Rosbank and Vysochaishy (OJSC) GV GOLD entered into US$25 mln facility agreementRosbank and Taryn Gold Mining Company, part of Vysochaishy (OJSC) GV GOLD Group, entered into facility agreement amounted US$25 mln.
Facility period is 36 months. The financing is provided at a floating interest rate on the basis of three-month LIBOR.
Vysochaishy (GV Gold) established TGMC in 2012 to fulfil the project of development of the Drazhnoye goldfield. The company is conducting preparatory activity for building of the Taryn Ore Mining and Processing Plant. The launch of the first stream of plant is planned for the late 2016 – early 2017. The designed capacity of the first stream will amount to 700 Kt of ore per annum.
Vysochaishy (GV Gold) is in the Top-10 of gold mining companies in the Russian Federation. As of 2015, it has maintained the overall production of gold on the level of 2014 – 5.6 t (+1%). The main shareholders of the company are Chairman of the Board of Directors Sergei Dokuchaev and the members of the Board of Directors Valerian Tikhonov and Natalia Opaleva (20.36% each), the member of the Board of Directors Vladimir Kochetkov (5.46%). Furthermore, Blackrock investment fund owns 17.99%, Brishurt Ltd. owns 6.37% and EBRD owns 5.26%.
Deputy CEO, Chief Financial Director of Vysochaishy (OJSC) GV Gold, Vadim Dubovik commented: “Credit facility enabled us to diversify the loan portfolio of our Group and to start the co-operation with a reliable institution to finance one of our key projects. We appreciate a lot profound understanding of company requirments demonstrated by Rosbank and Societe Generale Group, as well as the high commitment of their employees.”
Deputy Chairman of the Management Board – Member of the Management Board of Rosbank, Head of Coverage and Investment Banking for Russia/CIS, Societe Generale Corporate & Investment Banking Ilya Polyakov commented: “This facility agreement is the first and a strategically important step towards the development of collaboration of Rosbank and Societe Generale with Vysochaishy (OJSC) GV Gold. We are glad to begin this co-operation and we are ready to develop it in future”.