Amendment to CDB facilities

KAZ Minerals PLC (“KAZ Minerals” or “the Group”) has signed an amendment to its existing $2.3 billion debt facilities with China Development Bank Corporation (“CDB”) and Joint Stock Company “Sovereign Wealth Fund “Samruk-Kazyna” (“Samruk-Kazyna”) obtained principally for the development of the Bozshakol and Bozymchak projects. Key changes to the terms of the amended facilities are as follows: 

• The facilities will become bilateral between KAZ Minerals and the CDB
• Interest rate lowered from USD LIBOR plus 4.80% to USD LIBOR plus 4.50%
• Arrangement fee of 0.5%, 60% payable in December 2014 and 40% payable in January 2016
• Balance sheet covenants aligned with those applicable to the $1.5 billion Aktogay CDB facilities, which include adjustments to mitigate the translation impact of movements in the US dollar/tenge exchange rate

As at 30 November 2014, the principal balance outstanding on the facilities was $2,086 million. Repayment of the previous facilities with Samruk-Kazyna and drawing of the new facilities directly from CDB is expected to occur during Q1 2015. All other material terms of the facilities, including the repayment schedule and final maturity, remain unchanged.

Please follow the link to download the full announcement