Other News - Russia
NEVA-RUS INVESTMENT COMPANY IS THE BUYER OF GEORGIAN ASSETS OF
GEOPROMINING
/JUN 18/arminfo/
The ultimate buyer of Madneuli and Quartzite enterprises, the Georgian
assets of GeoProMining Group (Russia) is Neva-Rus CJSC, another large
Russian investment company, reliable sources in Tbilisi told ArmInfo.
To recall, GeoProMining (GPM) has announced that on June 14, 2012, it
completed the sale of GPM Georgia BV that represents the sale of two
Georgian companies Madneuli and Quartzite for a total cash consideration of
US$120mln. However, the company did not specify the counterparties to the
transaction. According to ArmInfo's information, the counterparties are
Georgian structures, whose ultimate beneficiary is the St-Petersburg-based
Neva-Rus CJSC. In 2010 the investment company acquired the Metal Prince
company in Armenia, which was the owner of Akhtala mining and processing
plant and Sagamar company. Later, through Metal Prince company, the full
block of shares of Molibdeni Ashkhar company (World of Molybdenum) was
acquired. The latter develops the Dastakert mine. According to the
company's data, the investments in the ore-mining sphere of Armenia have
amounted to 100 mln USD.
Karen Kazaryan, Investment Manager of Neva-Rus CJSC, says that the
company's portfolio in Russia includes the network of O'Kay hypermarkets,
St.Petersburg Bank, Mega Auto dealership network, as well as the network of
Chaynaya Lozhka (Tea Spoon) restaurants and other assets. The range of
interests and the geography of investments cover Russia, the CIS countries,
the Middle East, the countries of Eastern Europe and Africa.
GEOPROMINING ANNOUNCES COMPLETION OF SALE OF GPM GEORGIA BV
THAT REPRESENTS THE SALE OF MADNEULI AND QUARTZITE FOR A TOTAL
OF US$120 MLN
/JUN 18/arminfo/
GeoProMining ("GPM" or the "Company") announces that on June 14, 2012, it
completed the sale of GPM Georgia BV that represents the sale of two
Georgian companies Madneuli and Quartzite for a total cash consideration of
US$120m. This is reported by the official website of the company, however,
the buyer of these Georgian assets is not mentioned.
The press release of GPM says that GPM acquired both the Georgian coppergold mining company Madneuli and the gold mining company Quartzite in 2005
with the goal of becoming a leading gold producer in the Caucasus region.
Such strategy has been successfully executed and these businesses have
demonstrated growth in annual production of five times under GeoProMining's
management. The divestiture is a direct result of the Company decision to
consider its strategic options for these entities following the recent
tender organized by the Georgian government where Madneuli's mining license
was tendered and acquired by a company not affiliated with GPM, effective
from May 2014.
GeoProMining considers the divestiture as in the best interests of its
shareholders. The transaction will enable GPM to focus its regional growth
strategy on its subsidiaries in Armenia, namely GPM Gold and the Agarak
copper-molybdenum mine complex, and on its antimony-gold assets in Russia,
whilst at the same time substantially strengthening the Company balance
sheet.
GeoProMining's CEO, Roman Khudoliy, commented on the divestiture: "We have
been working for the past few months to monetize our Georgian presence and
are pleased to announce the successful conclusion of these efforts. Our key
business priority is to now complete the expansion of the Albion processing
facility at the Ararat facility in Armenia, which will transform GPM Gold
into a world class asset, and support our multi-year growth expectations."
GeoProMining's Senior Vice-President, Sergei Nossoff, added: "This is a new
beginning for GeoProMining and an opportunity to focus on developing very
promising projects in both Armenia and Russia and in addition, to look at
opportunities in new regions for GPM. We believe our unique combination of
gold-copper-antimony projects in the CIS region is unmatched in the mining
industry and we can use this combination as leverage and foundation for
future growth."
VTB Capital acted as financial advisor on the transaction and Clifford
Chance acted as legal advisor to GeoProMining.
IRAN, RUSSIA, CHINA, SYRIA TO HOLD JOINT DRILLS
/JUN 19/PanARMENIAN.Net/
The Iranian, Russian, Chinese and Syrian armies are due to stage joint
amphibious drills along the Syrian costs in coming weeks, informed sources
said, according to Fars News Agency.
Sources said 90,000 troops from the four countries will take part in the
land and sea wargames due to be held in Syria. Land, air and sea forces as
well as air defense and rocket units of the four countries will take part
in the exercise.
