Bank of China provides $67 million loan for Cambodia Cement Chakrey Ting Factory Project (Linked to Record ID#85697)

Project narrative

On November 18, 2012, under the witness of Premier Wen Jiabao and Cambodian Prime Minister Hun Sen, Bank of China issued a $67 million loan for the Cambodia Cement Chakrey Ting Factory Project (captured via Record ID#62456). The purpose of the project was to equip the Cambodia Cement Chakrey Ting Factory with the latest tools and technologies from abroad to ensure that it could produce high-quality cement products according to international standards. The total project cost was approximately $99 million, with the remaining $32 million financed by shareholders (via equity investment, as captured in linked Record ID#85697). The Cambodia Cement Chakrey Ting Factory is located in Kampot Province and it was first built with Chinese aid during the 1960s. It is currently administered by a Sino-Cambodian joint venture called Cambodia Cement Chakrey Ting Factory Co., Ltd, which is owned by Cambodia’s Cement Construction Resource Co., Ltd and China’s Urec Overseas Investment Co., Ltd. Union Resources & Engineering Co. Ltd (UREC) was the EPC contractor responsible for implementation. A formal groundbreaking ceremony took place on December 27, 2012. The expected duration of the construction period was 23 months. The project had achieved a 98 percent completion rate by June 2014. Upon completion, the factory was expected to produce more than 3,200 tonnes of building material every day. It was also expected to directly create 200 jobs and indirectly create 1000 jobs. The factory began operations on August 30, 2014. In March 2014, Huaxin Cement Co., Ltd. announced that it had purchased a 28% ownership stake in Cambodia Cement Chakrey Ting Factory Co., Ltd. for $32.9 million.