LIST OF INVESTMENT PROJECTS IN THE SPHERE OF AIC TO ATTRACT FOREIGN INVESTORS ASTANA 2009 Wholesale agricultural market (with regional terminals) Project objective: construction of modern advanced wholesale market with regional terminals Location: wholesale market in Astana, regional terminals in the towns of Arys, Aktau, Ust-Kamenogorsk Project capacity: provision of capital’s population with food products with the output of: fruit and vegetables – 90 thousand ton; meat foods, fish- up to 40 thousand tons a year Project Cost: 33 760,911mln. KZT (US$226,6 mln.), the Republican Fund allocates: 10 763,54 mln. KZT, in 2008 - 298 mln..KZT, 2 in 2009 . – 1 000 mln. KZT, in 2010 – 4 538 mln. KZT, in 2011 – 4 927,54 mln. KZT. Recoupment term : 10 years . Launch: December 2011 Progress: the choice and adjustment of lots for construction of the wholesale agricultural market and regional terminals and their procurement have been made. The Feasibility Study (FS)of the construction of wholesale agricultural market was drawn up and confirmed in Astana (hereinafter WAM). Design Estimates of WAM have been made in Astana. The elaboration of FS of regional terminals in Arys, Ust-Kamenogorsk and Aktau is in the process. The term of completion is late February 2009. Collection of specifications is being done to link-up networks. Initiator: JSC NC Prodcorporation 1 Grain processing factory in North-Kazakhstan oblast Project objective: construction of grain processing factory in North-Kazakhstan oblast Location: village of Novoishimskoe, G.Musrepov rayon of NorthKazakhstan oblast Capacity: production of gluten– 34, 2 thousand tons, starch-175 thousand tons, feeding scalpings- 66 thousand tons. Project cost: 25 832,0 mln. KZT (US$173,4 mln.), the Republican fund allocates: 2 335,25 mln.KZT, in 2010 – 441,5 mln. KZT, in 2011– 1 893,75 mln.KZT. Recoupment term : 7,9 years. Launch: IV quarter of 2012 Progress: At present search of potential partner-investors is being made. A number of meetings with foreign companies like MAN Ferrostal (Germany), Cargill (the USA) was conducted. However, the issue of the project investment is left open. Initiator: JSC NC “Prodcorporation” 2 Bio ethanol production complex of two industrial objects in the territory of the Republic of Kazakhstan and Czech Republic Project objective: construction and launch of a single bio ethanol production complex of two industrial objects in the territory of the Republic of Kazakhstan and Czech Republic. Location: Czech Republic, Karlovary oblast, Vrzhesova, the Repubic of Kazakhstan, Chemolgan station, Ilyiiskii rayon, Almaty oblast. Capacity: bio ethanol production- 63 148 700 litres a year in Czech Republic, 72 621 005 litres a year in the Republic of Kazakhstan; Production of dry fodder for cattle- 54 thousand tons a year in Czech Republic, in the Republic of Kazakhstan – 54 thousand tons a year 112 600 000 Euros, required investments –bio ethanol factory in Czech Republic – 62 mln. Euros, bio ethanol factory in Kazakhstan -49 mln. Euros. Project Cost: Recoupment term : 6 years Launch: May 2010 . Progress: business-plan of the project is elaborated Initiator: LLP «Chebio- Hebio», the Republic of Kazakhstan, CHEBIO, a.s. /JSC «Hebio»/, Czech Republic 3 Construction of livestock complex jointly with meat processing and fodder production factory Project objective: creation of vertically integrated production structure and high-quality agricultural products processing with closed cycle in North-Kazakhstan oblast; Increase of export potential of the country due to agricultural raw products processing. Location: North Kazakhstan oblast, the village of Tainsha Capacity: Pig-breeding complex for 100 thousand heads a year; Fodder production factory -210 thousand tons a year; Meat-packing plant – 15 thousand tons of meat a year, 9 thousand tons of sausages; Poultry factory – 420 thousand laying hens a year. Launch: from 2007 to 2013 (gradually) Project Cost: 17 billion KZT (US$ 143 mln) Progress : - adopted pig-breeding complex of 1 line; - held preparatory works on construction of pig-breeding complex of 2 line; - Livestock complex (1 line) is built and launched. Initiator: LLP «Basko» 4 Rape processing production into rapeseed oil and raw milk in North-Kazakhstan oblast Project objective: creation of rape processing production into rapeseed oil and raw milk Location: North-Kazakhstan oblast Capacity: increase of initial seed processing factory output from 65 thousand tons a year to 180 thousand tons a year; Increase of milk processing factory output from 65 thousand tons a year to 140 thousand tons a year, establishment of 5 livestock complexes for 6 thousand heads of livestock, construction of fodder production factory with the output of 200 tons in 24 hours. Project Cost: US$ 120 mln, financing from the Republican fund is not envisaged Launch: IV quarter of 2011 Recoupment term: for rape