RUSAL Secures Loans for TaAZ Construction
Leading Russian aluminium producer RUSAL has signed and started the drawdown of a syndicated loan agreement for 45 billion rubles with VTB and
Leading Russian aluminium producer RUSAL has signed and started the drawdown of a syndicated loan agreement for 45 billion rubles with VTB and Gazprombank. The funds raised will be used to finance capital expenditure for the completion of the first start-up complex of the Taishet aluminium smelter TaAZ. Following the success of the first Russian sustainability-linked syndicated pre-export finance facility for USD 1 billion as part of the loan agreement, VTB will provide 30 billion rubles, whilst Gazprombank will provide 15 billion rubles. The term of financing is up to 15 years. The funds raised will be used to help finance the completion of the start-up phase of the TaAZ smelter and partial refinancing of investments made in 2020.
The Taishet aluminium smelter, which is being built by RUSAL in the Irkutsk region, will create approximately three thousand jobs. At this site, the most advanced technologies in the field of ecology, automation of workplaces, and equipment will be used – control of machines and mechanisms from the loading of alumina, to the packaging of finished ingots will be carried out using artificial intelligence, databases and online monitoring. Aluminium production at TaAZ will be powered by clean renewable hydroelectricity, which will increase the Group’s share of low-carbon high-quality aluminium products on the market.
The design capacity of the first start-up complex will be 428.5 thousand tons of primary aluminium per year and the smelter will commence operations in 2021. The products from the Taishet aluminium smelter will also meet the growing demand for aluminium on the Russian market. The project provides for the production of primary aluminium (small ingots) and alloys based on rolling slabs and billets (up to a maximum of 80% of total production).