Monday, July 05, 2010 -
Kazakhstan has secured $700 million to expand the Ekibastuz Power Station into one of the largest coal-fired power plants in the world, LegalWeek.com reported Monday.
The financial deal was announced Monday in a ceremony in Astana attended by Kazakh President Nursultan Nazarbayev and Russian President Dmitry Medvedev.
Specifically, the money will ensure the building of a third generating unit for the power station that will boost its capacity by 50 percent, reported Legal Week.
The London-based company Dewey & LeBoeuf was primarily responsible for raising the capital, the report said.
Dewey & LeBoeuf managed their involvement in the process in Kazakhstan through their Almaty partner Aset Shyngyssov. In London, the financing team was directed by Dewey and LeBoeuf associate Matthew Hinxman working with associate Irina Zghibarti, the report said.
"We have a lot of experience working for Russian banks so it was particularly interesting to work on the borrower side for this transaction, as well as with companies and banks that are all owned or part-owned by the state,Hinxman told Legal Week.
"This deal further enhances our work in emerging markets and our Russian practice and we hope that this will lead to more work of a similar nature," he said.
The Linklaters law firm also participated in the financing process. It acted in an advisory role to banks participating in the process, including the Russian State Corporation Bank for Development and Foreign Economic Affairs and the Eurasian Bank of Kazakhstan.
The GRES-2 Corporation is a joint venture between the governments of Kazakhstan and Russia. Its facilities generate 12% of all electricity in Kazakhstan.