Two agreements signed; project has euro 600 million value
September 11, 2012: The following two agreements were signed on Monday during the Brno International Trade and Machinery Fare for Pakistan’s 1.2 million tons/annum steel billets-making plant and a 300MW coal-fired power plant at Bin Qasim Town, Karachi: co-operation agreement between Santex Pakistan Limited (SPL) and Vitkovice Heavy Machinery VHM) for 1.2 tons/annum capacity steel billets-making plant; and an MoU between Santex Pakistan Limited and Czech Export Bank (CEB) on the debt financing up to 85% of the project cost.
The technical part of the contract has been formalised between SPL and VHM while the commercial part will be finalised later this month. October 8th 2012 has been provisionally agreed as a date for the award of final contract and signing of the agreement between SPL, VHM and CEB. The occasion is being organised as an exclusive event that is expected to receive a wide media coverage in local and European circles. SPL considers this as very important beginning of its business activity in Pakistan.
SPL is a subsidiary of Santex Energo Exports of Czech Republic. New Park Energy Limited, another subsidiary of Santex Energo Exports is already involved in Pakistan in two hydro projects and 50MW wind power projects. The project formalised on Monday has an estimated value of Euro 600 million and will be the single largest FDI in the private sector in Pakistan.-PR