Eurasian Resources Group acquires a controlling stake in JSC 3-Energoortalyk, which owns a thermal power plant in Kazakhstan
Eurasian Resources Group (“ERG” or “the Group”), a leading diversified natural resources group, has announced that it has completed the acquisition of a controlling stake in JSC 3-Energoortalyk (93.926% of the total number of shares) from Yuzhenergoprom LLP. JSC 3-Energoortalyk specialises in heat and electricity generation and owns a thermal power plant (CHPP-3), a large scale enterprise producing electricity, in Shymkent, South Kazakhstan region.
The thermal power plant provides electricity to a municipal utility supplying the city of Shymkent and the wider region. On average, the enterprise produces over 700 GWh per year and employs over 600 people. The first facility of the thermal power plant was commissioned in 1981.
ERG has developed a strategic plan to restructure the business, enabling it to make prompt repayment of existing debts to suppliers and strengthen its balance sheet. In addition, to improve and develop the power supply system of the Republic of Kazakhstan, ERG is considering options for investing in equipment upgrades and measures to further improve the company's performance.