DBK finances the expansion of railway wheels production project in Ekibastuz

 

PRESS RELEASE

1 July 2015                                                                        Astana

DBK finances the expansion of railway wheels production project in Ekibastuz

Development Bank of Kazakhstan JSC (subsidiary of Baiterek National Management Holding JSC, hereinafter – the Bank, BRK) starts financing the project on increase of railway wheels production capacity in Ekibastuz. The total cost of the projects amount to 40.8 bln KZT, 73,5% of required funds will be provided by Development Bank for a period up to 15 years. Presentation of the project financed within the Kazakhstan Industrial Innovative Development State Program for 2015-2019 will be held on 2 July c. y. in the course of Industrialization Day held annually in Kazakhstan.

Implementation of the project at the base of Prommashkomplekt LLP wil enable to increase capacity of the enterprise from 75 000 up to 250 000 wheels a year. Production is intended for a high-speed rolling stock, passenger and freight transportation, the RK locomotive park. The new production equipped with the high-tech equipment is planned to be put into operation in 2017, more than 400 new workplaces will be created. Construction of the new manufacturing line will become the second stage of the investment project initiated by Prommashkomplekt LLP in 2013 with commissioning of railroad switches and railway wheels production complex.

"After start of the new production the enterprise will be able to move to the highest level of processing. It will enable to solve the issue of dependence on imports and to raise the level of production localization up to over 50%. In the meantime we plan to reduce the prime cost of products due to application of the latest energy saving technologies and the high-tech automated manufacturing lines and processes”, - noted the Director of Prommashkomplekt LLP Artur Khachaturian.

Upon reach by the enterprise of the full design capacity production, up to 40% of produced products will be supplied to domestic market, other 60% - for export.

For reference: 75 billion KZT are allocated from the National Fund of the RK to finance IIDSP-2 projects via DBK. Earlier using these funds Development Bank financed Altel JSC project on expansion of Mobile Broadband Internet Network 4G (LTE). The total cost of the project amounted to 104,9 billion KZT, about 35% of required financing will be provided by Development Bank.

АО «Банк Развития Казахстана» (DBK) - национальный институт развития по модернизации и развитию несырьевого и инфраструктурного секторов экономики Казахстана, созданный в 2001 году. Основные направления деятельности: развитие производственной инфраструктуры и обрабатывающей промышленности, содействие и привлечение внешних и внутренних инвестиций в экономику страны. DBK выступает одним из крупнейших инвестиционных операторов государственных программ индустриально-инновационного развития. DBK входит в структуру АО «Национальный управляющий холдинг «Байтерек».

Public Relations Service of Development Bank of Kazakhstan JSC

8 (7172) 79 26 08

(www. , /, *****@***kz)