18^th International Trade Fair Plastics and Rubber – INTERPLASTICA’2015 will be held from 27 to 30 of January 2015 at the Expocentr on Krasnaya Presnya (Address: 123100, Russia, Moscow, Krasnopresnenskaya nab., 14): Halls 1, 8 and in the Forum, and Hall 3 will be used for the first time.

Russia continues to provide an environment for the plastics and rubber industry and for the packaging sector. The country’s economy is still growing, and its main strengths are the size of its domestic market and its consumption-focused society. Consumer-oriented industries are therefore showing particularly dynamic growth, e.g. food and beverages, the automotive industry, construction, electrical and electronic goods, medical engineering, the chemical industry and sports and leisure. They all have one thing in common: a strong demand for plastics and rubber and for state-of-the-art functional packaging. As the modernisation of Russia’s domestic industry continues to be in need of strengthening, innovative machinery is just as much in demand as raw materials, packaging, tools, technical components and industrial services.

All of which adds up to an excellent climate for INTERPLASTICA 2015. Since its premiere in 1988, the International Trade Fair Plastics and Rubber has established itself as the leading platform for the industry in Russia. Experts from all corners of the Russian Federation travel to Moscow to find out first hand about the latest technologies and the high-quality palette of offerings from the international plastics and rubber industry. Exhibiting companies set great store by participating in INTERPLASTICA because it’s here that top decision makers can be met, new business contacts forged and deals set in motion.

Main categories:

• Machines and equipment for the plastics and rubber industries
• Machines and equipment for preparation and recycling
• Machines and equipment for finishing, decorating, printing and marking
• Machines and plant for processing
• Post-processing machines
• Welding machines
• Tools
• Peripheral equipment
• Measuring, controlling, regulating and testing equipment
• Parts and components
• Raw materials and auxiliaries
• Plastics and rubber products
• Storage technology for the plastics and rubber industries
• Services for the plastics and rubber industries

The presentations of the INTERPLASTICA exhibitors will be complemented by a special show entitled “Meeting Point Raw Materials” in Hall 1.

Organizer:

• Messe Düsseldorf GmbH (OOO Messe Düsseldorf Moscow)

Support of the event:

• Ministry of Industry and Energy of the Russian Federation
• Ministry of Education and Science of the Russian Federation
• Government of the City of Moscow
• Russian Association of the Chemical Industry
• ZAO “Roschimneft”

Patronage: 

• EUROMAP (European Committee of Machinery Manufacturers for the Plastics and Rubber Industries)

Due to the close thematic and technological links between the fairs, INTERPLASTICA will once again be staged in tandem with UPAKOVKA/UPAK ITALIA 2015 – 23^nd International Trade Fair for Processing, Packaging and Printing.

May Peace, Joy, Hope and Happiness be yours during this Holiday Season and throughout the New Year!

Tomsk, 6 November 2013. BIAXPLEN, part of SIBUR Holding, has launched a new production facility of biaxially oriented polypropylene films (BOPP-films) in Tomsk, says Media Centre company.

The opening ceremony was attended by Sergey Zhvachkin, Governor of the Tomsk region, Leonid Mikhelson, Chairman of SIBUR Holding’s Board of Directors, Dmitry Konov CEO of SIBUR and other company managers.

BOPP-film is used in the manufacturing of flexible packaging for food and non-food products, labels. BOPP-film manufacturing technology provides for high strength and elasticity properties, high barrier properties, resistance to various corrosive environments, and inertness, and therefore the product is not harmful to humans and the environment.

The new production facility is located on the site of SIBUR’s Tomskneftekhim plant, which is the Company’s main polypropylene supplier. The new production line has an annual nameplate capacity of 38,000 tonnes per year and investment in the project has exceeded RUB 2.4 billion (excl. VAT). More than 150 new jobs have been created through the construction of the BOPP-film production line at the Tomsk site.

Consumption of BOPP-films in Russia reached 124,000 tonnes in 2012, according to Market Report, and demand is growing at an average of 4-5% per year. Launch of the new production facility will help the Company to fully meet demand for BOPP-film from the Russian market. Products will be sold in the Siberian and Ural federal districts, with volumes also exported to CIS countries – Ukraine, Belarus, Kazakhstan and Uzbekistan, and to Europe – Poland, Italy, France, as well as the Baltic states and Turkey.

ESOPP (France) acted as a main supplier of the production equipment for the new facility. The plant operates the widest production line in the CIS (8.7 m), enabling the plant to produce complex five-layer films with treated surfaces, which are used for overprinting. Auxiliary equipment was supplied by Bonfanti and TRIA (Italy), Kampf (Germany), and NGR (Austria).

