EBRD funds construction of salt production facility in Kazakhstan
The European Bank for Reconstruction and Development (EBRD) is stepping in to address crucial water treatment and environmental issues in Aktobe, Kazakhstan’s fourth-largest municipality. The bank announced on March 18 that it is financing the construction of a new wastewater treatment plant and associated infrastructure in the city.
The EBRD is providing a sovereign loan of up to 47.4 billion tenge (US$105 million) to JSC Aqtobe Su-Energy Group, a state-owned company responsible for centralized water supply, wastewater treatment, and district heating in Aktobe. This loan, the EBRD’s largest municipal project in CentralAsia to date, will also support the development of a sludge treatment facility with a biogas-fueled power generation unit.
The new treatment plant will replace the current facility, which dates back to 1984 and is now considered outdated. It will have the capacity to process up to 100,000 cubic meters of contaminated water per day, meeting the needs of the 600,000 residents of Aktobe.
In addition to the project in Aktobe, the EBRD is also assisting the expansion of Araltuz, a leading salt producer in Kazakhstan. The bank is offering a convertible loan of up to 5.5 billion tenge (US$12 million) to support the company’s growth and help establish new manufacturing facilities for the production of vacuum salt.
The funds from the EBRD will enable Araltuz to diversify its export structure and reach new markets in Europe, the Middle East, and China. With over €10.1 billion (US$11 billion) invested in Kazakhstan through 320 projects, the country remains the EBRD’s primary and long-standing banking operation in Central Asia.