processing - 7 years, for milk processing – 15 years; Progress: by the project “Construction of industrial livestock complexes” the location of the complex is determined, preliminary FS is elaborated, Design Estimates (DE)are being prepared. By the project “initial seeds processing factory modernization in the village of Novoishimsk” the site for additional equipment installation is defined, the work on infrastructure improvement is done., the outputs are increased to store rape, the applications were proceeded to the oblast akimat for training staff, preliminary FS is prepared. Initiator: LLP «Maslo-del» 5 Development of virgin and fallow lands on the area of 30 000 hectares Project objective: further development of the group of companies “Bogwi” directed at agricultural production and processing to gain maximum possible competitive advantages through agro industrial infrastructure modernization to intensify trade cooperation in the world markets Location: Akmola and North-Kazakhstan oblasts. Capacity: increase of grain production output up to 850 thousand tons annually due to enlargement of arable areas of the group of companies “Bogwi” from 2009 to 2011 from 400 thousand hectares to 700 thousand hectares and yields increase. Project Cost: US$ 50. The funds will be directed to the following: purchase of fuels and lubricants for mechanical irrigation of lands - US$ 16,5 mln, purchase of stock seeds of high quality wheat varieties - US$ 14,7 mln , purchase of items for chemical protection of plants – US$ 13,5 mln. Other expenses – US$ 5,3 mln Recoupment term: 6 years Launch: 2008- 2017 Initiator: Group of companies «Bogwi» 6 Construction of fair exhibition complex in Astana Project objective: increase efficiency of agribusiness through wide access of AIC entities to fair exhibition activities by: - Raising agricultural competitiveness; - Enhancement of agricultural goods and services and conclusion of agreements by the participants of agricultural sector; - Expansion of interregional and international relations; - formation of civilized attitude to the market by providing the opportunity to study market trends for AIC entities and evaluate the position of the business in the market; - provision of equal opportunities for competition for all AIC entities – participants of fair exhibition activities. Location: Astana Capacity: 14 000 sq. metres of display spaces Project Cost: 3 440 mln KZT Launch: Completion of FS, DE (2007-2009) Completion of construction (2010-2011) Progress: FS of the project is elaborated and undergoing state examination; The work is o the development of DE; The work is on legalization of the lot. Initiator: JSC «KazAgroMarketing» 7 Creation of vertically integrated structure on agricultural production, storage, distribution and export Project objective: Construction of milk factories in Ust-Kamenogorsk and Kostanai, enlargement of actual milk factory in Almaty; Creation of processing plant for baby food production (reconstruction of the baby food plant “Bobek”); Construction of regional and distribution centers (industrial plants with fridge equipment, fruit and vegetable storehouses); Creation of the chain of wholesale markets with their own production. Location: Almaty oblast (Panfillov, Enbekshikazak, Uigur rayons), West Kazakhstan oblast Chain of distribution – oblast centres around Kazakhstan Capacity: orchards - 2 thousand hectares with enlargement up to 10-12 thousand hectares, 4 milk farms with 2 thousand heads of animals each. Project Cost: 99,4 billion KZT ( US$ 818mln.). Launch: 2008- 2017. Progress: project block: orchards (the lot is chosen); developed 25 hectares (planted young orchard); Project block: milk farms – equipment suppliers chosen; conducted topography, geology and geodesy of the lot for farm construction, DE is prepared. Project block: milk factory, former Ust-Kamenogorsk milk factory was acquired; jointly with the company “Tetra Pak Central Asia”, technological project for product output is worked out; leasing contract with the firm “Tetra Laval Credit” is signed for supply of technological equipment. Initiator: Holding of companies «Rayimbek Group» 8 Making of intensive orchards in the area of 2000 hectares in Almaty oblast Project objective: creation of fruit plantations of high quality to sell fresh products in the domestic market of the RK and export of Russian Federation, and for processing adopting the technology of intensive gardening having established required production infrastructure. Location: Almaty oblast – Uigur and Panfillov rayons Planned capacity: within 3-5 years to create 2000 hectares of orchards. Density for planting is 3500 trees per hectare (880 large and stone fruit trees per hectare). Project cost: US$ 2,2 mln Required amount: US$ 1, 8 mln Recoupment term : 10 years Term for project implementation: making of orchards within 5 years, industrial exploitation