Sources also said that Egypt has acceded to grant passage to 12 Chinese
warships to sail through the Suez Canal, adding that the military convoy is
due to dock at the Syrian harbors in the next two weeks.
Russian atomic submarines and warships, aircraft carriers and mine-clearing
destroyers as well as Iranian battleships and submarines will also arrive
in Syria at around the same date.
Syria plans to test its coast-to-sea and air defense missiles in the
wargames.
A total of 400 warplanes and 1,000 tanks will also be used in the
exercises.
A Syrian official, who spoke on condition of anonymity, informed two weeks
ago that the drills would be conducted in Syria soon.
Unofficial sources also said the four countries are now busy with taking
swift preparatory measures for these biggest-ever wargames in the MiddleEast.
Sham Life reported that the maneuvers will be stage in less than one month
from now, that is early June.
RUSSIA TO DOUBLE ARMENIA BASE CONTRACT STAFF
/19 JUN/RIA Novosti/
MOSCOW - Russia will double the number of contract personnel at its
military base in Armenia, a senior official said on Tuesday.
"The number of contract servicemen at the Russian base at Gyumri will be
doubled by the end of 2012," Col. Igor Gorbul, a spokesman for Russia's
Southern Military District, told reporters in Moscow.
Permanent staff numbers, however, will remain at the current 5,000, Gorbul
added.
Russia's parliament voted last year to extend the country's lease of the
base through 2044.
The base, near Armenia's border with Turkey, is part of the post-Soviet
Commonwealth of Independent States air defense system and is home to S-300
anti-aircraft missiles and Mikoyan MiG-29 fighters.
CHATHAM HOUSE: WANING RUSSIAN INFLUENCE ON SOUTH CAUCASUS AND
CENTRAL ASIA
/JUN 20/news.am/
Armenian News-NEWS.am presents an extract from the Long Goodbye: Waning
Russian Influence in the South Caucasus and Central Asia by the British
Chatham House expert James Nixey.
The South Caucasus, with its potential interstate conflict, presents a
complex arena for Russian power. The levers of Russian influence indeed
vary, including economic and military influence in Armenia, hardly present
in Azerbaijan, and essentially related to negative publicity as well as
economics in Georgia. Russia's influence in Armenia is so great that lack
of sovereignty should really concern Armenia.
Russia's support of Armenia in the Nagorno-Karabakh peace process has been
based on several factors, including limiting Turkish influence, countering
a Russophobic Azerbaijan in the early years of independence, and longstanding cultural ties reflected in the large Armenian diaspora in Russia.
Russia approaches its mediation over Nagorno-Karabakh as far as its
influence matters and is not really interested in a settlement. This is
testified by Russian objections to an international peacekeeping force and
to changes in the Minsk Group parties.
In case of wide range resumption of the Nagorno-Karabakh conflict, it would
jeopardize Russia's position in Azerbaijan and Turkey, in particular if the
Armenians required military assistance. At the same time, Russia granted
Armenia a preferential loan in 2010 amounting $500 million to be paid off
during 15 years, assisting to resist the financial crisis. The extent to
which Russia has acquired actual political gains from energy and
infrastructure ownership brings forth debates within Armenia.
Nevertheless, Russia still retains a more multi-dimensional presence in
the South Caucasus and Central Asia than any other country, and this may be
its greatest asset in the more complex international order.
RUSSIA-U.S. MISSILE DEFENSE DISPUTE RESOLUTION UNLIKELY –
PUTIN
/JUN 20/PanARMENIAN.Net/
The missile defense dispute between Russia and the United States will not
be resolved regardless of whether President Barack Obama will be re-elected
in November, Russian President Vladimir Putin said.
"The United States has been following the path of creating its own missile
defense for more than one year, and I do not see anything that could change
its approach," Putin told journalists following the G20 summit in Los
Cabos, Mexico.
Putin said the situation would change only if the United States agreed to
build the missile defense system jointly with Russia and the European
Union.
"This means all three participants would jointly be building that system,
and would be able to jointly assess threats, manage that system and make
decisions on its use," he said.
"But this does not mean we are unable to agree on some fragments of that
joint work. I think it is possible," Putin said, RIA Novosti reported.
Russia and NATO agreed to cooperate on the so-called European missile
defense system at the Lisbon summit in November 2010. NATO insists there
should be two independent systems that exchange information, while Russia
favors a joint system with full-scale interoperability.
