ENTERPRISE LACASA & ASSOCIATES S.L. Presentation Russian Far - - PDF document

ENTERPRISE LACASA & ASSOCIATES S.L. Presentation

Russian Far East wood industry

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ENTERPRISE

LACASA&ASSOCIATES

OCTOBER 2016

INTRODUCTION TO ENTERPRISE LACASA & ASSOCIATES S.L.

Dear Sir, Our presentation enclosed gives a detailed account of our activities and business experience. We are working in Russia since the early 70-s, in China since the 80-s and in central Asia since the 90s. The most important quality for a project developer is the capacity to adapt to the client´s strategy in a certain environment. Russia has a very rich potential of raw materials, and especially in the field of energy, and wood. But the location of these resources in the Far East makes it much more difficult to access and put into exploitation. The red tape and practical logistical difficulties are frequent. This is where our experience and know-how comes into play. After we agree on a service contract and set the target, we go directly to the people with power and decision capacity to make them support the deal at high level. We cut though the red tape and bring the deal into reality in a short time, using our connections and friends in high places. On the other hand, we are practical and hard working on the details of the deal. Many years working the industry and financial entities made us very conscious of the value of the hard work and attention to the detail. This often fails in many countries, as Russia. Our mobilization time is few days, after agreeing on the contract, which has the usual success fee and retainer plus expenses concept. Having very professional and compact team with over 40 years’ experience, we are very cost conscious and competitive. On the other hand, we are flexible enough to steer the project in the needed direction if the circumstances change. We are ready to work out a project development proposal in few days and implement it efficiently for a serious client as your company. Yours sincerely Jorge L. Lacasa President

JORGE L. LACASA AND ENTERPRISE LACASA&ASSOCIATES EXPERIENCE

JORGE LUIS LACASA SANCHA Born 1940 in Moscow from Spanish parents that emigrated from Spain after the Civil

• War. Lived in China between 1954 and 1960, studying at Beijing and Xinhua University 1959-
• 1960. Title of architect (specialized in town and regional planning) and Master degree in 1965

at the Moscow Architectural School, returning to Spain in 1967, obtaining Spanish nationality. Languages: Spanish and Russian native, English fluent, basic French and Chinese (Mandarin) Married to Zenaida Nikiforov since 1962, two children. Independent entrepreneur and international project consultant since 1970. 1970-1985 in Spain with offices in Madrid and Moscow. Mining and geology: As founder and CEO of a geological and mining consultancy firm TCR in Madrid. National Geologic Research and Mining Plan for the Spanish Ministry of Industry: 2MT Iron Ore pellets plant project for the Instituto Nacional de Industria and National Atomic Energy Agency. Consultancy to Fosfatos de Bu-Craa and Compania Andaluza de Minas. Study of the conversion of mercury producer Minas de Almaden. Town planning: As founder and partner with F. Longoria of a town planning firm AUR: Madrid Metrolopitan Area assessment for the COPLACO, regional plan of South-Eastern Spain, Montquinto New Town study; 150.000 people Viñuelas new town study for Urbis-Vallermoso; Master Plans of Santiago de Compostela and Caceres. Review of tourist development projects in Brasil, Marrocco, Dahomey and South Africa. International trade: As founder and CEO of a trading firm specialized in trading with USSR (in partnership with Urquijo Bank) and VP of Prodag (President - Ramon Mendoza). Import of approximately half million tons a year of Russian coal for Spanish energy sector (Iberdrola, Hidrocantabrico and Sevillana de Electricidad), export of flour-spar, talk and non- metallic ores. Pipes and metal trading. Import of crude oil (one million tons a year) and petroleum products and export of agricultural commodities. 1985-1991 in China, CEO of EL&A with offices in Beijing and Hong Kong. International project development: Promotion of export of digital switching equipment for Telefonica Internacional de España in Russia and China. During that period, in spite of a strong competition, more than USD 700million worth of digital switching was exported (Alcatel Spain sistem 12), financed by soft loans and export credits, reaching an 8% of the market. Advisory for Banco de Bilbao (before the merger with banco de Vizcaya) and Banesto for China (building relations with local banks and export credit deal structuring for private clients). Strategic Advisory to AT&T Network Systems (Spain) and AT&T Asia Pacific for China; Advisory to the Italian Telettra and Telettra Española. Advisory to Explosivos Rio Tinto and participation

as commercial advisor in chemical and petrochemical projects of engineering companies Tecnias Reunidas, Centunion, Siemens, Voest-Alpine. Advisory to First Pacific Bank in private export credit deals. 1991-2001 in post-soviet Russia and independent Central Asia, office in Moscow and project

• ffices in Tashkent, Almaty, Ashgabat and Baku.

