Summary of Proposed Investment
Project Number
9282
Company Name
KUNDA NORDIC TSEMENT AS
Date SPI Disclosed
Nov 24, 1998
Country
Estonia
Industry
Manufacturing
Status
Completed
Sector
Cement
Department
Regional Industry MAS LAC & EUR
Environmental Category
B - Limited
Previous Events
Approved : Apr 6, 1999
Signed : Jan 11, 2000
Invested : Feb 2, 2000
Project Description
Summary Of Project Information (SPI)
| Project Name | Estonia-Kunda Cement II |
| Region | Europe |
| Sector |
Projected Board DateDecember 28, 1998
Company NameKunda Nordic Cement
Technical Partner and/or Major Shareholders
Kunda Nordic Cement is 49.9% owned by the Government of Estonia through Kunda Tehased, a 100% Government owned company; 30.2% by Atlas Nordic Cement Ltd. (ANL), a joint venture between SCANCEM (Sweden/Norway/Finland) and Holderbank (Switzerland); and 19.9% by institutions ( IFC (10.6%), Nefco (5.3%), and Finnfund (4.0%)).
Project Cost Including proposed IFC investment
Total project cost is up to US$40.5 million, including an IFC senior loan of up to US$8 million and an IFC equity investment of up to US$2 million.
Location of project and Description of site
The company and the project are located in the town of Kunda, Estonia, near the Kunda port and near major highways.
Description of Company and Purpose of Project
The current project includes: (i) the second stage privatization of the remaining 49% ownership of KNC held by Kunda Tehased (an Estonian Government-owned company); (ii) major renovation of the cement mill to facilitate continued operations at improved efficiency levels; (iii) the construction of a 6 MW co-generation plant; and (iv) the expansion of the existing Kunda port.
Environmental Category and Issues
This is a category B project according to IFC''s environmental review procedure. Environmental, occupational health and safety issues associated with this project include: air emissions from the renovated cement mill, potential changes of coastal currents as a result of the port expansion, and site selection and air emissions from the new co-generation plant. IFC will monitor ongoing compliance with World Bank environmental, health and safety policies and guidelines during the lifetime of the project by evaluating reports submitted annually to IFC by Kunda Nordic and by conducting periodic supervision. Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that Kunda Nordic’s proposed expansion project will meet World Bank environmental, health and safety policies and guidelines, and host country requirements.
The is from the InfoShop.
| Host country location of environmental documents | Kunda, Estonia |
Date SPI sent to InfoShop November 24, 1998
“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 974-4384
Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).
Sponsor / Cost / Location
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