Friday, April 13, 2012 -
The European Bank for Reconstruction and Development (EBRD) has invested in Kazakhstan-focused Hambledon Mining, the mining firm said on Wednesday.
In return for its $3 million investment, EBRD will receive 58.7 million new shares, equivalent to a 6 percent stake in the miner.
Hambledon Mining earlier this year reached a deal with the development bank that may see as much as $20 million in investment of the Sevisovskoye gold mining operation in eastern Kazakhstan, which is critical to the mining firm.
Hambledon ran into some trouble with the Kazakh government at the end of last year, when a leak at one of its waste dams contaminated local waters and endangered the health of local residents.
The Kazakh government subsequently slapped the British miner with a $1.8 million fine.
The company also suspended the activity of the Sekisovka open pit mine for a month to repair the leak.