Saudi Arabian Mining Co. — Capital/Financing Update 2011

Nov 27, 2011

SAUDI ARABIAN MINING COMPANY (MAADEN) ANNOUNCES SIGNING OF FINANCING AGREEMENTS WITH THE PUBLIC INVESTMENT FUND TO FINANCE THE SECOND PHASE OF ALUMINUM PROJECT

1211 · 27/11/2011 16:02:57 · Announcement #23289 · View on Saudi Exchange

SAUDI ARABIAN MINING COMPANY (MAADEN) ANNOUNCES SIGNING OF FINANCING AGREEMENTS WITH THE PUBLIC INVESTMENT FUND TO FINANCE THE SECOND PHASE OF ALUMINUM PROJECT

Further to the companys announcements on Tadawul on 20/07/1432 (corresponding to 22/06/2011), on 01/08/1432 (corresponding to 02.07.2011) and on 18/11/1432 (corresponding to 16/10/2011), Saudi Arabian Mining Company (Maaden) announces that its subsidiary, Maaden Bauxite and Alumina Company, has signed today 02/01/1433 (corresponding to 27/11/2011) financing agreement for the second phase of its aluminium project. The agreement totaling USD 1 billion was signed with the Public Investment Fund. The loan will be repaid in 21 semiannual installments and repayment will start on 30/6/2017 and will be for a period of 16 years.

The total cost of the second phase of the aluminium project is estimated to be SAR 13.445 billion (US$ 3.585 billion). 60% of the total cost of the second phase SAR 8.068 billion (US$2.151 billion) has been financed through the Public Investment Fund SAR 3.750 billion (US$ 1 billion), commercial banks and a financial institution SAR 3.718 billion ($ 991.5 million). Further funding of SR 600 million (US$160 million) by the Saudi Industrial Development Fund (SIDF) is currently under evaluation.

The remaining portion of total cost, SAR 5.377 billion (US$ 1.434 billion), will be financed by the project partners (Maaden and Alcoa) on a pro-rata basis.

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