Russia has retained staunch opposition to the planned deployment of U.S.
missile defense systems near its borders, claiming they would be a security
threat. NATO and the United States insist that the shield would defend NATO
members against missiles from North Korea and Iran and would not be
directed at Russia.
Moscow insists it should receive legal guarantees from Washington that its
European missile defense shield will not target Russia's strategic nuclear
forces.
Russia's military and political leaders have repeatedly warned their
western partners that if talks fail, Moscow may take a series of measures
including deployment of Iskander short-range nuclear-capable ballistic
missiles in the Kaliningrad exclave.
U.S. FIRM TO BUY TEN RUSSIAN-MADE BE-200 JETS
/JUN 20/PanARMENIAN.Net/
An American company has signed up to buy ten Russian-made Beriev Be-200
amphibian aircrafts for use in the fire-fighting "airtanker" role, in a
breakthrough contract to the U.S. market for the plane, RIA Novosti
reported.
"We have contracted for 10 Be-200s to use by us under expected federal and
state fire fighting contracts," says TTE's President, David Baskett.
TTE will lease the aircrafts to airtanker operators in the U.S.
The value of the deal has not been disclosed, but in 2010 Russia's
Emergencies Ministry signed a $330 million deal for eight of the planes
configured for firefighting.
Neither Beriev, which makes the planes, or United Aircraft Corporation,
Russia's aerospace holding company, was available to confirm the deal on
Wednesday, June 20.
The contract award follows months of trials for the U.S. Interagency Air
Tanker Board, which promotes safety of airtanker operations in the U.S..
The aircraft was demonstrated in Taganrog, south Russia in May, and made
practice water-drop demonstration flights for United States Forest Service
officials, according to fireplanes.org. The Taganrog trials were conducted
jointly by International Emergency Services, and Beriev, which funded the
trials.
The Be-200 can land on water and scoop up 3,000 gallons (12,00 liters) of
water into its hull, and can then fly quickly to an affected area and drop
its load onto a fire. It can also be reconfigured for search and rescue or
passenger flying. Beriev is the world's only maker of large amphibious jet
aircraft.
The United States has an urgent need to renew its air tanker fleet as many
existing planes in the role are obsolete and coming to the end of their
lives. The FAA, the country's aviation watchdog, recently ordered safety
checks on Lockheed Neptune P2V air tankers operated by Neptune Aviation
after large cracks were found on a wing spar in one aircraft.
Russian Military Contingent to Double in Armenia
/JUN 21/Global Insight/Lilit Gevorgyan/
Colonel Igor Gorbul, a spokesperson for Russia's Southern Military
District, was quoted by the state-owned Russian news agency RIA Novosti as
saying that the figure of 5,000 "permanent" troops in Russia's 102nd
Military Base at Gyumri, northern Armenia, will remain unchanged in the
long term, but will temporarily be doubled. Colonel Gorbul also stated that
the permanent military personnel will also receive higher salaries and
other benefits. The increase in troop numbers is likely to be linked to the
upcoming Kavkaz 2012 military drills. These military exercises will take
place in September, involving the Russian military capabilities in the
region, and follow increased instability in the region, including more
intensified talks of a possible Israeli attack on Iran, which Russia
strongly opposes.
Significance: The increase in the Russian troop numbers, although
potentially linked to the Kavkaz 2012 military drills, are also a strong
message for Armenia's neighbouring Azerbaijan, recently accused by Armenia
of crossing the international border and staging two deadly incursions into
Armenia's north-eastern Tavush region. Azerbaijan has denied the incursions
but reported that a number of its troops were killed in its Ghazakh region
neighbouring Armenia's north-eastern province. Armenia, unlike Azerbaijan,
is a member of the Russian led Collective Security Treaty Organization
(CSTO) which also provides a collective security guarantee to Armenia. In
March this year the CSTO Secretary-General Nikolai Bordyuzha stated that,
"If unfriendly actions are taken against Armenia, all member states will
provide relevant assistance to Armenia." In the absence of any peacekeepers
in the Armenian-Azerbaijani conflict, the precarious peace rests on
deterrence. The Russian military presence is Armenia's attempt to balance
Azerbaijani military spending, which it cannot match.
RUSSIA TO START S-400 DELIVERIES TO CHINA IN 2017
/JUN 27/PanARMENIAN.Net/
Russia will start exports of the S-400 Triumph air defense missile systems
to China no earlier than 2017.
