Solidcore borrows $60 million from Kazakhstan's Bank CenterCredit for generation projects

ALMATY. Feb 19 (Interfax) - The Kazakh gold-mining company Solidcore Resources Plc (formerly Polymetal) has signed an agreement with Bank CenterCredit (BCC) for a $60 million loan for up to seven years to finance the construction of solar and gas piston power plants at its sites, the company said.

"Our agreement is the company's first deal in the debt financing market after restructuring. We are ready to continue productive cooperation with BCC and other financial institutions to implement the company's ambitious strategic projects," Solidcore Chief Financial Officer Evgenia Onushchenko was quoted as saying.

The funds will be used to build a 23 MW solar power plant and a 40 MW gas piston power plant at the Varvarinskoye deposit, as well as a 17 MW solar power plant in Kyzyl, the project for which will be submitted for the board's approval this year.

It is planned that the power plants will be commissioned in 2026, it said.

Among other things, their launch will help avoid costs associated with potential tariff increases. "The implementation of these projects will replace purchased electricity, which is primarily generated at coal-fired power plants, thereby reducing the company's emissions 27% compared to 2023, decreasing dependence on external energy sources and avoiding costs associated with potential tariff increases," it said.

Following the sale of its Russian business, Solidcore remains the second-largest gold producer in Kazakhstan. The company's largest shareholder is a consortium of Omani investors led by Mercury Investments International, a government-owned fund of Oman, which holds 29.7% of the company.

BCC has been operating since 1988, serving both corporate and individual clients. Its main shareholders are Bakhytbek Baiseitov (40.11%) and Vladislav Li (9.23%). According to the National Bank of Kazakhstan, as of January 1, 2025, BCC ranks third by asset size among Kazakhstan's 21 banks.