MOSCOW (MRC) -- The merger with TAIF will allow SIUBR to become one of the largest players in the world market, said CEO of the company Mikhail Karisalov in an interview with TASS at the St. Petersburg International Economic Forum.
M. Karisalov noted that SIBUR's strategy is to transform from a partner of mining companies, helping to deal with by-products for them, into an actually independent, effective player in a large industry, which is attractive in itself. For this, the company was engaged in reconstruction, creation of new capacities, optimization of its business processes.
According to him, in fact, SIBUR's business is built on the needs of the wrong industries that consume liquefied gas, synthetic rubber or polypropylene, that is, directly from the end consumer. “We work from the needs of those who are through one or even two redistributions, in related industries: agriculture, construction, mechanical engineering, medicine, " he said.
Key expectations from this year are the continuation of the investment program. "The Amur Mining and Chemical Complex is already in a fairly advanced phase. Today, the pile driving is nearing completion, concrete work is underway. We have to accept the first navigation this year," said M. Karisalov.
Regarding the merger with TAIF, preparations are underway, but it is planned that by the beginning of the second half of the year there will be enough details so that our partners and I can proceed to formulating a specific plan for the integration of companies. "Of course, we, as an oil and gas chemical company, expect that the capacities of Kazanorgsintez, Nizhnekamskneftekhim, as well as generating capacities (TGK-16) will be included in the structure of the merged company," he said. Together with the completion of investment projects, which should be achieved over the next few years, the combined company's capacity will exceed 7 million tons. The combined company will be included in the top 5 world producers of petrochemical products.
"At the heart of the Amur Mining and Chemical Combine, in addition to the most serious inter-industry cooperation with Gazprom, there is also inter-country cooperation. I am talking about the deal with Sinopec approved by the government commission on foreign investments in December last year to enter the share capital of the MCC by 40%. Another very important part, besides of global things - these are indicators of efficiency. They are taken from the cost of raw materials, from the indicators of the cost that we can achieve. And also from the cost of construction. Investments below GYV10 billion is our most important goal. "
In addition, the project for the expansion of the Shurtan Gas Chemical Complex is being discussed with colleagues from Gazprom Neft. "This is a rather interesting project - there is production, the raw materials and technological possibilities for its expansion are clear, while there is a substantive discussion of different scenarios. The options for our participation are different - from co-investment in the development of an asset to a grocery outage."
“The project with Kazakhstan is no less interesting. Just recently, at the St. Petersburg International Economic Forum, we signed an agreement - we are studying the economic efficiency of joining the construction of a project for the production of polypropylene for 500 thousand tons, polyethylene for 1.25 million tons per year. make a decision by the end of 2021 ".
Earlier it was reported that on June 9, the first production line of the Amur Gas Processing Plant (GPP) of Gazprom was officially launched. The design capacity of the plant will be 42 billion cubic meters of gas per year. The GPP will include the world's largest helium production - up to 60 million cubic meters per year. The plant will consist of six technological lines with a capacity of 7 billion cubic meters. m per year each. Their introduction is planned to be carried out in stages. The Amur GPP is scheduled to reach its design capacity in January 2025.
Earlier, SIBUR and TAIF started to merge petrochemical businesses. The process implies the creation of a company on the basis of SIBUR Holding PJSC, 15% in which will be received by the current shareholders of TAIF. In return, a controlling stake in a Tatarstan group consisting of petrochemical and energy enterprises will be transferred. According to the press service of SIBUR, the remaining stake in TAIF may be subsequently redeemed by the merged company.
Earlier it was noted that the joint company of SIBUR and TAIF will include the parent company of the Tatarstan group, its two chemical plants and an energy company. On the part of TAIF, the following companies will join the merged company: TGK-16 JSC, Kazanorgsintez PJSC, Nizhnekamskneftekhim PJSC and TAIF JSC. The oil complex of TAIF-NK PSC is not included in the deal with SIBUR.
SIBUR is the largest vertically integrated gas processing and petrochemical company in Russia, uniting a number of production sites in various regions of the Russian Federation. The company sells products to consumers in the fuel and energy complex, automotive, construction, production of consumer goods, chemical, etc.
PSC "TAIF" was established in 1995, is the parent company of the group of the same name, which includes enterprises structured in four business areas: oil and gas processing, chemistry and petrochemistry (energy); investment and financial services; building; telecommunications and complex services, including trade. TAIF Group of Companies is a large Russian holding that controls 96% of the chemical, petrochemical and oil and gas processing industries in Tatarstan. The most important of its areas is the Chemistry, Petrochemistry and Oil and Gas Processing Division, which includes the leading Russian polymer producers Nizhnekamskneftekhim and Kazanorgsintez.