for 15 years Short description of the project: project plans to make intensive orchards in Almaty oblast applying anti-virus highly productive planting stock. Initiator: LLP «Alma-Prodex» 9 Construction of commercial sturgeon automated piscicultural complex with the productivity of 100 tons of commercial fish and 3 tons of caviar a year and production of young sturgeons Project objective: Construction of closed water supply installations for commodity production of caviar and sturgeon-breed fish preserving the manufacturers and obtaining the young fish from such endangered species like beluga, sturgeon, stellate sturgeon, sterlet. Location: Atyrau oblast, village of Ganushkino Capacity: Creation of new production with further enlargement and increase of output up to 300 tons of commercial fish and 5 tons of caviar. Project Cost: US$ 5 mln Required amount: US$ 3,5 mln Recoupment term : 4 years Term for project implementation: 7-12 months (period of construction and factory launch) Short description of the project: adoption of new technologies for growing sturgeon fish. Production of commercial fish, caviar and reproduction of young sturgeon breed in the Red Book. Provision of internal and external markets with delicacy product. Rearing of silver carp and grass carp in open ponds Initiator: LLP « RBFCaspyi» 10 Flour and fodder production Project objective: Flour and fodder production Project location: Akmola oblast, the town of Kokshetau . Capacity: Elevator’s capacity is 50 thousand tons, Production capacity: flour manufacture up to 300 tons in 24 hours, fodder – 100-200 tons in 24 hours. Project Cost: US$ 18, 1mln Required amount: US$ 18, 1 mln Recoupment term : 6 years Term for project implementation: 11 months Short description of the project: installation and adoption of grain elevator equipment, flour and feed mills Initiator: JSC «Kazakhstan financial corporation» 11 Construction of greenhouse complex on the area of 10 hectares applying alternative source of energy Project objective: production of green products Location: Akmola oblast, the town of Kokshetau Capacity: 10hectares Project Cost: US$ 17 ,0 mln. Required amount: US$ 17,0 mln. Recoupment term: 6 years Term for project implementation: 10 months Short description of the project: installation and exploitation of: bio gas installations and greenhouse complex to provide the capital with fresh and cheap agricultural products Initiator: JSC «Кazakhstan financial corporation» 12 Livestock product processing claster from cattle feeding to ready-made products of “Halal” standard Project objective: provision of full and completed cycle of livestock production of “Halal” standard (from cattle feeding to meat and sausages ready made for sale) Location: meat-packing plant -Aktobe, cattle feeding depot – the lot with the area of 2 hectares 50 km far from Aktobe Capacity: meat-packing plant –8 tons in 24 hours, cattle-feeding depot - 2000 heads Cost: 2,7 bln KZT ( US$ 18,1mln) Mechanism for attraction: direct investment in terms of 20% transfer out of capital stock, concessionary crediting up to 10% Recoupment term: 5 years Term for implementation: 1 year Progress: the 1st stage of the project is implemented. Meat packing plant was launched in June 2008. Its products have the quality certificate “Halal” . Financing is necessary for the 2nd stage: organization of he cattle feeding depot «Halal» Initiator: LLP «Тandem W» 13 Construction of grain storage and processing and all-mash production complex Project objective: construction of specialized complex for storage and processing of grain and all-mash production Location: the countryside of Astana Capacity: mill - 300 tons in 24 hours, elevator - 50 thousand tons, production of all-mash – 100 tons in 24 hours Cost: 2,7 bln KZT (US $ 18,1mln) Recoupment term: 7 years Term for implementation: 1 year Mechanism of attraction: direct investment – in terms of transfer of 49% out of capital stock, concessionary crediting up to 10 % Initiator: JSC «Kazakhstan financial corporation» 14 «Eurasia» - growth, processing and marketing of poultry meat Project objective: creation of vertically integrated holding for growth, processing and marketing of poultry meat including feed grain production, deep processing and manufacture of poultry meat products, system of storage and transportation of ready made products Location : Almaty and East Kazakhstan oblasts Capacity : 60 thousand tons of poultry meat a year Project Cost: US$ 134,7 mln Required amount: US$ 119,4 mln Mechanism of attraction: - direct financing as well as concessionary crediting Recoupment term : 10 years Launch: December 2011 Progress: 1. completed the construction of new processing plant (launch in April 2009) on the basis of Ust-Kamenogorsk poultry plant 2. determined the lots to grow feed grain 3. defined the equipment suppliers Initiator: JSC «Ust-Kamenogorsk poultry plant» 