3 Jun 2014 07:00
3 June 2014
Kemin Resources plc
("Kemin" or the "Company")
Plans for Processing Plant Approved
Kemin Resources plc (LSE: KEM), the tungsten and molybendum exploration and development company with substantial interests in Kazakhstan, announces that its project to build a processing plant for the Company's Smirnovskoe and Drozhilovskoe rare metal deposits has been approved by the Kostanay regional authorities for inclusion in the State Programme On Forced Industrial-Innovative Development (SPFIID). The Kazakh Ministry of Industry and New Technologies (MINT) is required to prepare a report on the project which will then be presented to the Kazakhstan State Commission on Modernizaton headed by the Prime Minister for final approval.
This long-term programme is a government effort to boost projects that have strategic importance for the Kazakhstan economy. The SPFIID was established in 2010 as part of President Nazarbayev's initiatives for modernization of the Kazakhstan economy and pledges state support to selected projects by providing financing facilities such as grants and low interest loans, infrastructure development and policies to remove bureaucratic hurdles.
- income tax exemption for 10 years- land tax exemption for 10 years- property tax exemption for 8 years- reimbursement of up to 30 per cent of project capital expenditures - guarantees to keep tax rate, state tariffs unchanged for period of 10 years - policies to allow investors to hire foreign staff for the period of construction without applying for labour quotas
Sanzhar Assaubayev, CEO of Kemin Resources Plc. commented:
"Our efforts to include the processing plant project into the SFIID are bearing fruit and are bringing us closer to final approval by the Kazakhstan government. We look forward to being included in the SFIID in the near future as this will further significantly enhance the project's economic prospects especially taking into account recent changes in legislation aimed to boost investments into Kazakhstan economy."
Enquiries:
Kemin Resources plc
Rajinder Basra, CFO +44 (0) 207 932 2455
Strand Hanson (Nomad and Joint Broker)
Andrew Emmott
James Spinney
Ritchie Balmer +44 (0) 207 409 3494
Peat & Co. (Joint Broker)
John Beaumont, COO and Head of Research +44 (0) 203 540 1720
Blytheweigh (Financial PR)
Tim Blythe
Halimah Hussain
Camilla Horsfall +44 (0) 207 138 3204
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Kemin Resources plc (LSE ticker: KEM).
SFIID website: www.pfiir.kz