ISMQ extends LC period for Ukraine’s Vazhmash
Updated 7/3/2022 12:48:51 PM
Arab Finance: Iron and Steel for Mines and Quarries (ISMQ) has extended the period of letter of credit (LC) for Ukraine's Vazhmash until September 30th due to the ongoing Russian-Ukrainian war, according to a statement filed to the Egyptian Exchange (EGX) on July 3rd.
This comes in line with the company’s deal signed with Vazhmash to complete the semi-industrial unit at an estimated cost of $657,000.
Once complete, a concentrate ore plant will be established in Bahariya Oasis at an estimated cost of $35 million.
In September 2020, the board of directors of Metallurgical Industries Holding had agreed to commence the construction of the semi-industrial unit, with the Ukrainian company and ISMQ handling 30% and 70% of the implementation, respectively.
The holding company also approved to finance the project in case ISMQ was not capable and a sum of $500,000 was already transferred to ISMQ to cover the LC in favor of Vazhmash.
