MANDATE FOR CHILISAI PHOSPHATE PROJECT FINANCE ADVISORY SIGNED
11.10.2010("Sunkar" or the "Company")
MANDATE FOR CHILISAI PHOSPHATE PROJECT FINANCE ADVISORY SIGNED
Sunkar Resources plc (AIM:SKR) is pleased to announce it has signed an agreement with UniCredit Bank AG ("UniCredit") for project finance advisory services. UniCredit will be the Company's sole advisor in relation to debt financing for its Chilisai Phosphate Fertilizer Project in Kazakhstan.
Donald Sinclair, Chief Financial Officer, of Sunkar, commented:
"Sunkar aims to be one of the lowest cost phosphate fertilizer producers in the world and this is an important step in the continuing development of the Chilisai Phosphate Project.
The Company is currently working with SNC-Lavalin and its other advisers on the Preliminary Information Memorandum, which will be announced later this year and will give investors and debt finance providers an update of the Project's economics. We are progressing the Bankable Feasibility Study ("BFS"), anticipating its completion in the first half of 2011. UniCredit have the experience and reputation in debt advisory, structuring and syndication to provide a tailor-made financing solution for the Project which is key to achieving a successful BFS.
Our relationships with the UniCredit Group, with both UniCredit Bank AG and the previously announced appointment of UniCredit Securities, Moscow to be our M&A advisors, are significant steps in the advancement of the Project. The Company is very pleased to be working with high quality financial institutions, with extensive experience and excellent credentials in global Project and Commodity Finance."
For further information please contact:
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Sunkar Resources |
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Serikjan Utegen, CEO |
Tel: +44 20 3178 5785 |
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Donald Sinclair, CFO |
Tel: +44 20 3178 5785 |
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Canaccord Adams Limited |
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Andrew Chubb Bhavesh Patel |
Tel: +44 20 7050 6500 |
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GMP Securities Europe LLP |
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Andrew Young |
Tel: +44 20 7647 2800 |
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Bankside Consultants |
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Simon Rothschild |
Tel: +44 20 7367 8888 |
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Louise Mason |
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Editors Notes
Sunkar Resources plc
Sunkar Resources plc, through a wholly owned subsidiary Temir Service LLP, operates a phosphate rock mine in Aktobe Oblast, North West Kazakhstan. Temir Service LLP holds a Subsoil Use Contract to part of the Chilisai Phosphate Rock Deposit. The contract area is estimated to contain 800 Mt of phosphate ore.
Sunkar's strategy is to build a world class integrated ammoniated phosphate fertilizer plant with low operating costs. Sunkar's low cost base derives from its near surface phosphate rock deposit, access to sulphur from the nearby North Caspian oil and gas fields and regional long-term marginal priced gas.
The Chilisai Phosphate Rock Deposit is ideally located on a transportation hub that spans the agricultural markets from Western Europe through to China.
UniCredit Bank AG
UniCredit is one of the leading project and commodity finance banks with one hundred professionals in various countries around the globe and total commitments of over USD 8 bn. A considerable number of these transactions include a combination of ECA and multi-lateral agency involvement. The global Metals & Paper team combines a deep rooted industry expertise with structured financing excellence. With more than 180 completed transactions and a 20-year track record the team have gained a reputation as one of the global leaders for structured financing in the sector.