Kazakhstan, Russia sign agreements on basic terms of co-op on petrochemical projects

Kazakhstan Materials 8 October 2021 11:56 (UTC +04:00)
Kazakhstan, Russia sign agreements on basic terms of co-op on petrochemical projects

BAKU, Azerbaijan, Oct. 8


Kazakhstan’s Samruk-Kazyna Joint Stock Company and KazMunayGas national company and Russian SIBUR Holding signed agreements on the basic terms of cooperation on petrochemical projects on the territory of the National Industrial Petrochemical Technopark special economic zone (SEZ) in Atyrau region within the framework of the XIV Eurasian Forum KAZENERGY, Trend reports citing the holding.

According to the signed documents, the parties determined the conditions for the creation of joint ventures on the basis of an integrated gas chemical complex. Namely, it is the project, which is under consideration for the construction of a plant for the production of polyethylene with a capacity of 1,250 tons per year, as well as a plant under construction for the production of polypropylene with a capacity of 500,000 tons per year.

It is noted that SIBUR's share in both joint ventures will amount to 40 percent. SIBUR's participation in joint ventures will be realized upon receipt of all necessary regulatory approvals and commissioning of a polypropylene production complex.

“We are completing the construction of a polypropylene plant, which is scheduled to start in early 2022. The next stage of this work will be the implementation of a project for the production of polyethylene. In addition, cooperation will allow us to open additional sales markets for Kazakhstani products," Chairman of the Management Board of NC KazMunayGas JSC Alik Aydarbayev said.

"The launch of new capacities will also have a positive effect on the growth of domestic consumption of polymer products in Kazakhstan and other EAEU countries, as well as strengthen export positions in high value-added products due to the existing infrastructure and competencies of SIBUR," Chairman of the Management Board of SIBUR Holding PJSC Dmitry Konov said.