KGHM gets PLN 900 mln loan from EIB

WSE-listed, state-run copper and silver miner KGHM got a PLN 900 million loan from the European Investment Bank, the company said in a market filing. The company plans to use the funds for increasing production efficiency, the company said in a press statement. “The funds obtained from the EIB will be used to finance ongoing investment projects involving the development and the replacement of equipment. Investments related to development include the deployment of new infrastructure at various stages of the production chain, starting from ore mining and processing, through the smelting process, to copper electrorefining,” KGHM’ CEO Radosław Domagalski-Łabędzki said. The loan could be drawn in PLN, USD or EUR and would bear either a fixed or variable interest rate for each of the tranches. The EIB has agreed to finance up to 50 percent of the total project costs). It will be implemented over the period 2017-2021 and will cover the main mining and production sites.