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Businessman: Russia Interested In Import Of Armenian Perlite

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  • Businessman: Russia Interested In Import Of Armenian Perlite

    BUSINESSMAN: RUSSIA INTERESTED IN IMPORT OF ARMENIAN PERLITE

    ARMINFO News Agency
    16/01/2013

    Today Russia like during the Soviet period of time needs import of
    Armenian perlite, Suren Gevorgyan, President of the Board of director
    of Karakert Stone-Working Plant OJSC, the holder of the 50% stake in
    the company, told ArmInfo.

    He said that yet in 2007 Armenia and Russia made an interstate
    agreement implying resumption of import of Armenian perlite. Then
    prime minister of Armenia Serzh Sargsyan and Transport Minister of
    Russia Igor Levitin signed the agreement. A year before, in 2006,
    an agreement was made with RAO UES on launching a joint production
    at the plant. However, the agreement was not implemented due to some
    "absurd reasons."

    "It can be called nothing but crime when RAO UES transfers $300,000
    to the plant's account, makes an agreement on investments in the
    amount of $30 million, but all that remains on the paper," Gevorgyan
    said. He thinks that Russia would easily return its investments
    because it buys heat insulating perlitic materials from an American
    Corning Company for $1.2-$1.3 thousand per cu m, while the Karakert
    Stone-Working Plant was to supply the same quality materials for
    $600. The businessman said that Corning built a small plant on final
    processing of perlitic heat insulating constructions near Moscow,
    while Armenia fails to export its perlite reserves that will expire
    in 3,000 years in case of annual export of 1 million tons. He said
    that there are 50-60 combined heat and power plants that began using
    heat-insulating materials on the basis of basalt fiber for lack of
    perlite. Such materials need replacement within 4-5 years, while the
    perlite thermal insulating boards would serve ten times longer.

    Gevorgyan said that the plant was designed in 1974 and was put into
    service in 1990. However, it was suspended after 4 months of start-up
    operation for lack of gas supply. The plant occupies an area of 20 ha.

    He said that 6.2 million Soviet rubles were spent on construction
    of that unique plant. Now, it is estimated at $150-$200 million. The
    plant will create 1,5 thousand jobs if production of thermal insulating
    materials from perlite foam is resumed and the export to Russia is
    launched in line with the above governmental agreement.

    As for the perlite reserves in Armenia, Gevorgyan said that reserves in
    the Aragats perlite mine are the best in the world with their quality
    attributes. The mine contains over 50% of total world reserves of
    this mineral or nearly 3 billion cu m.

    "If Armenia exports 1 million cu m of primary processed perlite
    annually, the proceeds from exports may reach $3 billion," Gevorgyan
    said.

    He recalled that since 1980s Russia had been importing up to 1.2
    million tons of perlite from the Aragats mine annually for production
    of 98% of heat-insulating materials in the energy system.

    Commenting on development of perlite manufacturing in the world, he
    said that over the last 20 years over 80 perlite processing plants had
    been built in the United States. That country produces 12.5 million
    cu m of perlite products out of 27 million cu m of annual production
    in the world. Germany that has no perlite mines imports it from the
    USA and exports 5 million cu m of expanded perlite. China has built
    20 new plants in the given sector over the last years. There are 15
    similar plants in Turkey.

    "In the meantime, Armenia that has the biggest mine of the highest
    quality perlite in the world produces nothing. It just boggles the
    mind!" the business said.

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