07/09/2018

Press release: September 7 is the launching day of Shchekinoazot's new production facilities

Shchekinoazot occupies one of the leading places among Russian enterprises and has been successfully operating in Russian and global markets for chemical raw materials and products for more than six decades. And for the company, today, September 7 is a significant and long-awaited event that will enter the plant's history.

Important for the Region, Important for the Country

A new combined methanol and ammonia production complex was commissioned with a capacity of 450,000 and 135,000 tonnes per year respectively.

An import substitution project is taking off: the commissioning of a sulfuric acid plant, as well as the first in Russia installation of perfume-quality dimethyl ether (joint venture with the German company PCC SE).

On September 7, new sewage treatment facilities are also officially opened. They are designed to service the abovementioned project and future projects of Shchekinoazot. One of them, the Methanol-500 project, was also launched on September 7.

Honoured guests attended the special event: Presidential Plenipotentiary Envoy to the Central Federal District, I.O. Schyogolev, the Deputy Minister of Industry and Trade of the Russian Federation, V.L. Evtukhov, Governor of the Tula Region A.G. Dyumin, Chairman of the Tula Regional Duma S.A. Kharitonov, First Deputy Governor of the Tula Region, Chairman of the Government of the Tula Region, Yu.M. Andrianov, Deputy Governor V.A. Fedorischev, Chief Federal Inspector of the Tula Region of the Office of the Presidential Plenipotentiary Envoy to the Central Federal District, A.M. Simonov, deputies of the State Duma of the Federal Assembly of the Russian Federation N.N. Pilyus and V.I. Afonsky and others. The opening ceremony was attended by the heads of the local government authorities, heads of ministries and departments, venture partners, the governing structure of the Shchekinoazot company, workers and veterans of the plant and public representatives.

Presidential Plenipotentiary Envoy to the Central Federal District, Igor Schyogolev heartily congratulated the Shchekino chemists on the significant event. He greeted the Shchekino chemists on behalf of the President of the Russian Federation. According to Mr. Schyogolev, the company is entering the cutting edge of its industry.

Deputy Minister of Industry and Trade of the Russian Federation, V.L. Evtukhov on behalf of the Minister of Industry and Trade, D.V. Manturov read out a testimonial. It highlights the huge contribution of Shchekinoazot to the development of the country's national economic complex.

The Governor of the Tula Region, Aleksei Dyumin addressed the chemists warmly. He highly appreciated the contribution that the company made to the development of the chemical industry and all the industry in the Tula Region. The Governor expressed confidence that the chemists would implement all the set tasks and wished them new success and victories.

Four New Productions

President of Shchekinoazot, Boris Sokol, addressed the audience:

"We pursued our goal persistently and, I must admit, sometimes achieving it wasn't a walk in a park — to breathe life into our cutting edge production facilities!

And now the day has come to launch the Methanol-Ammonia M450\A-135 complex with new treatment facilities. Next in line are the sulfuric acid and perfume-quality dimethyl ether plants (a joint venture with PCC SE). Now the last pre-launch works are being completed on these facilities.

Another significant event will take place today. A symbolic stone will be laid to commemorate the commencement of the construction of the plant for the production of M-500 methanol rectificate.

All these enterprises have an enormous importance for Shchekinoazot and will determine the development of the enterprise for years to come!

Launching the Methanol-Ammonium complex will allow the company to increase its annual output by more than two times as compared to the previous one. We use the excellent technology of our trusted partners, the Haldor Topsøe company. A unique technical plan, a new combination: more methanol and less ammonium, 450 thousand and 135 thousand tonnes per year. And this complex is here, in the Tula Region!

The modern installation of sulfuric acid, which is a raw material for the production of caprolactam, will allow the company to completely switch to the product that will be produced here on the industrial site of the enterprise, which is economically profitable.

The project of perfume-quality dimethyl ether is being implemented as part of the import substitution programme. This is the first domestic plant! After the Shchekino product is tested, Russian cosmetic aerosols will reach a new level of quality!

