Interfax
December 11

CITIC Pacific Ltd., of China is to build a soda plant in Uzbekistan costing $100 million, a source from Uzkhimprom, which ordered the construction, told Interfax.

The Chinese company has started supplying equipment for the plant and installation is expected to begin at the end of the first quarter of 2004.

The building will take place according to a government approved schedule, the source said. The Kungradsky soda plant is expected to be launched at the end of August 2004. It will have the capacity to produce 100,000 tonnes of calcined soda a year.

CITIC Pacific signed a turnkey construction agreement with Uzkhimprom for the technological part of the soda plant at a cost of $32.3 million. This part of the project will be financed by the Industrial and Commercial Bank of China and a loan of around $3 million from Uzpromstroibank (guaranteed by the Uzbek government). The Chinese export credit insurance corporation will provide insurance cover of $29.23 million.

Uzkhimprom will use its own funds for general construction work.

---