31 MAY 2011www.alu.com.cn
Ord River Resources announces project financing proposal received for SARCO alumina refinery in Laos
Edited by : AL CIRCLE
2 min read
China Minsheng Banking Corporation has stated in a letter of proposal to Sino Australian Resources, it is the bank’s intention to provide the necessary project financing SARCO requires.
SARCO has proposed building USD 600 million, 600,000 tonne per annum capacity alumina refinery in Laos. The large size of the refinery should rank SARCO immediately behind Alumina in size. SARCO plans to close the gap by moving into production, expanding refinery capacity and acquiring new projects.
CMBC said that highlighting the level of support CMBC is putting behind SARCO. We believe the project in Laos presents a significant opportunity for SARCO and the Chinese alumina market. CMBC considers that 70% lending ratio can be applied to the project. CMBC is one of the largest privately owned and listed banks in China with a market capitalization of CNY 160 billion.
Ord River said that discussions are continuing with CMBC regarding SARCO’s project financing needs with Ord River also continuing to have dialogues with other financial institutions. We plan to secure the best project financing package agreement prior to IPO of SARCO.
SARCO is owned by Ord River and China Non Ferrous Metal Industry’s Foreign Engineering & Construction Company Limited. Importantly, CMBC has a close relationship with NFC, and has financed many of NFC’s EPC projects in the past.
SARCO has proposed building USD 600 million, 600,000 tonne per annum capacity alumina refinery in Laos. The large size of the refinery should rank SARCO immediately behind Alumina in size. SARCO plans to close the gap by moving into production, expanding refinery capacity and acquiring new projects.
CMBC said that highlighting the level of support CMBC is putting behind SARCO. We believe the project in Laos presents a significant opportunity for SARCO and the Chinese alumina market. CMBC considers that 70% lending ratio can be applied to the project. CMBC is one of the largest privately owned and listed banks in China with a market capitalization of CNY 160 billion.
Ord River said that discussions are continuing with CMBC regarding SARCO’s project financing needs with Ord River also continuing to have dialogues with other financial institutions. We plan to secure the best project financing package agreement prior to IPO of SARCO.
SARCO is owned by Ord River and China Non Ferrous Metal Industry’s Foreign Engineering & Construction Company Limited. Importantly, CMBC has a close relationship with NFC, and has financed many of NFC’s EPC projects in the past.
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