Citi provides $300m financing for Vietnam bauxite, alumina project

The Vietnam National Coal and Mineral Industries Holding Corp (Vinacomin) has agreed to a $300 million loan from investment bank Citi to finance the construction of a bauxite mine and an alumina refinery in the Central Highlands province of Lam Dong, Vinacomin announced late last week.

The Vietnam National Coal and Mineral Industries Holding Corp (Vinacomin) has agreed to a $300 million loan from investment bank Citi to finance the construction of a bauxite mine and an alumina refinery in the Central Highlands province of Lam Dong, Vinacomin announced late last week.

The Vietnamese ministry of finance has guaranteed the 13-year loan, which was insured by Nippon Export and Investment Insurance (NEXI).

“Under the terms of the agreement, Citi is the sole NEXI co-ordinator and the Joint Lead Arranger together with Mizuho Corporate Bank, Sumitomo Mitsui Trust Bank, and the Bank of Tokyo-Mitsubishi UFJ,” Vinacomin said.

It is the first joint bauxite and alumina project ever undertaken in Vietnam

“The $300 million loan agreement is the largest agreement ever for Vinacomin. This financing is particularly meaningful as it will be used to finance Vinacomin’s Lam Dong bauxite/alumina complex project, an important national development with direction and support from the Government,” Le Minh Chuan, president and ceo of Vinacomin, said. “The loan will have a significant impact on the success and effectiveness of the project.”

Jethro Wookey
jwookey@metalbulletin.com
Twitter: @jethrowookey_mb

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