VEB resumes the financing of the Udokan deposit

As the Kommersant has got to know, the development of the project of the Udokan copper deposit in the Trans-Baikal region was estimated for the deal with VEB at 105 billion rubles. VEB should redeem 10.878% stake in the operator of the project BGK for 11.4 billion rubles, which the state-owned corporation will receive from the National Welfare Fund. Sources of the Kommersant note that this means the resumption of funding of special projects under the new scheme by VEB.

As a source close to VEB told the Kommersant, the project to develop the Udokan copper deposit in the Trans-Baikal region, belonging to shareholders of Metalloinvest through holding company Baikal Mining Company (HC BGK), got off the ground. "The scheme of the VEB participation was previously approved in principle at the government level (in September 2015), and in late June, the Supervisory Board of the state-owned corporation agreed on the key parameters of the deal on its entry into the capital of the operating company (LLC BGK), - said the Kommersant’s source. According to him, VEB will transfer 11.4 billion rubles in the authorized capital of LLC BGK, receiving in return a share in the amount of 10.878% (the company is estimated at 104.8 billion rubles), but it will happen gradually. VEB will have a put option to sell this stake to HC BGK.