Completed Mixed AidData Chinese Aid

Bank of China contributes $64.5 million to $129 million syndicated loan for Shieli Cement Production Plant Construction Project (Linked to Record ID#70845)

$64.5M USD

Funder	Bank of China (BOC)
Recipient Organization	Gezhouba Shieli Cement Company LLC (葛洲壩西里水泥有限公司)
Country	Kazakhstan
Start Date	Jan 01, 2017
End Date	Oct 18, 2027
Duration	3,942 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`53795`

Grant Description

In 2017, Bank of China and China Eximbank contribute to USD 129 million syndicated loan for Shieli Cement Production Plant Construction Project, Kazakhstan In 2017, Bank of China (BOC) and the Export-Import Bank of China signed a $129 million syndicated loan agreement with Gezhouba Shieli Cement Company LLC -- a special purpose vehicle and joint venture -- for the Shieli Cement Production Plant Construction.

The loan carried a maturity period of nine years. Its interest rate and grace period are unknown.

China Gezhouba Group Cement Co., Ltd. issued a guarantee for the loan, while China Export & Credit Insurance (Sinosure) provided overseas investment insurance that covered political risk up to 95%. The project had a total cost of $178.03 million. BOC provided 50% of the face value loan ($64.5 million), as captured via Record ID#53795.

China Eximbank's contribution ($64.5 million) is captured via Record ID#70845.

The purpose of the project was to construct a cement production plant that is located in Shieli within the Shieli District and the Kyzylorda Region.

The plant was designed to have daily production of 2,500 tons of clinker cement and an annual production of 1 million tons of cement. It was also designed to produce nine different nine types of cement. Its major product was oil well cement, which was expected to help reduced Kazakhstan's reliance on imports.

The plant was originally expected to reach completion before the end of 2018.

China Triumph International Engineering Co., Ltd. (CTIEC) won the engineering, procurement and construction (EPC) contract in April 2017. Its subsidiary Beijing Triumph International Engineering Co., Ltd. assumed responsibility for design work. Construction began on April 7, 2017. The official opening ceremony of the plant was on December 11, 2018.

The plant was officially put into operation on October 18, 2019.

📋 Staff Comments

1. Gezhouba Shieli Cement Company LLC (葛洲壩西里水泥有限公司) is a joint venture between China Gezhouba Group Corporation Limited (CGGC) (50%), China Gezhouba Group Overseas Investment Co., Ltd (20%), a subsidiary of CGGC, and a local cement company called DANAKE Corporation (sometimes called Kazakhstan Darnak Co., Ltd.) (30%).

📚 Sources & References

The special cement plant invested and constructed by the Chinese enterprise in Kazakhstan is about to be completed and put into production.
New cement plant may appear in Kazakhstan this year
Gezhouba Shieli invites investors for Kazakh project
汇聚金融力量布局“一带一路” 中行银团贷助葛洲坝水泥落籍哈萨克斯坦建厂兴业【人民网】, 33. Daily Cement Production Capacity of 2500 Tons in Kazakh
Brief Introduction
刘怀亮参加中哈企业家委员会第六次会议暨圆桌会议
New Chinese-Kazakh cement plant put into operation in SW Kazakhstan
China Gezhouba Group Cement's Shieli plant put into operation
China Gezhouba Group Stock Company Limited Summary of 2016 Interim Report
Energy China Group-built Cement Project in Kazakhstan Put into Production
Shuttered at home, cement plants bloom along China's new Silk Road
New Chinese-Kazakh cement plant put into operation in SW Kazakhstan
Steppe Cement revenue rises by 20% to US$65.6m in 2017
进出口银行湖北省分行支持“一带一路”建设成效显著原文網址：https://kknews.cc/finance/r5lq4mx.html Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.