S&P lowers the rating of ENRC to “B-”

S&P has lowered the rating of the Kazakh mining group Eurasian Natural Resources Corporation Ltd. (ENRC) from “B” to “B-”, forecast negative, LS reported referring to S&P report.

“We think within the coming few weeks the Kazakh mining group ENRC might show weaker EBITDA results due to the iron ore price fall. We expect within the next 12 months the company to face a liquidity deficit. As a consequence, we lower the long-term credit rating of ENRC from “B” to “B-”, credit analyst of S&P, S. Aschepkova, says.

Meanwhile the “negative” forecast shows the expectation of analysts upon the saving of pressure on the company’s liquidity due to a significant volume of debts that need to be settled. The company’s free monetary flow from the operational profit within the next 12 months will be negative, experts think.