Russian bank VTB Africa finances second phase of the Catoca diamond project

8 August 2013

Russian bank VTB Africa is to finance the second phase of the Catoca diamond project, located in the Angolan province of Lunda Sul, and expected to cost 20 billion kwanzas (US$207 million), the bank’s chairman of the board, Igor Skvortsov said Wednesday in Luanda.

Skvortsov also told Angolan news agency Angop that the bank was also analysing the possibility of investing in the second phase of the Chicapa hydroelectric project, which is also located in Lunda Sul, but did not give figures.

He also said that investments in the oil and gas sector were very expensive and that Russia had its own policies to regulate these industries and that VTB Africa therefore considered that there were better and easier business opportunities in agriculture and power generation.

Sociedade Mineira da Catoca (SMC) is a partnership between Angolan diamond company Endiama (32.8 percent), Russia’s Alrosa (32.8 percent), Israel’s Daumonty (18 percent) and Brazil’s Odebrecht (16.4 percent).

Skvortsov is attending the second Russia-Angolan business forum, which is due to end Thursday in Luanda and is attended by a number of Angolan institutions and Russian companies linked to the oil and gas, railway and automotive sectors. (macauhub)