Jiangxi Copper says Afghan project worth $4.4 bln
HONG KONG, June 30 |
HONG KONG, June 30 (Reuters) - Jiangxi Copper Co (0358.HK), China's top integrated copper producer, said its copper mining project with China Metallurgical Group Corp in Afghanistan will have a total investment of $4.4 billion.
Jiangxi Copper (600362.SS) will pay HK$2.57 billion ($329 million) for a 25 percent stake in the project with China Metallurgical owning 75 percent, it said in a statement late on Sunday.
About 30 percent of the total investment will be contributed initially by the two partners as capital injection and 70 percent will be funded by project finance, it added.
The two companies have also agreed to introduce independent investors to the project.
Jiangxi Copper said in May that the two Chinese firms would pay $808 million for the right to explore and exploit minerals in a copper mine field in Afghanistan. [ID:nHKG163990]
The two companies won the contract through a tender last year to develop the vast Aynak Copper Mine, as Chinese companies accelerate a search for minerals abroad to feed the world's fastest-growing major economy. ($1=HK$7.801) (Reporting by Alison Leung; editing by Jonathan Hopfner)
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