A unique membrane technology is being used in new treatment plants. Their capabilities will enable the operation not only of the projects implemented today, but also of future new production facilities.

We are implementing the Shchekinoazot Development Strategy gradually and clearly. Over the past 13 years, we have implemented 16 investment projects, and the investments have amounted to USD 882 million. We are progressively solving the problems set by the objective economic situation, the market needs and other external factors.

And if in the 2000s, at the initial stage of the Development Strategy implementation, the task was to save the plant, to withdraw it from the crisis situation and then stabilise the company's position, today we are talking about achieving real success for Shchekinoazot.

And opening new production facilities is another step on the way to triumph.

We will further strengthen the company's position with launching Methanol-500, nitric acid and ammonium nitrate, carbamide and ammonium. These are Shchekinoazot's development plans! We are really counting on these projects!

We must achieve our goal of becoming one of the country's leaders in the production of methanol and chemical products! We must! And we will!

Today I know for sure: our team is capable of any tasks, the most complex, non-standard and large-scale ones!

Everything that we once dreamt of has now become reality...

He said: "Let's go!"

And here it is, the most exciting moment! The command sounds: "Let's go!"

The start of the new Methanol-450\Ammonia-135 complex was given by I.O. Schyogolev, V.L. Evtukhov, A.G. Dyumin and B.A. Sokol.

Boris Sokol thanked all the employees of the company, all those who took part in the creation of the new productions: directors, project managers, licensors, engineers, builders, representatives of contractors and related organisations. He thanked them for their professionalism, responsibility, perseverance and observance of the deadlines. For their work at any time of the year, in any weather, almost at the limit of their possibilities!

The President of the company thanked the Governor for assistance in implementing the projects. He also thanked the federal authorities, the Ministry of Industry and Trade of Russia, the Ministry of Industry and Fuel and Energy Complex of the Tula Region and the business and financial partners (Gazprombank, Sberbank). And he urged the staff not to slow down the pace of work and to keep up the spirit for creating and developing the enterprise.

The opening of the new Shchekinoazot plants was an event for the whole team. Shchekino chemists were really joyful on this day; they congratulated each other and were encouraged by the fact that the company continues to develop technologically.

Third methanol

It is symbolic that on September 7 the day of the launch of the second methanol production facility, the next new project of Shchekinoazot, the Methanol-500 facility was officially launched.

Today, the development of the M-500 Basic Project has been completed, the economic feasibility study of construction investments has been completed, the Environmental Impact Assessment has been developed, the development of a package of Project documentation for the Main State Expertise and for obtaining a Construction Permit has been completed. Public hearings have been held, and a permit has been obtained from the Shchekino district municipal administration for the construction of the M-500 production plant at the site of Shchekinoazot LLC. The future construction site is being prepared, negotiations have been held with long-cycle equipment suppliers and the suppliers have been determined for the primary reformer and syngas compressor. Tenders are in progress for the supply of the main process equipment, and detailed engineering design is under way.

Project implementation began in Q4 2016, and the launch of the new production facility is planned for Q2 2022.

The ceremony of laying the symbolic stone to commemorate the beginning of the construction of the "Plant for the production of methanol rectification M-500" was attended by high guests, managers of the Shchekinoazot company, honorary participants of the ceremony, veterans and workers of the plant.

The company has other relevant objectives in the future.

Pushing the Boundaries

This was the motto of the festive event. This motto is taken as the basis of activity by the company itself. After all, development is a constant process.

"I am convinced that all dreams will come true," Boris Sokol concluded. "You just need to replace the words: "dream" with "goal", "desire" with "task", and "aspiration" with "action"! And you need to work a lot!"

... An excursion around the plant was organised for the guests to the event, during which they got acquainted with new production complexes. There was also a big celebratory programme, the keynote of which was conquering new peaks, constant improvement and the pursuit of success.

Boris Sokol showed the distinguished guests the work of the new treatment facilities, the installation of Methanol-Ammonium and other production units.

The event continued in an informal atmosphere. They also honoured distinguished managers and employees.

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