Sergey Zhvachkin noted:

“SIBUR’s  new production facility will not only bring employment to the Tomsk region but also an influx of substantial investment. The project is an example of how the petrochemical industry can benefit this region, which has consistently produced specialists in the petrochemical industry. The construction and commissioning of our BOPP-film production plant is the next step in developing a petrochemical cluster in the Tomsk region which will be another key phase in the progression of the refining and petrochemical industry.”

Leonid Mikhelson said:

“SIBUR is investing in the development of new polymer production plants and is focussed on expansion of its processing facilities. Implementation of these projects is aimed at improvement of our polymers sales, and SIBUR should benefit from sales of high value added products. We would like to thank the Tomsk region authorities for their support on this project that we are confident will benefit the regional economy by creating new jobs and tax revenues.”

Background:

BIAXPLEN is a subsidiary of SIBUR Holding, one of the largest Russian manufacturers of biaxially oriented polypropylene films (BOPP), with production facilities in Balakhna (Nizhny Novgorod Region), Kursk (Kursk Region), Novokuibyshevsk (Samara Region) and Zheleznodorozhny (Moscow Region). Another project aimed at expansion of BOPP-films production is currently underway at the Novokuibyshevsk site. With the launch of the new BIAXPLEN production facility in Tomsk, SIBUR’s total BOPP -film production capacity will reach 149,250 tonnes per annum.

SIBUR is a uniquely positioned vertically integrated gas processing and petrochemicals company. SIBUR owns and operates Russia’s largest gas processing business in terms of associated petroleum gas processing volumes and is a leader in the Russian petrochemicals industry.

As of 30 June 2013, SIBUR operated 27 production sites across Russia and employed more than 28,000 personnel.  The Group serves over 1,500 large customers operating in the energy, automotive, construction, fast moving consumer goods (FMCG), chemical and other industries in approximately 60 countries.

According to European Plastics News, Federal Antimonoply Service (FAS), Russia’s competition authority, has imposed fines totalling €12.85m against a group of PVC producers and suppliers guilty of running a price fixing cartel in Russia.

In December 2012, FAS found that Sayanskhimplast of Sayansk, Irkutsk region; Kaustik (Sterlitamak) of the semi-autonomous Bashkortostan Republic and its Moscow-based parent group Bashkhim; the Siberian Chemical Company; Kaustik (Volgograd) and its Moscow-based parent Nikhokhim group and supplier Yedinaya Trading Company (JSC ETK) agreed to divide up sales volumes to the suspension PVC market between 2005 and 2009.

JSC ETK received the largest single fine of €5.6m while JSC Bashkirskaya Sodovaya Kompania, formerly Kaustik of Sterlitamak prior to May 2013, was fined €2.76m and its Moscow-based parent group Nikokhim had to pay €1.8m. Other cartel companies penalised are JSC Sayanchimplast (€1.5m) and JSC Kaustik of Volgograd (€1.2m).

Moscow-based FAS is continuing to investigate “administrative cases” against other members of the PVC-S market cartel, according to its deputy head Alexander Kinev.

“Over the past few years FAS has paid special attention to the chemical industry. FAS investigated cases on antimonopoly violations on the market of caustic soda, hepsol, PVC, baking soda.

“Currently we continue monitoring the state of competition on these markets and observe positive trends,” reported Kinev in a recent FAS statement on the case.

Richard Higgs (European Plastics News)

17^th International Exhibition of Chemical Industry and Science – KHIMIA’2013 will be held from 28 to 31 of October 2013 at the Expocentr on Krasnaya Presnya (Address: 123100, Russia, Moscow, Krasnopresnenskaya nab., 14): Pavilion 2, Pavilion 8.

KHIMIA’2013 is part of a series of events organized by Expocentre and devoted to the chemical industry and science:

• the 14^th International Specialized Exhibition for Machinery and Equipment, Materials and Technology for Plastics Manufacture and Processing – PLASTICS INDUSTRY SHOW’2013
• the 5^th International Specialized Exhibition for Laboratory Equipment, Furniture and Glassware – CHEM-LAB-ANALYT’2013
• the 5^th International Specialized Exhibition for Chemical Engineering and Pumps – CHEMMASH. PUMPS’2013

Since its launch in 1965, KHIMIA has been the most prestigious and influential chemical industry forum in Russia and the CIS. It was Expocentre’s first tradeshow to become an UFI-approved event in 1975. Since 1993 KHIMIA has proudly carried a logo of RUEF, the Russian Union of Exhibitions and Fairs, as a label of quality.

