Uzbek Metals Combine to Raise €70 Million from Banks

Tashkent, Uzbekistan (UzDaily.com) — The Uzbek Technological Metals Combine (UzKTM) has reached agreements with European banks to attract financial resources for the implementation of projects in the critical raw materials and industrial sectors, the company’s press service said.

As part of an Investor Day event held in the United Kingdom, UzKTM signed a heads of terms financing agreement with French bank Societe Generale worth €50 million.

The funds raised are planned to be directed toward projects related to critical raw materials and technological metals, including the creation of export-oriented production facilities and the development of deep processing capacities.

The parties also agreed to develop long-term credit lines, trade finance and investment project financing, cooperation with export credit agencies, and support for initiatives in sustainable production in line with ESG standards.

In addition, negotiations were held at the head office of UzKTM with representatives of the German bank LBBW Landesbank. The discussions focused on export financing mechanisms and the implementation of projects under the EPC+F model, which covers engineering, procurement, construction, and financing.

The German bank expressed readiness to consider financing such projects at an early stage in an amount of around €20 million.

The parties also discussed the possibility of attracting larger credit resources, introducing international financial instruments, and developing long-term investment cooperation.

UzKTM noted that the agreements reached are expected to support the integration of the company and Uzbekistan’s industrial sector into international capital markets, as well as expand opportunities for implementing large-scale export-oriented projects.