Sibur-Solvay JV to build Russia vinyls complex

28 June 2007 12:06  [Source: ICIS news]

MOSCOW (ICIS news)--Sibur has formed a joint venture with Solvay to build a fully integrated vinyls complex at Kstovo in the Nizhny Novgorod region of Russia, the Russian petrochemicals major said on Thursday.

 

The €650m ($874m) RusVinyl complex would be jointly owned by Sibur and SolVin – a 75:25 joint venture of Solvay and BASF – and have nameplate capacities of 330,000 tonnes/year of polyvinyl chloride (PVC) and 225,000 tonnes/year of caustic soda.

 

Solvay said the complex would be supplied with ethylene from Sibur’s Kstovo cracker, which would be expanded to meet RusVinyl’s requirements.

 

Provisions would be made to expand RusVinyl’s capacities to 510,000 tonnes/year of PVC and 335,000 tonnes/year of caustic soda, added the Belgium-based chemicals company.

 

The complex was expected to come on stream in 2010 pending regulatory clearance and would serve the fast growing markets of the Commonwealth of Independent States (CIS).

 

“Solvay is implementing a strategy of sustainable and profitable growth which includes geographical expansion into fast-growing markets, and this vinyls project marks a substantial step in that process,” said Jacques van Rijckevorsel, general manager of Solvay’s plastics sector.

 

“The plant will abide by the most stringent international and Russian environmental standards, thereby contributing to the sustainable development of the vinyls industry in Russia,” he added.

 

RusVinyl would acquire Solvay’s licences to produce suspension and emulsion PVC, Sibur said.

 

The deal between Sibur and Solvay was previously expected to be finalised in February 2007.

  

($1 = €0.74)

 

Mark Watts contributed to this article

 

ICIS Copyright © Reed Business Information 2009

Author: Sergei Blagov
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