Pizu Group Holdings Limited (09893) released a supplemental announcement detailing the commercial logic, risk-mitigation measures and project specifics tied to its previously announced provision of a loan facility of up to USD 80.00 million to Kanzi Diyor, the licence holder of the Turkparida antimony deposit in Tajikistan.
Key commercial terms • Structure: Pizu Industrial, a wholly owned subsidiary, may convert the loan into a 45 % economic interest in Kanzi Diyor once government approval for foreign equity participation is secured. • Rationale: The domestic-only structure accelerates access to mining rights and positions Pizu to pursue additional regional resources through a trusted local partner, Avesto Group, while legal advisers advance the approval process for a 55 %/45 % unincorporated joint venture. • Funding flexibility: The USD 80.00 million represents the upper limit; disbursements will be phased and entirely at Pizu Industrial’s discretion based on project progress.
Risk safeguards and exit routes • Profit entitlement: Whether or not formal equity conversion occurs, Pizu Industrial is contractually entitled to 45 % of Kanzi Diyor’s net profit. • Security: Avesto Group has pledged 45 % of its Kanzi Diyor equity as collateral. Enforcement options include direct transfer, negotiated sale or recourse to liquidation proceeds. • Alternative monetisation: If conversion is blocked, Avesto Group or a third party will negotiate to acquire the 45 % interest at fair value, enabling repayment of the outstanding loan.
Mining project snapshot • Mining method: Six-year open-pit operation targeting ore above the 2,736 m elevation, with an average stripping ratio of 6.68 t/t. • Capacity: Planned run-of-mine throughput of 1.00 million tonnes per annum; processing plant designed to produce roughly 19,000 tonnes of 45 %-grade antimony concentrate at full capacity by November 2026. • Resources within pit limit: 4.54 million tonnes of ore grading 1.01 % Sb, containing 45,835.98 tonnes of antimony metal. • Mining rights: Certificate No. 0310024211, valid 30 March 2024–30 March 2034, covering 563,415.10 m².
Accounting impact Pizu’s auditor has confirmed that Kanzi Diyor will be treated as a joint venture; its financial results will not be consolidated into the Group’s accounts.
Listing Rules timing The 11 August 2025 Mine Cooperation Agreement was deemed non-binding; definitive terms crystallised only on 9 February 2026 with the Supplemental Agreement and Loan Agreement, prompting disclosure under Rule 14.34 on that date.
Comments