US$28 billion and provided financial support for the priority projects of China and Kazakhstan.
Vnesheconombank was founded in 1922, as a Russian government-owned development bank, meant to provide funding for projects aimed at developing the Russian economy. As a national development institution, they contribute to Russia’s long-term economic development primarily by supporting high value-added manufacturing, high-technology projects, export, and infrastructure development.
Samruk Energy was established in 2007 in order to develop and implement long-term state policy on the upgrading of existing and introduction of new generating facilities. Today, it is the largest diversified holding company successfully integrated into the international power balance, creating value for its shareholders and aimed at building highly efficient power supply systems while ensuring sustainable development throughout all of Kazakhstan’s sectors.
DESCRIPTION OF THE PROJECT
Russia and China have signed an agreement to lend $400 million for construction of the third electric power generation block at Ekibastuz GRES-2 Power Plant in Kazakhstan. The project total to construct the third energy block is estimated at more than $700 million. Once the construction of power unit No.3 is complete it will serve to increase the capacity of the power plant by 636-megawatts (MW). The current output is only 1,000MW. This project is being conducted in order to address the needs of Kazakhstan in electricity and electric capacity and to increase the country’s export potential. Construction began in 2010 and was expected to be completed by 2014.
THE PURPOSE OF THE PROJECT
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