Spanish MAXAM completes construction of chemical enterprise in Uzbekistan
Uzbekistan, Tashkent, Oct. 5 /Trend, D.Azizov/
Spanish Maxam Corp. S.A.U. has completed the construction of the plant for the production of ammonium nitrate of low-density (porous ammonium nitrate) at Maxam-Chirchik JSC worth $15.4 million, a government source in Uzbekistan told Trend on Wednesday.
As reported earlier, the Spanish company started construction in April 2010.
Chirchiqkimyoqurilish LLC was determined as general contractor on construction and assembly works.
The plant is scheduled to be commissioned by the end of October. The annual capacity of the plant will make up 60,000 tons, of which about 55,000 will be exported.
So far, the production of porous ammonium nitrate has not been implemented in Uzbekistan.
The project was financed from own funds of MAXAM Corp. as part of investment commitments during the purchase of assets of Maxam-Chirchik.
The Maxam-Chirchik enterprise was put into operation in 1940. The company specializes in the production of ammonia, ammonium nitrate and urea. In 2007, the Spanish Maxam Corp. S.A.U. acquired 49 percent stake in OAO Electrokhimprom for $ 22 million with investment commitments of $ 55 million to be invested in the development of the company until 2012.
The plant produces about 35 kinds of chemical products, including liquid technical ammonia, nitric acid, ammonium nitrate and urea, ensuring the needs of the domestic market and exporting its products to CIS countries, EU, U.S., Latin America, and Australia.
Spain's Maxam Corp. S.A.U. also acquired a 49 percent stake in Ammofos-Maxam (previous Ammfos), Uzbekistan's biggest producer of nitrogenous phosphate fertilizer in early 2008.
Uzbekistan implements a State program on modernization of enterprises of the chemical industry by 2015. The program includes 12 projects worth $262.9 million which are already being implemented, as well as six projects worth $1.79 billion being developed. The total cost of the program is $2.062 billion.