On the sidelines of the Russian & CIS Metals & Mining Summit arranged by Adam Smith Conferences in November 2020, Eurasian Resources Group and Sberbank announced that they had entered into a memorandum of intent, pledging to extend cooperation between the two organisations.
Under the agreement, cross-company cooperation will be developed between Eurasian Resources Group and Sberbank, with the aim of adapting and introducing Sber ecosystem products, including commodity trading and hedging in relation to physical delivery prepayment, commodity repurchase agreements, and other financial instruments. As part of the deal, Eurasian Resources Group employees will also receive corporate training at SberUniversity.
Sberbank’s Executive Board Deputy Chairman, Anatoly Popov, pointed out that Sberbank had for many years worked closely with Eurasian Resources Group by providing its financial products. The memorandum of intent significantly expands the breadth of cooperation between the two companies, and will see the parties work with Sber ecosystem services that increase business efficiency.
Under the agreement, Eurasian Resources Group employees will benefit from corporate training programmes, studying at one of the world’s most prestigious corporate universities. The deal will lead to a greater focus on the issues of commodity trading and risk hedging, two factors that are critical to ERG’s long-term sustainable development amid high metal price volatility.
Eurasian Resources Group’s CEO, Benedikt Sobotka, explained that the agreement reaffirms the long-standing strategic partnership between Eurasian Resources Group and Sber. The collaboration should contribute to enhancing Eurasian Resources Group’s efficiency at an operational level, as well as properly leveraging its business capabilities.
Through its collaboration with leading global fintech institution Sber, Eurasian Resources Group plans to build upon its existing accomplishments and continue finding new solutions. Pooling professional knowledge can also help open up many more areas for innovation.
In 2019, Eurasian Resources Group finalised a new Digital Strategy, which places particular emphasis on the development of key employee capabilities and the implementation and utilisation of digital technology as the business moves ever closer to Industry 4.0.
Eurasian Resources Group’s Digital Strategy will ensure optimal digital investment decisions, establishing modular / adaptive digital architectures to support the business. The Group will continue to identify and explore ways of leveraging digital technology while simultaneously supporting sustainable development by facilitating entrepreneurship in its local communities.
About Eurasian Resources Group
In terms of chrome content, Eurasian Resources Group has grown to become the world’s largest high-carbon ferrochrome producer and has built a strong reputation as a key producer of iron ore and alumina, growing a portfolio of development projects and production assets that spans four continents.
Eurasian Resources Group is also a large and growing copper and cobalt producer via its assets in Africa.
Eurasian Resources Group represents one third of the Republic of Kazakhstan’s metals and mining industry. As well as being a large-scale supplier of alumina, aluminium, and iron ore, and a global leader in ferrochrome production, Eurasian Resources Group also provides railway operation services and electric power distribution, managing Kazakhstan’s foremost production enterprises.
The Group is a founding member of the Global Battery Alliance and a founding member of the World Economic Forum Mining and Metals Blockchain Consortium.
