Bank of China (Beijing) contributes to $286 million syndicated buyer’s credit for Qazaq Soda Ash Plant Construction Project

Project narrative

On December 22, 2023, Qazaq Soda LLP — a special purpose vehicle and wholly-owned subsidiary of Yildirim Group — signed a $286 million syndicated buyer’s credit facility agreement with six lenders for the Qazaq Soda Ash Plant Construction Project. Participants in the syndicate included ING Bank, ING Bank Singapore, Bank of China Limited Beijing, the Development Bank of Kazakhstan, Halyk Bank, and AB Bank of China Kazakhstan. The borrowing terms of the loan are unknown. However, it is known that Yildirim Holding and Eti Krom served as guarantors and the loan was backed by a Sinosure credit insurance policy. It is also known that the borrower is expected to partially finance a $336,580,609 commercial (EPC) contract with China CAMC Engineering Co., Ltd., which was signed in September 2021. The purpose of the project is to construct a soda ash (sodium carbonate) production factory in the Sarysu district of the Zhambyl region with the capacity to produce 400,000 tons of soda ash and other raw materials each year. The factory is expected to employ 1500 people during the construction phase and approximately 300 people once it is brought into service. A consortium of China CAMC Engineering Co., Ltd., Dalian Dahua Engineering Design Co., Ltd., and SemArco LLP is the EPC contractor responsible for implementation. On January 2, 2024, China CAMC Engineering Co., Ltd. received advance payment under its EPC contract with Qazaq Soda LLP and began construction.