KHIMIA’2013 is

• the largest exhibition for the chemical industry and science in Russia and the CIS countries
• the entire chemical industry under one roof
• high return on investments
• a professional meeting point
• an innovations hub: equipments, technologies, materials
• the global chemical industry trends
• industry-specific science and education
• cross-sectoral cooperation
• a prestigious platform to consolidate your position in the market
• a launch pad for new brands

Organized by

• Expocentre, ZAO

Official support from

• Russian Ministry of Industry and Trade
• Russian Union of Chemists
• Chemical Department of the Lomonosov Moscow State University

Patronage

• Chamber of Commerce and Industry of the Russian Federation
• Government of Moscow

The exhibition occupied 28000 sqm in two of the pavilions at Expocentre Fairgrounds to showcase raw materials and equipment for the chemical and petrochemical industries; base and non-organic chemicals; fuel and lubricants; packages; low-tonnage chemistry; drug substances; reagents, catalysts, chemical fibers and yarns; composite materials and GRP. The tradeshow demonstrated the latest developments for oil processing and petrochemistry, agrochemistry, organic and microbiological synthesis, biotechnology, design of chemical plants, storehouses and terminals; transportation of chemicals and petrochemicals; chemical technology and research.

Tobolsk, 15 October 2013. Tobolsk-Polymer, one of the world’s largest polypropylene production facilities, was commissioned at a grand opening ceremony attended by the President of the Russian Federation Vladimir Putin. This construction project has been hailed as the biggest investment project in the Russian petrochemical industry, says Media Centre company.

The opening ceremony was also attended by Alexander Novak, Russian Energy Minister; Vladimir Yakushev, Governor of the Tyumen Region; Leonid Mikhelson, Chairman of OJSC SIBUR Holding’s Board of Directors and Chairman of OJSC NOVATEK’s Management Board; Alexander Dyukov, Deputy Chairman of OJSC SIBUR Holding’s Board of Directors and CEO of Gazprom Neft; and Dmitry Konov, SIBUR’s CEO.

Vladimir Putin also chaired a meeting on the development of the petrochemical industry at the production site.

The Tobolsk-Polymer complex comprises two units – a 510 ktpa propane dehydrogenation (PDH) propylene production unit and a
500 ktpa polypropylene production unit. The complex is in the immediate vicinity of SIBUR’s operating plant, Tobolsk-Neftekhim, which will supply the feedstock – over 600 ktpa of propane. Tobolsk-Polymer is in the top 10% of most efficient polypropylene production facilities globally in terms of cash costs. Construction of the facility started in spring 2010 and was completed in standard time by global benchmarks.

The launch of the Tobolsk-Polymer facility will contribute to the important challenge of import substitution in Russia, where currently local polypropylene production is not sufficient to meet domestic demand. In 2012, polypropylene production in Russia was over 660 kt, with demand exceeding 880 kt. Average polypropylene per capita consumption in Russia stands at 6 kg, whereas in Eastern Europe the figure stands at approximately 14 kg, in Western Europe – 18 kg, and the United States – 17 kg. IHS Chemical forecasts that polypropylene consumption in Russia will grow by an average of 4.2% per annum until 2020. The launch of Tobolsk-Polymer will turn Russia from a net importer into a net exporter of basic polypropylene grades and the facility will carry out an important role in processing Russia’s associated petroleum gas (APG) products. Additional polypropylene supplies to the market will boost the development of processing industries, which will in turn further drive polymer consumption in various sectors of the economy – the automotive industry, construction, housing and utilities sector, and others.

Total investment into the project was approximately RR 60bn. The project was financed with the Company’s own funds and project financing from largest international commercial banks and development banks led by Vnesheconombank. Within the framework of the agreement credit lines totaling $1.441bn were opened in 2010, with $1.2bn backed by export credit agencies from Germany (Euler Hermes) and Italy (SACE). The transaction was named Best Project Finance Deal of 2010.

State-of-the-art technology was used in the design and construction of the complex to minimise the facility’s environmental impact. The site features a closed loop wastewater treatment system, preventing discharge to local rivers, lakes, swamps or any other under-/aboveground water reservoirs. Waste treatment facilities were also designed with extra capacity.

The PDH unit is based on technology provided by UOP (United States) to process propane into propylene, with Italy’s Maire Tecnimont SpA acting as an ЕРС contractor. The polypropylene unit employs a licensed technology solution provided by Ineos (UK), with Linde AG, Germany, acting as an ЕРС contractor.

