— PA-6 chips
— industrial yarns
— tire cord fabrics
NITROGEN FERTILIZERS PRODUCTION
— ammonium nitrate
— hydroxylamine sulphate
— ammonium sulphate
TECHOLOGICAL GASES PRODUCTION
— ammonia liquid
— ammonia aqueous
In 2017, “KuibyshevAzot JSC Development Priorities 2016–2020”, approved by the Company’s Board of Directors, were implemented.
The reporting year was a period of intense work, commissioning of the new production capacities and continued implementation of large-scale projects.
The Company achieved a record high output of nitric acid, ammonium nitrate and polyamide.
Production of the main products was as follows:
- ammonia (including output of a joint venture Linde Azot Togliatti LLC – 305,400 tons) – 880,400 tons, or 135.0%, compared with 2016;
- ammonium nitrate – 615,700 tons (100.6%);
- urea – 309,500 tons (91.0%);
- ammonium sulphate –485,300 tons (96.6%);
- caprolactam – 194,500 tons (98.7%);
- polyamide-6 – 147,200 tons (102.7%);
- industrial and cord yarns – 11,000 tons (87.3%);
- dipped tyre cord fabric – 16.4 million running meters (151.1%).
Commercial products output growth by 6.7% due to the start of JV Linde Azot Togliatti operation, and improvement of market prices for caprolactam and its derived products made it possible to increase revenue by 13.5% to 43 billion rubles. At the same time, the increase in energy costs, basic raw materials, repair and restoration of equipment resulted in decrease of net profit by 23.7% to 3.1 billion rubles.
A significant amount of work was done in 2017 to build new and retrofit existing production capacities.
The ammonia production plant, a JV with German company Linde, and the nitric acid line reached their design capacity values.
By the end of the year, the fifth polyamide plant and the compacted ammonium sulfate plant produced their first products. Construction of ammonium sulfate-nitrate plant is underway.
A joint venture with the Italian company Maire Tecnimont was set up to design and build the new urea plant.
The scheduled turnarounds in ammonium nitrate, urea, nitric acid, and ammonia shops of were completed.
Implementation of the projects for the construction of sulphuric acid and oleum production plant as well the second nitric acid line was started.
Specific consumption per ton of product was reduced: caustic soda by 4.4%, electricity by 23%, heat energy by 6.3%, river water by 4.3%.
Shchekino yarn production plant is to bring the capacity of nine new Ratti yarn twisting machines to their design values.
The Company is considering new promising projects: nitric acid and ammonium nitrate production, increase of caprolactam production capacity to 260 thousand tons.
Particular attention is paid to environmental projects and measures. A waste water treatment unit was put into operation at the urea production plant. This allowed to stop the discharge of chemically polluted effluents and in the future to reduce the consumption of river water by 250 thousand m3 per year. The first stage of weak nitric acid production without gasholder was implemented, both the construction of the Northern industrial hub storm water treatment facilities and the commissioning of a vapors condensation unit after scrubbers-neutralizers at the ammonium nitrate facilities to reduce emissions into the atmosphere are in progress.
According to the strategic program for import substitution and extension of caprolactam and polyamide processing within Russia, the Company conducts modernization at the subsidiary companies producing industrial and textile yarns, cord fabric in Kursk, and textile fabric in Balashov. KurskKhimVolokno LLC commissioned and reached design capacities of 3 new technical yarn spinning machines, the volume of greige tyre cord fabric production increased by 2.4 times. A joint venture with with Corex Nederland B.V. (the Netherlands) producing cardboard tubes now operates at KurskKhimVolokno production site, it will secure the demand for this product for the entire KuibyshevAzot Group of Companies. The above projects make it possible to ensure stable capacity utilization of the main production in Togliatti under the conditions of increased competition on the foreign market. The internal processing, including Russian and foreign subsidiaries, amounted 76% for caprolactam and 33% for polyamide.
In 2017, a joint venture of KuibyshevAzot PJSC and MET Development S.p.A (project division of Maire Tecnimont S.p.A. (Italy) was set up to design and implement the new urea plant project. The participation share of both parties is distributed as follows: KuibyshevAzot PJSC ‒ 68% and MET Development ‒ 32%.
In order to be able to attract investors in the future a subsidiary company Volgatechnool LLC was established for the implementation of the sulphuric acid and oleum project. In case of no interest to participate in the project from other companies, the project will be implemented at the expense of KuibyshevAzot PJSC and borrowed funds.
Unfortunately, 2017 was not entirely positive. A fire took place at the caprolactam production, which caused damage to the cyclohexanone plant. The high level of industrial and environmental safety inherent in the design and construction of the plant allowed to minimize damages. The equipment was restored within the optimal period of time, loss of caprolactam production output compared to the output of 2016 is negligible.
In total, the Company spent 5.7 billion rubles for the construction and technical re-equipment in 2017, overhauling of factory facilities amounted to 2.3billion rubles. Thus, 8 billion rubles were allocated for the development of the Company.
Auxiliary and service departaments
Civil construction and repair
The specialists of auxiliary and service departaments are in charge of maintenance and repair of different machines and installations, utilities units, instruments and buildings.