ZANGEZUR PLANT TO BE SOLD DECEMBER 5

ArmenPress
Nov 23 2004

YEREVAN, NOVEMBER 23, ARMENPRESS: Trade and economy development
minister Karen Chshmaritian said today that Armenian and German
experts are giving now the final strokes to an agreement under which 75
percent of shares in Zangezur copper and molybdenum enterprise will
be sold to German Cronimet companies, 12.5 percent to AMP company
and as many to Zangezur Mining company.

Under the agreement that will be signed on December 5 the enterprise
will be managed in the next 5-7 years by the Zangezur Mining
Company. The Cronimet will pay $130 million for 100 percent of
shares. Another clause of the agreement provides that if Cronimet
secures more than $20 million income in 2005-2006, it will pay 32
percent to Armenia as extra payment for shares.

Chshmaritian said the real volume of investments may be clear after
a feasibility examination no sooner than next June.