Financed ProjectsAlrosa

Identification Code:

OP/01/0269

Total Operation Cost:

0

Maturity:

84 months

Operation Status:

Description and Purpose of the Operation:

Financing of capital requirements of the Borrower including (i) purchase of mining equipment from Ukrainian producers and (ii) construction of a new underground mine

Countries of Operation:

Russia (100,00 %)

Financial Product:

Loans

Sector:

Materials

Domain:

Private

Borrower/Client:

ALROSA Co Ltd, a major Russian diamond mining and marketing company, is a closed joint stock company majority controlled by the federal government of Russia and the local government of the Sakha Republic in Eastern Siberia. With USD 1,86 billion in turnover (2000), the Company is the second largest producer of rough diamonds in the world by value.

Co-Financiers/Participants:

Commercial parallel loan of up to USD 21,5 million

Guarantors/Sponsors:

Developmental and Regional Cooperation Impact:

BSTDB financing will contribute to strengthening of regional cooperation involving Russian and Ukrainian businesses, promote a major currency earning industry in Russia and strategic heavy machinery industry in Ukraine. The new production capacity developed with the loan would increase the company's turnover and taxable income.

Environmental Classification and Impact (summary):

The project is consistent with BSTDB environmental policy calling for at least neutral impact. The construction of a new underground mine envisages improvements in the waste water treatment system and pollution control equipment.

Operation Leader:

Energy & Infrastructure

E-mail:

ei@bstdb.org