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ITERA INTERESTED IN MANAGING ARMENIAN CHEMICALS PLANT NAIRIT
Interfax
Nov 16 2011
Russia
Russia's Itera (RTS: ITER) has shown an interest in managing Armenian
chemicals plant Nairit, the sole producer of chloroprene rubber in
the CIS.
"Oil and gas company Itera has submitted a proposal to the Armenian
government to manage the Nairit plant," Armenian Energy and Natural
Resources Minister Armen Movsisyan in parliament Wednesday.
Chemieanlagenbau Chemnitz GmbH - C.A.C. of Germany is another contender
to operate the plant, he said.
"Talks are being held with the contenders on technical, economic and
financial issues. It will soon be clear what solutions the companies
are proposing to upgrade Nairit and manage it," he said.
The equipment and technology of the plant is out of date so production
is not competitive on the world market, Movsisyan said. For example,
chlorine production is three times more expensive than at modern
plants. "Nairit is a complex technological chain that was created 30
years ago. After the break-up of the Soviet Union, Armenia has tried
to restore it," he added.
Nairit shareholders and creditors have put together an anti-crisis
program costing around $500 million. They hope to raise $400 million
from EurAsEC anti-crisis fund and the management company should invest
the rest. The program would involve resuming production of chloroprene
from butadiene to bring production to 25,000-30,000 tonnes per year,
which would make up 6%-8% of the world market.
International company Rhinoville Property Limited (founded by Polish
Samex, U.S. Intertex and Russia's Evrogaz) own around 90% of Nairit,
the Armenian government owns 4.4%, Armgazprom owns 3.6% and Yerevan
power plant owns 1.9%.
Interfax
Nov 16 2011
Russia
Russia's Itera (RTS: ITER) has shown an interest in managing Armenian
chemicals plant Nairit, the sole producer of chloroprene rubber in
the CIS.
"Oil and gas company Itera has submitted a proposal to the Armenian
government to manage the Nairit plant," Armenian Energy and Natural
Resources Minister Armen Movsisyan in parliament Wednesday.
Chemieanlagenbau Chemnitz GmbH - C.A.C. of Germany is another contender
to operate the plant, he said.
"Talks are being held with the contenders on technical, economic and
financial issues. It will soon be clear what solutions the companies
are proposing to upgrade Nairit and manage it," he said.
The equipment and technology of the plant is out of date so production
is not competitive on the world market, Movsisyan said. For example,
chlorine production is three times more expensive than at modern
plants. "Nairit is a complex technological chain that was created 30
years ago. After the break-up of the Soviet Union, Armenia has tried
to restore it," he added.
Nairit shareholders and creditors have put together an anti-crisis
program costing around $500 million. They hope to raise $400 million
from EurAsEC anti-crisis fund and the management company should invest
the rest. The program would involve resuming production of chloroprene
from butadiene to bring production to 25,000-30,000 tonnes per year,
which would make up 6%-8% of the world market.
International company Rhinoville Property Limited (founded by Polish
Samex, U.S. Intertex and Russia's Evrogaz) own around 90% of Nairit,
the Armenian government owns 4.4%, Armgazprom owns 3.6% and Yerevan
power plant owns 1.9%.