SOCAR Polymer fully uses Russian loan (UPDATE)
Details added (first version posted at 11:12)
Baku, Azerbaijan, Oct. 5
By Ilkin Shafiyev - Trend:
The SOCAR Polymer LLC has fully used the loan provided by the Russian Gazprombank, the Director General of the company Farid Jafarov told reporters October 5.
In June 2015, the Azerbaijani state-owned company SOCAR and the Russian Gazprombank signed an agreement on financing the construction of polypropylene and high-density polyethylene plants under the brand name of SOCAR Polymer in Azerbaijan.
The document was signed in the framework of the St. Petersburg International Economic Forum by the Chairman of the Management Board of Gazprombank JSC Andrey Akimov and the President of SOCAR Rovnag Abdullayev.
According to the agreement, the investment committee of Gazprombank approved a loan for SOCAR Polymer company in the amount of $489 million with a maturity of 10 years.
The SOCAR Polymer project is implemented in Sumgait Chemical Industrial Park. At the first stage, SOCAR Polymer’s production capacity will be 120,000 tons of polyethylene and 180,000 tons of polypropylene. By 2021, the total capacity can reach 570,000 tons of products.
The plant will produce 19 types of products from polypropylene and 12 types of products from high density polyethylene. The products will be used, in particular, in the food and medical industries, as well as in agriculture and car manufacturing.
The total investment costs of the project are estimated at $816 million. The loan in the amount of $489 million has been allocated to SOCAR Polymer company by the Russian Gazprombank for a period of 10 years.
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