“Development Bank of Kazakhstan” JSC (a subsidiary of “Baiterek” Holding, hereinafter – the Bank, DBK) has commenced financing of an investment project for the construction of a sodium cyanide production plant in the Zhambyl Region. The financing is being provided under a credit line agreement concluded with “AltynAlmasReagents” LLP a subsidiary of “AK Altynalmas” JSC.
The start of financing coincided with the 16th meeting of the Kazakh-German Business Council and represents a logical continuation of the agreements reached during the meeting between the Head of State, Kassym-Jomart Tokayev, and Member of the Board of Directors of Euler Hermes Edna Schöne in 2023. That meeting laid the foundation for financial cooperation between the Development Bank of Kazakhstan and Landesbank Hessen-Thüringen Girozentrale (Helaba) for the implementation of this project.
The loan amount from DBK will total up to EUR 98.8 million, which will be allocated for construction and installation works as well as equipment procurement. The borrower’s own contribution amounts to EUR 33.2 million. The financing term for the project is up to 10 years.
As part of the project implementation, the involvement of the German company Glatt Ingenieurtechnik GmbH is planned. The company will be responsible for basic engineering, equipment supply, construction supervision, commissioning, and support in achieving the project’s performance indicators. The plant will utilize licensed technology from DuPont, a global leader in chemical manufacturing.
As emphasized by the Head of State Kassym-Jomart Tokayev during the “Kazakhstan–Germany” Business Forum last year, the presence of German manufacturing companies in Kazakhstan promotes the introduction of advanced technologies into the country’s industrial landscape.
The plant is being constructed within the "Jibek Joly" Special Economic Zone (formerly the “Taraz Chemical Park”), which aims to develop new high value-added chemical production facilities based on modern and environmentally friendly technologies.
The plant is expected to have a production capacity of 25,000 tons per year. It will generate a multiplier effect on regional development by creating jobs and fostering small and medium-sized enterprises through the supply of goods and services to a major manufacturing facility. Up to 200 jobs are expected to be created during the construction phase, and once operational, the plant will provide up to 108 new jobs for the local population. The launch of the plant is scheduled for 2027.
Sodium cyanide is a critical and irreplaceable chemical reagent used in the gold mining industry. The new project is aimed at import substitution and enhancing domestic value creation. The plant will fully meet the needs of “AK Altynalmas” JSC and the domestic market of Kazakhstan, while also exporting its products to Uzbekistan, Mongolia, Tajikistan, and Kyrgyzstan.
The project envisions maximum localization, including the use of domestically produced auxiliary equipment, process vessels, and non-standard equipment.
The project will give a strong impetus to the development of the chemical industry by creating additional demand for a range of chemical compounds, such as ammonia and caustic soda, which will be supplied to major local enterprises.
