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OAO &quotPolief&quot 09/04/2003

OAO &quotPolief&quot proceeds with construction of Start-Up Phase I

OAO "Polief" (www.polief.info) proceeds with construction of polyester complex in Blagoveshchensk (Bashkortostan Republic). Start-Up Phase I comprises terephthalic acid (PTA) and polyethylene terephthalate (PET) production plants with output capacities of 230,000 t/y and 120,000 t/y, respectively.

During the last several years, financial resources for completion of construction have been coming in from the budget of Bashkortostan Republic. The sum of 1 billion rubles was allocated for the current year. From the beginning of the year the funds are received in due time, making it possible to carry out planned work in scheduled time.

In December, 2002 consecutive running-in of equipment in nitrogen / air / refrig-eration unit and closed-loop cooling water systems of the plant. In January, 2003 water clarifier unit and open water recycling systems were started up. Installation of process equipment, walling and instrumentation at major facilities of PTA pro-duction plant is close to completion. On March 21, run-in of compressor plant (Demag, Germany) for crude terephthalic acid plant was carried out. This run-in under load was implemented in accordance with requirements specified in tech-nical documentation. Beside this, a number of machines and instrumentation connected with compressors have also been tested. The results of tests were recognized as satisfactory. This compressor plant will supply air for TA produc-tion process, including oxidation of paraxylene. Installation of machinery for this plant was done by contractor company "Dvigatelmontazh" (Ufa) and key person-nel of the plant.

Construction of PET production plant is also in progress. It is planned that this plant will convert in-house PTA product to textile and bottle grade PET. It is worth mentioning that PET as well as PTA is not produced in Russian Federation yet. According to combined information from specialists of OAO "Polief", in 2002 vol-umes of PET consumption by Russian converters reached 340 thousand tons.

For start-up and maintenance of polyester complex, that has no analogs in Rus-sia, training of operating personnel is carried out, and leaves are issued for work with specific types of process equipment. At present, 1238 persons work at the plant. Overall number of Start-Up Phase I personnel will amount to 2367.

Startup of the first PTA production train (115.000 t/y) is scheduled for the end of the current year. Startup of the second PTA production train and textile and bottle grade PET production plant (120.000 t/y) is planned to be carried out next year.