The Russian mining and steel producing company Evraz Group (Evraz) jointly with Kazakhstan's Caspian Group will in July this year start the construction of a new rolling mill producing light sections in Kazakhstan's northern Kostanay region. The project for the new mill named Evraz Caspian Stal is scheduled to be completed in 2012.
Accordingly, the new rolling mill will have an annual capacity of 450,000 mt of light sections, with the products to be delivered 50/50 to the domestic and foreign markets.
Currently, the parties are carrying out preparatory works for the construction of the new rolling mill and are in talks over financing with Eurasian Development Bank, reads the statement placed on the site of the Kostanay regional authorities.
The total cost of the project is estimated at Tenge 18.575 billion (about $126.6 million), of which Tenge 3.715 billion (about $25.3 million) will come from the funds of the two partners, and Tenge 14.86 billion (about $101.3 million), i.e., approx. 80 percent of the total cost of the project, will come from borrowed funds.