International projects development advisory: Pallas Invest (London) for the acquisition

• f a Russian Bank and several real estate deals in Russia. Study of Russian shipbuilding industry

for Astilleros Españoles. AFK Sistema in Moscow for oil&gas projects and for the sale of its Mass-Media holding, offer to Spanish Telefonica of MGTS shares. Study of regional centers and proposal for six waste treatment plants for the Moscow Municipal Government with export credit financing by BBVA (around 200M$). Review and structuring of several export credit deals for Russian private clients in Moscow and Saint Petersburg. Advisory to ALROSA, the biggest Russian diamond mining and production company. Advisory in Central Asia: to Montedison and Tecnimont group on downstream petrochemical and food industry projects in Central Asia. A 1,5 billion USD upstream gas project for Enron Corp in Uzbekistan, advisory to Occidental Petroleum on oil developments in Uzbekistan; Assessment on Gazprom Caspian gas pipelines; Development of several TACIS projects in the gas sector in Uzbekistan and Kirgizstan; Award of several consultancy project for EBRD in Central Asia and Caucasus: Baku central market, Tajikistan and Turkmenistan investment opportunities; Formation of Project Preparation Unit in Uzbekistan and Turkmenistan; Petrol station chain for private Kazakhstan investors; 25M$ Spanish soft loan financing of the Astana Waste Treatment plant for the Astana Municipal Government; Kaztransneft and Kazmunaygas pipeline projects; Ericsson Group in Russia and Central Asia. Consultancy for projects of Spanish civil engineering groups in Kazakhstan and Kirgizstan. Advisory for Central Asia Enterprise Fund and AIG Silk Road Fund. Advisory to Tractebel Industries in Uzbekistan and Accord Group in Uzbekistan. 2001-2013 in China, CIS and South Africa. Project offices in Beijing, Chongqing and Urumqi. International project development advisory. Development of a South-East Asia franchising

• f Internets hubs for VIC Telehome and Telefonica de España. In 2005 we led a group of

Spanish venture capital investors in the acquisition of phototherapy immune-stimulating technology developed by Russian military scientific entity and are actually developing its

• application. implementation. In China, promotion of the renewable energy projects technology

ass advisor for Elecnor International (an important Spanish Renewable Energy Group). Review

• f project development opportunities in China Chonqing Municipality and Xinjiang Region.

Advisory to China CAMC Engineering in several investment opportunities in Central Asia. Advisory to China Gold and to Shandong Gold International for investments in Kazakhstan gold mining industry. Advisory to Kazakhstan Dostyk Gold mine company in raising growth investment and financing. Advisory to several mining companies in Central Asia and Macau Mining in South Africa. Review of investment opportunities in Southern Africa for Elecnor International in cooperation with Cominco Belgium. Since 2010 a review of Russian Far East

investment opportunities for Elecnor and CAMC Engineering with frequent travelling in the region. 2007-2016 Activities in the Far East of the Russian Federation We are going to give some detail on projects found in the Russian Far East last years. It is interesting to measure the political relations built and their potential and outline main project proposals, since Alexander Solonko, living in Moscow and with substantial experience in the Far East joined our team. Mr Solonko who has the status of State Counsellor, has a master degree in Physics and joined the Ministry for the Development of the Far East. This gave him a unique insight into the area and broad view of business opportunities available. Energy: We worked with an important Spanish energy firm Elecnor in structuring several projects in the energy field based on the conversion of coal power stations into gas, using the Sakhalin gas produced by several international consortiums. The ambitious conversion plans for the region are supported by the State Program for the development of the Far East and we established good and close relations with representatives of the Administration, Governors and the Special Envoy for the Far East of President Putin Mr Trutnev (see photograph). In Yakutia, we worked in structuring of the financing of several energy projects supporting the ambitious plan of development of Southern Yakutia, discussing it with local officials and the Yakutia Autonomous Region Government (see photographs) Together with one of the biggest world power transformers manufacturers Chinese company TBEA we worked on an ambitious plan for the design, building and installation of several thousands of remote controlled hybrid power generation centers in Siberia North and Far East. The ambitious program intended for very extreme climatic conditions required a specially designed wind and solar equipment and full renovation of the existing inefficient diesel power generators. The overall project budget is over 300M$. Metallurgy As advisors to another Chinese company Multibest, owned by a Russian entrepreneur Mr Protopopov, we work on financing of a series of cold rolled steel producing plants for Russia, starting from the Far East. We arranged the presentation of the project to the highest levels of Russian authorities and developed several business models for the financing of the program. (See photographs) Here are some contacts carried forward in the name of the EL&A, during the last six years of

• ur working with the Russian Far East companies and authorities.

KHABAROVSK PROVINCE Our technical advisor Ivan Blagodyr, former Minister of MINVOSTOKRAZVITIA Ministry of the Russian Far East, Jorge Lacasa as President EL&A, Board Member EL&A and coordinator in Russia Alexander Solonko, former State Councilor of the Russian Federation Government. From the left: Deputy Assistant to the Governor Mr Dianov, Deputy Governor and Minister for investments Mr Brusnikin, Governor Mr Shport, Minister for Economic Development and Foreigh Relations Mr Kalashnikov, our consultant Ivan Blagoodyr, Jorge Lacasa as President EL&A, Alexander Solonko Board member EL&A.

REPUBLIC OF YAKUTIA: Mr Jorge Lacasa & Mr Mikhail Bruk signing of the MOU on cooperation in Yakutia Mr Lacasa, Mr Solonko, Mr Bruk and Deputy President of Yakutia Mr Struchkov MOSCOW MINVOSTOKRAZVITIA AND FEDERAL GOVERNMENT

Our client Alexey Protopopov (metallurgy) with Proponent representative of RF President Mr Vladimir Putin in the Russian Far East territory Mr Youry Trutnev Mr Alexey Protopopov with actual RF Minister of MINVOSTOKRAZVITIA Mr Alexander Galushka