RDIF and Baring Vostok Private Equity Fund V invest in Tigers Realm Coal Limited
Press release, 12.12.2013
Moscow, December 12, 2013 – The Russian Direct Investment Fund (RDIF) and Baring Vostok Private Equity Fund V (BVPEF V) today announced a joint investment of US$48 million into newly issued shares of Tigers Realm Coal Limited (TIG), a company with coking coal assets in the Chukotka province in Russia’s Far East. RDIF will invest a total of US$14.9 million with BVPEF V contributing US$33 million. Additionally, the current shareholders of TIG will have the right to invest up to US$8.7 million.
Following completion, RDIF will become an 11% shareholder in TIG.
The funds will be used by TIG to complete a Bankable Feasibility Study (BFS) and further develop the Fandyushkinskoye deposit (Project F) at the Amaam North coking coal deposit in Chukotka, as well as continue exploration works at the Amaam deposit. The first coal sales at Project F are targeted for 2016.
Kirill Dmitriev, CEO of RDIF, said:
“We are delighted to have joined Baring Vostok Private Equity Fund V to support Tigers Realm Coal in the development of two attractive coking coal deposits in Chukotka. One of RDIF’s mandates is to attract international investors to support projects in Russia’s Far East in areas such as mining and high value-added mineral resource processing, and this is our second commitment to the region. Our investment in TIG and its world class exploration technology and expertise will help to accelerate the development of the project, create new jobs and represents an important opportunity for RDIF due to its attractive fundamentals and proximity to export markets.”
Craig Parry, Managing Director of TIG, commented:
“We are very pleased to have two prestigious funds, RDIF and BVPEF V, demonstrate confidence in TIG’s projects through their significant investments in the company. It confirms our view that the Amaam projects are world class and that Russia is an attractive domicile to invest in. We look forward to working together with RDIF and BVPEF V to see Project F into production and to realize the additional potential of the larger Amaam deposit.”
Russian Direct Investment Fund (RDIF) was established in June 2011 to make equity co-investments primarily in the Russian Federation alongside reputable foreign financial and strategic investors. Based in Moscow, RDIF’s management company is a 100% subsidiary of Vnesheconombank. Further information at www.rdif.ru.
Baring Vostok Private Equity Fund V (BVPEF V) is one of six private equity funds advised by Baring Vostok Capital Partners Limited (Guernsey) (BVCP), one of Russia and the region’s leading private equity firms. BVCP’s parent company is a member of Baring Private Equity International, a global private equity group with more than US$12 billion of capital under management by affiliates in Russia/CIS, Asia, India, and Latin America. Further information can be found at www.baring-vostok.com
Tigers Realm Coal Limited (ASX:TIG)
Tigers Realm Coal is a coking coal mining company listed on the Australian Stock Exchange. It solely operates in Russia and is the 80% owner and manager of the Amaam Coking Coal Project located in the Chukotka Province in Russia’s Far East. The Amaam Coking Coal Project comprises two licenses: Amaam and Amaam North. Project F at Amaam North, currently in the Bank Feasibility Study preparation phase, is the current focus of TIG’s drive to early production from these major coal deposits. Further information at www.tigersrealmcoal.com
Contacts for additional information:
Russian Direct Investment Fund
Director, Media Relations Department
М: +7 964 726 1773
Andrew Hayes/ Maria Ignatova/ Elena Kuza/ Charlie Barker
Tel +44 (0) 20 7796 4133