Kazakhstan Chamber of Commerce in the USA

KazCham



China banks provide $2.5 billion loan for Kazakh gas 0

Posted on September 13, 2015 by KazCham

Colibri Law Firm

Kazakhstan’s national gas supply company KazTransGas has signed an agreement with China Development Bank Corporation and the Bank of China on a syndicated loan worth US $2.5 billion for a period up to 2028.

The loan will be used to finance the construction of the Beyneu-Bozoi-Shymkent gas pipeline, which will deliver natural gas from gas fields in western Kazakhstan to the southern parts of the country.

The pipeline construction is one of numerous large-scale infrastructure projects implemented in Kazakhstan upon the instruction of President Nursultan Nazarbayev. The project is of strategic importance, as upon its completion the pipeline will diversify natural gas transit through Kazakhstan’s territory.

Construction of the Beyneu-Bozoi-Shymkent pipeline started in 2011, with KazTransGas and China’s Trans-Asia Gas Pipeline Co Ltd. establishing a joint venture for the purpose of the project.

 

Central Asia: China’s New Silk Road project 0

Posted on January 19, 2015 by KazCham

Presently, almost 90% of the global container trade still goes by ocean, and that’s what China intends to change. Its embryonic, still relatively slow New Silk Road represents its first breakthrough in what is bound to be an overland trans-continental container trade revolution.

Already the Chinese leadership has green-lighted a $40 billion infrastructure fund, overseen by the China Development Bank, to build roads, high-speed rail lines, and energy pipelines in assorted Chinese provinces. The fund will sooner or later expand to cover projects in South Asia, Southeast Asia, the Middle East, and parts of Europe. But Central Asia is the key immediate target.

Kazakhstan plans to become a key transit country in Central Asia in the way of Chinese goods to Europe. Advances in building transit is already there: the volume of container traffic from China to the EU via Kazakhstan grew in 2014 compared to 2012 for 4,5 times.

As per the program “The Bright Way” there will be investments into the following areas:

  1. Building or rent terminals in dry and sea ports of China, Russia and Iran;
  2. Construction and upgrading of roads.

President Nazarbayev Meets Chinese President Xi Jinping 0

Posted on May 20, 2014 by KazCham

Tengrinews

On May 19, 2014 Kazakhstan’s President Nursultan Nazarbayev met Chinese President Xi Jinping in Shanghai. They discussed prospects for cooperation in the trade and economic, financial and investments, transit and transport, and agriculture spheres. President Nazarbayev reminded that the plan is to bring the bilateral trade turnover figure to $40 billion a year by 2016.

“Back in September 2013 while in Astana, you voiced the initiative to put in place the Silk Road economic belt. Kazakhstan is ready to contribute to the large-scaled project (…) expected to play a major role in developing the entire region”, President Nazarbayev said.

The two sides have signed a total of 5 documents. Notably, the two foreign ministries have signed a joint declaration. Samruk-Kazyna Sovereign Wealth Fund and China International Trust and Investment Corporation (CITIC) have signed a MoU to develop relations in the oil and gas sector and the mining industry.

Besides, the Development Bank of Kazakhstan and China’s Exim Bank have signed a memorandum to provide $1 billion to modernize Shymkent-based oil refinery. The investments are expected to help enable the refinery to start producing environment-friendly fuel and reach the projected capacity of 6 million tons of fuel a year.

Development Bank of Kazakhstan and China Development Bank (CDB) have signed a master agreement on a credit line of $500 million. The funds are to be used to finance joint projects outside the extraction sector. KazMunaiGas National O&G Company and China’s CNPC have signed a framework agreement to construct a plant in Almaty oblast to produce O&G pipes. The project to be implemented in 2014-2016 is expected to bring $150 million in investments



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