MOSCOW (MRC) -- Maire Tecnimont S.p.A. announces that its subsidiaries Tecnimont Planung & Industrieanlagenbau GmbH and MT Russia LLC have been awarded by Kazanorgsintez PJSC (KOS) an EP contract (Engineering and Procurement) for the execution of a low ensity polyethylene (LDPE)/ethylene-vinyl-acetate (EVA) plant, to be implemented inside the existing KOS facilities, located in Kazan, in Tatarstan (Russian Federation), as per Maire Tecnimont's press release.
KOS is one of Russia's largest polyethylene (PE) producers, supplying its products to 36 countries worldwide. The contract signing ceremony was held in Maire Tecnimont Group’s Milan headquarters and attended by KOS General Director Farid Minigulov and Maire Tecnimont Group Chief Executive Officer Pierroberto Folgiero, together with several top executives of both companies.
The overall EP contract value is approximately EUR130 million. The contract is under a Lump Sum scheme for the Engineering and Procurement Services and under a Reimbursable scheme for the Equipment and Material supply.
The scope of the project includes the implementation of a new LDPE/EVA plant with a capacity of 100,000 tons per year. The project will be mainly aimed at expanding the production capacity of polyolefins, and its completion is expected within about 40 months from the contract signing date.
As MRC reported earlier, Kazanorgsintez (part of the TAIF group) plans to reconstruct reactor B of the low-density polyethylene (HDPE) production and processing plant.
According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 953,400 tonnes in the first five months of 2021, which virtually corresponded to the same figure a year earlier. High denisty polyethylene (HDPE) shipments decreased. At the same time, PP shipments to the Russian market were 607,8900 tonnes in January-May 2021, up by 33% year on year. Shipments of homopolymer PP and PP block copolymers increased, whereas deliveries of PP random copolymers decreased.
PJSC Kazanorgsintez is one of the largest enterprises in the Russian Federation (PJSC TAIF Group of Companies). It produces 40% of all Russian polyethylene and is its largest exporter. Currently, PE, polycarbonate (PC), polyethylene pipes, phenol, acetone, bisphenol A are produced. KOS is the only Russian PC manufacturer. There are 170 types of products in total. The annual production volume is 1.6 million tons. The enterprise is the largest producer of low-pressure polyethylene (HDPE) pipes in Russia. The annual production capacity of HDPE is 540,000 tonnes, and LDPE - 225,000 tonnes.