15 Irrigation of Zhaushykumsk massif lands of Shardary rayon of South Kazakhstan oblast adopting water-saving technologies (1line) Project objective: development of massif’s lands adopting new technologies of irrigation. The water is delivered by pumping stations from Shardary reservoir. In the 2nd line it is planned to provide with full completed production cycle, processing and transportation of fruit and vegetable products Location: Shardary rayon, Zhaushykum rayon Capacity: development of 13.0 thousand hectares of dry lands, annual croppage of fruit and vegetable crops will be 523.0 thousand tons for the amount of 11 bln. KZT, and there will be jobs for 7200 people. Preliminary project cost: US$ 122,7mln. Recoupment term : 2 years (from implementation is 4 years) Mechanism of investor’s attraction: direct investment, state guarantees, short term of recoupment Term for implementation : 2years Initiator: akimat of South-Kazakhstan oblast 16 Construction of semi combed yarn production plant Project objective: - Facilitate wool production in the Republic of Kazakhstan; - create the base for processing semithin and semicoarse wool into ready made products; - create the conditions for further deep wool processing Location: Tekes village, Rayimbek rayon Almaty oblast Capacity: 1100 tons a year of semicombed yarn from semithin and semicoarse wool for carpet and cloth manufacture. Cost: US$ 11 mln. The funds will be directed in the following way: - purchase of equipment– US$ 9 mln - reconstruction of buildings – US$ 1mln - circulating assets – US$ 1 mln Recoupment term: 6 years since launch Progress: business-plan is elaborated, preliminary engineering project is made up (the chain of equipment is counted and defined, equipment suppliers are defined) Initiator: Group of companies JSC Stroikontrakt Corporation, LLP “Kuat Ltd ” 17 Investments to grain production Project objective: organization of joint activity for production and sale of grain and processing products Location: Akmola, Kostanai and North-Kazakhstan oblasts Cost: US$ 1,5 bln of foreign investments. Potential project parties: domestic grain companies and strategic investors Cooperation: participation of foreign investors in the capital of domestic grain companies. Party contributions: • domestic grain companies– 2 mln hectares of arable areas, technical resources; •Foreign investors – finance. Initiator: «Grain Union of Kazakhstan» 18 Construction of greenhouse complex Project objective: provision with fruit and vegetable products Location: Karasai region, Almaty oblast Capacity: growth of tomatoes and cucumbers in greenhouse on the protected ground of 12 hectares Cost: US$ 25,2 mln Required amount: US$ 25,2 mln Mechanism of attraction: - direct investment in the terms of 40- 49% transfer out of capital stock. At present attraction of Japanese investors is being worked out Recoupment term: 7 years Term for project implementation: 2 years 3 months (March of 2011) Initiator: LLP «Almaty Greenhouse Plant» 19 Construction of vegetable oil production factory Project objective: development of oil-yield crop production, meeting the demands of vegetable oil in domestic market Location : 110000, Republic of Kazakhstan, Kostanai, 36 Karbysheva street Capacity: production of 36-tons of vegetable oil in 24 hours with further increase up to 100 tons Cost: 2 717 183 000 KZT Required amount: 1 310 226 000 KZT Mechanism of attraction: investment share up to 50 % of Project Cost Recoupment term : 7,5 years Launch: March-April 2010 Progress: built and launched elevator with capacity of 20 000 tons of seeds, built and launched oilseed processing plant with the capacity of 100 tons of seeds and production of 36 tons of oil and 64 tons of oilcake in 24 hours Initiator: LLP «Sodruzhestvo» 20 Creation of vertically-integrated complex (cluster)of enterprises on poultry food production with use of non-polluting closed technology Project objective: Creation of highly profitable automated poultry food production. Location: Republic of Kazakhstan, Maiskoe v., Taranovsk rayon, Kostanai region Capacity: PPF "Kostanayskiy" - 115 thousand of parent animals; Broiler poultry factory - 5 thousand ton per a year; egg factory - 480 thousand heads; Grain processing complex: mixed fodder factory - 20 tons per an hour, grain storage - 100 thousand tons, grinding complex - 150 tons per a day; Poultry processing factory: slaughter workshop – 3 thousands per an hour, meat processing workshop; deep egg processing factory with productivity of 1 million eggs per a shift; biogas production complex. Required amount: 11 137 000 000 KZT Recoupment term : 2,7 years Launch: 2009 – 2010 years Progress: Business plan was worked out; construction documents were prepared; the land for construction of all the complex was allocated; the Contracts with equipment suppliers were concluded. Initiator: LLP PPF "Kostanayskiy" 21