OREANDA-NEWS. Kazakhmys PLC announced that the acquisition of an 18.8% stake in Eurasia Natural Resources PLC (ENRC) has now been completed. According to the Kazakhmys' press-service, following approval of the transaction by independent shareholders on 19 October, and receipt of the remaining regulatory approval from the Government of Kazakhstan, 18.8% of the shares in ERNC were acquired on October 25 at a price of US$806.5 million, subject to non-material adjustment, to takeaccount of final financing costs. The investment is in accordance with Kazakhmys' long-term strategy of seeking to acquire interests in existing regional natural resources businesses in Central Asia. The acquisition will be funded from existing Group cash resources and will be regarded as an investment.

Kazakhmys PLC is the largest copper producer in Kazakhstan and one of the leading copper producers in the world. Kazakhmys is a fully integrated copper producer from mining ore through to the production of finished copper cathode and rod. The Group produces significant volumes of other metals as by-products, including zinc, silver and gold.Kazakhmys also owns MKM, a copper products fabrication company inGermany, and has Gold and Petroleum Divisions with assets in Kazakhstan and Central Asia.

ENRC is a privately owned natural resources company with fully integrated mining, processing, energy and transport operations in Kazakhstan. ENRC's operations, spread throughout Kazakhstan, are principally comprised of vertically integrated ferroalloy, iron ore and alumina businesses which employ
over 60,000 people and generated estimated revenues of approximately US$3 billion in 2006.