DBK will finance modernization of Pavlodar Oil Chemistry Refinery
The cost of the "turn key" contract is more than USD 1.2 bln. The Project is mainly financed using club-deal loans from japanese banks. DBK will provide about 25% of required financing in the form of credit for a period of up to 10 years to perform construction and installation works. Credit currency - KZT.
Implementation of the project will enable the improvement of quality of engine fuel produced at the plant to the level of conformance to the requirements of K4 and K5 emission classes (conforms to Euro-4 and Euro-5 standards), as well as to expand refining capacity of enterprise. Because of modernization, the productivity of the West-Siberian oil refining plant will be increased from 5 mln. to 7 mln. tones per year, the capability of refining Kazakhstan oil at the volume of up to 5 mln. tones per year will be provided.
Upon commissioning of the first two unit complexes POCR will be able to produce engine fuel of K4 class starting from 1 January 2016. Full modernization of the plant that will run on without interruption of the current production, will be completed in 2017.
- Thus, two of three existing refining plants in Kazakhstan receive long term financing from DBK for modernization projects. With financial support from Development Bank the first stage of modernization of Atyrau RP is about to complete. The total cost of the project is $2.9 bln., 45% of required financing has been provided by DBK. We are happy to make contribution together with KazMunaiGas to the development of high quality oil products production in Kazakhstan and provision of energy safety of the country, - highlighted the head of DBK Bolat Zhamishev.
Against the backdrop of the current situation in the global financial markets, DBK as a specialized state development institution, once again demonstrated commitment to its mission and goals. We already have positive experience in cooperation with DBK on modernization of Atyrau OR.
"KazMunaiGas - processing and marketing" reckons Development Bank of Kazakhstan a financial partner able to contribute to successful implementation of OR modernization projects, - noted Managing Director on economy and finance of "KazMunaiGas-processing and marketing" Torgyn Makhasheva.