[China-Venezuela Joint Fund] CDB provides $403 million loan for Alcasa Aluminum Plant Project (Linked to Record ID#58677, 37808 and #37804)

[China-Venezuela Joint Fund] CDB provides $403 million loan for Alcasa Aluminum Plant Project In November 2011, Venezuela's Alcasa signed a deal with China Aluminum International Engineering Company (“Chalieco”) to improve the performance of Alcasa's primary aluminum smelters. The amount contracted for the project was 403 million USD, provided by the China-Venezuela Joint Fund.

By October of 2011, it was reported that there were several difficulties with Chinalco's proposed improvements, and there was some doubt as to whether or not the project could continue.

A release on Chinalco's website in June of 2014 admitted that the project was slow to be implemented, but at that date had been 78% completed.

Alcasa produces 22.5 kilogram ingots (49.5 pounds), rolled aluminum in coils, plates and bands and other products for the construction, electrical, transport, packing and refrigeration industries.

At the time of this deal Alcasa only had resources to operate at 40 percent of its installed capacity of 420,000 metric tons (462,971 tons) per year.

In addition to the Chalieco funds, President Chávez approved $90.4 million to be provided by FONDEN to support CVG Alcasa’s operations.

According to a Correo Del Orinoco source, the project is financed through the long-term facility of China Venezuela Joint Fund.

The China-Venezuela Joint Fund receives contributions from China Development Bank and FONDEN, and it is administered by BANDES. See Record ID#58677 for more information on the fund.