CDB provides $120 million loan for 60MW Shelek Wind Power Plant Project

On August 31, 2015, the Development Bank of Kazakhstan JSC (DBK) signed a framework agreement on the organization of funding between Kazakh state-owned “Samruk-Energy” JSC and China Development Bank (CDB) for the Shelek Wind Power Plant Project. Under the terms of this agreement, CDB agreed to provide $120 million and DBK agreed to provide $35 million to Energiya-Semirechya LLP — a special purpose vehicle and joint venture of Hydrochina Corporation (50% equity stake), Samruk Energy JSC (25% equity stake), Powerchina Chengdu Engineering Corporation (15% equity stake), and Powerchina Resources Ltd (10% equity stake) — for the implementation of this project. The purpose of the project was to construct a wind farm in the village of Shelek, in the Enbekshikazakh District of the Almaty Region. The project also involved the construction of a substation (SS-110/35kV "WPP Shelek 60MW”), a 110kV overhead line from SS-110/35kV "WPP Shelek 60MW" to SS-220/110/10kV 68I "Shelek”, and a 35kV overhead line. The wind farm was expected to 60 MW of power generation capacity upon completion, with capacity for expansion to 300 MW. “Samruk-Energy” JSC and Power Construction Corporation of China Ltd. were responsible for project implementation. The project also relied on Xinjiang Goldwind Science & Technology's Co., Ltd. to obtain and install 24 units of GW 130-2.5MW smart wind turbines. Construction began on June 27, 2019. However, the first phase of the Shelek 60 MW wind power project was not officially launched until July 24, 2019. In mid-June, 2021, the first batch of equipment was delivered to the construction site. Then, on November 18, 2021, the first wind turbine unit was hoisting into place. The wind farm was ultimately put into operation on September 12, 2022. It was originally expected to be put into operation in August 2022. As part of the wind farm’s official commissioning activities, a Memorandum of Cooperation was signed by “Samruk-Kazyna” JSC and Power Construction Corporation of China Ltd., which states that a second phase of of the project will be undertaken to increase the wind farm’s power generation capacity from 60MW to 300 MW.

Additional details

1. The Chinese project title is 谢列克风电项目 or 谢列克项目 or 谢列克一期60MW风电项目. The Kazakh project title is Шелек дәлізінде жел электр станциясын салу or «Шелек дәлізінде қуаты 60 МВт, болашақта 300 МВт-ға дейін кеңейтілетін жел электр станциясын салу». 2. “Samruk-Energy” JSC is the largest power holding company in Kazakhstan, 100% owned by “Samruk-Kazyna” SWF” JSC. It was established in 2007. Key business lines are electricity and heat production; transmission, distribution and sale of electricity, power coal mining. The Company was established in 2007, “Samruk-Kazyna” SWF” JSC holds 100% of shares. The holding company comprises energy and coal enterprises, including “Ekibastuz SDPP-1” LLP, “Ekibastuz SDPP-2 Plant” JSC, “Bogatyr Komir” LLP, “Almaty Power Plants” JSC, “Moynak HPP” JSC, “Shardarinsk HPP” JSC, etc. 3. Some sources suggest that HYDROCHINA Shelek Power (Hong Kong) Co., Limited (中國水電顧問集團謝列克(香港)投資有限公司) — a wholly-owned subsidiary of PCR that was established in Hong Kong between August 2019 and December 2019 — is the borrowing institution rather than Energiya-Semirechya LLP is not the borrowing institution. This issue warrants further investigation. 4. For the time being, AidData assumes that the CDB loan was issued in the first year of construction (2019).

Number of official sources

16

Number of total sources

26