"An export version of the S-400 Triumph air defense missile will have been
developed by 2017 with the Chinese to be the first clients," a source in
the defense industry told RIA Novosti on condition of anonymity.
Russia currently has four S-400 regiments - two in the Moscow region, one
in the Baltic Fleet and one in the Eastern Military District.
By 2020, Russia is expected to have 28 S-400 regiments, each comprised of
two battalions, mainly in maritime and border areas.
In early June, Russian Defense Ministry said there were no plans to export
the S-400, which will be produced only for the Russian Armed Forces.
The S-400 Triumph, which succeeds the Soviet-era S-300, is a medium- to
long-range surface-to-air missile system that can effectively engage any
aerial target, including aircraft, unmanned aerial vehicles, and cruise and
ballistic missiles at up to 400 kilometers and an altitude of up to 30
kilometers.
NEW S-400 LONG-RANGE MISSILE TO ENTER SERVICE - RUSSIAN
OFFICIAL
/JUN 28/PanARMENIAN.Net/
A new long-range missile for Russia's formidable S-400 air defense system
will soon enter service, chief-of-staff of Russia's Air and Missile Defense
Command Maj. Gen. Andrei Demin said on Thursday, June 28, according to RIA
Novosti.
"A long-range missile for S-400 has passed all trials and will soon be
delivered to air defense units," Demin told RIA Novosti without specifying
the model.
According to experts, it could be the 40N6 variant, which has an active
radar homing head and is capable of destroying airborne targets at ranges
of up to 400 kilometers (250 miles).
Russia currently has four S-400 regiments - two in the Moscow region, one
in the Baltic exclave of Kaliningrad, and one in the Eastern Military
District.
By 2020, Russia is to have 28 S-400 regiments, each comprised of two
battalions, mainly in maritime and border areas.
The S-400 Triumf long- to medium-range surface-to-air missile system can
effectively engage any aerial target, including aircraft, unmanned aerial
vehicles, and cruise and ballistic missiles at up to 400 kilometers and an
altitude of up to 30 kilometers.
RUSSIA, INDIA NEAR A DEAL ON TANK AMMUNITION
/JUN 29/PanARMENIAN.Net/
Russia is nearing a deal with India on manufacture and delivery of advanced
tank ammunition, Rosoboronexport, a state-run arms exporter, said on
Friday, June 29.
"The first round of negotiations on the delivery of 3UBK20 (Mango) tank
ammunition has been completed and the second round - on its licensed
manufacture in India - will start on Monday," company deputy head Igor
Sevastyanov said.
He did not specify the volume of deliveries, only saying it was "big."
Russia has already started building a joint venture in India to manufacture
rockets for Smerch multiple rocket launch systems, he said.
Another Rosoboronexport official, Viktor Komardin, earlier said Russian
arms sales to India could be worth an estimated $3 billion a year, RIA
Novosti reported.
GAZPROM WARNS TURKEY OVER AZERI GAS PIPELINE DEAL
/JUN 28/Reuters/
MOSCOW - Gazprom on Friday sent a warning signal to its second-largest gas
consumer Turkey over Ankara's agreement with neighbouring Azerbaijan to
built a gas pipeline to Europe, a rival to Moscow-backed planned South
Stream trunk.
Gazprom is anxiously watching the latest developments in Azerbaijan, whose
gas fields are the most developed new non-Russian sources of natural gas
that can be pumped to the European Union through pipelines.
Moscow is keen on keeping Azerbaijan, its former Soviet satellite, within
the orbit of influence and is trying to secure access to the country's vast
gas riches, a bone of contention between Europe and Russia.
On Tuesday, Turkey and Azerbaijan signed an inter-governmental agreement on
the $7-billion Trans-Anatolian natural gas pipeline project (TANAP),
designed to carry Azeri natural gas across Turkey to Europe.
Gazprom also said it increased gas supplies to Turkey after it requested
more volumes of Russian gas following a pipeline explosion, which hampered
gas flow from Iran to Turkey.
But Gazprom's spokesman Sergei Kupriyanov said if the Trans-Anatolian
project is "completed as planned in 2018, Turkey could then apply for help
to Baku," according to Gazprom's emailed statement.
In another development, which undermines Russian grip on the former Soviet
Republic, Azeri's Shah Deniz II consortium, led by BP Plc and Statoil, on
Thursday selected the Nabucco West pipeline for one of two possible routes
to carry Caspian gas to western Europe.