CHINA’S LARGEST MINING COMPANY EXPRESSES INTEREST IN DEVELOPMENT OF RUSSIAN GOLD DEPOSITS
11 July 2016
The Far East Development Fund and China Gold have entered into discussions to establish a joint investment fund for the mining industry in the Russian Far East, RIA Novosti reports.
The agreement to establish the fund, planned to be signed before EEF, will open the door to joint Russian–Chinese gold mining projects, according to CEO of the Far East and Baikal Region Development Fund Aleksey Chekunkov.
In creating the fund, the Chinese partners intend to work with the structures already in place since the creation of the Russia–China Agricultural Fund in December 2015.
The terms set out the provision of 90% of the fund’s capital by Chinese investors at all stages, with the remaining 10% provided by Russian investors. Ten percent of project financing will come from the fund, with a further 10% from investors and 80% from bank credit.