Leonid Mikhelson, Chairman of SIBUR Holding’s Board of Directors said:

“SIBUR enables oil and gas producers to sell their by-products without having to build their own processing capacities. The company consistently invests in APG processing and transportation and fractionation of light hydrocarbons. Tobolsk-Polymer is an important stage of the corporate strategy of advanced processing to derive value-added petrochemical products, including basic polymers, and meet domestic demand while achieving import substitution.”

Background information:

Over 320 companies from 23 countries, including Russia, Korea, Japan, Germany, Italy, Switzerland, France, the United States, Belgium, the Netherlands, and India, were involved in the construction of the Tobolsk-Polymer complex. At peak of construction, over 6,000 people from 27 towns and cities across Russia and five foreign countries were employed at the site. Russian producers supplied 88% of materials used in construction.

The combined weight of large-sized equipment assembled during construction totaled 18 kt; 18 vessels, 992 railway cars, and 1,957 trucks were used to deliver that equipment. In October 2010, in a unique shipment operation, the facility’s largest single unit of equipment – a propane dehydrogenation column – was delivered to the site. With its length of 96 metres, a diameter of 10.5 m, and weighing 1,086 tons, the column required a 102-metre long custom-built barge. The vessels covered the distance of 31,817 km, including 26,195 km by ocean to Arkhangelsk and 5,622 km from Arkhangelsk to Tobolsk.

Polypropylene is in the top three most widely used plastics globally. It is a chemically inactive and eco-friendly material used to produce food packaging and wrapping products, automotive parts, water pipes, household appliances, medical devices (inhalers, disposable syringes, etc.), and many other products.

According to ITAR-TASS, Irkutsk Oil Company (INK) is considering the construction of a gas-chemical complex with its own electric power generation near the city of Ust-Kut in the Irkutsk Region. The project with a preliminary investment assessment of 110-120 billion roubles (€2.5bn) has been considered at a meeting of the government of the region.

INK was established in 2000 by uniting several small oil and gas producers operating in East Siberia. INK currently operates 19 oil and gas fields and blocks, including the largest one – Yarakta field, accounting for over 80 percent of the company’s total production. INK focuses mainly on the exploration and production of crude oil, condensate and natural gas; however, it is also engaged in the implementation of gas reinjection project and studies other opportunities of gas utilisation. Most of the company’s assets are located in proximity to the ESPO pipeline.

INK Director General Marina Sedykh said that the project is currently at the feasibility study stage. “It includes the construction of infrastructure for the production and processing of associated petroleum and natural gas for the extraction of ethane, propane, butane and condensate, ensuring utilisation of the currently unclaimed gas through the cycling process (gas re-injection into the reservoir, INK is the only company using this technology in Russia), the construction of gas and product pipelines with a total length of 500 km,” said the head of the company.

INK intends to start the development of gas reserves of the northern oil and gas fields – Yarakta, Markovo, West Ayan. The construction of the first plant for the processing of associated petroleum and natural gas with the capacity of 1.26 billion cubic metres per year has already been launched. The total volume of gas processing after the commissioning of the unit on the Markovo field in 2016 and two more units in Yarakta in 2017 will amount to 7 billion cubic metres per year. According to the INK materials, the units will make it possible to extract from the processed gas up to 96 percent of the valuable components – propane, ethane and butane.

The gas-chemical complex in Ust-Kut is expected to produce up to 500 thousand tonnes of polyethylene per year. The implementation of the project in general will create in the north of the region 450 new high-skilled jobs. The main investment volume will be required within six years from the start of the project.

(ITAR-TASS)

Moscow, 28 May 2013. SIBUR has begun integrated equipment testing at the propylene storage facility and trial production of the first polypropylene line at the company’s Tobolsk-Polymer complex, according to the commissioning timetable. This follows testing of the first production line at the extrusion plant and the polypropylene packaging and dispatch plant, says Media Centre company.

Over the course of the next few months SIBUR will continue commissioning operations across all production facilities and expects to begin production at the complex by the end of 2013, once all approvals have been granted.

SIBUR has notified the Federal Service for Environmental, Technological and Nuclear Supervision (Rostekhnadzor) that construction of the complex has been completed.

SIBUR is the largest petrochemical company in Russia and Eastern Europe, one of the fastest growing petrochemical companies in the world and in the top three by EBITDA margin in the petrochemical industry globally. The Company is one of the top two European synthetic rubbers producers.

SIBUR operates across the entire petrochemical process chain from gas processing, production of monomers, plastics and synthetic rubbers to the processing of plastics. SIBUR is a vertically integrated company with its gas processing facilities providing feedstock for its petrochemical production. SIBUR’s export sales are around 40-45%. The company has trade houses in Europe and China.

Polyplastic Group, the Russian and CIS market leader in plastic’s processing, has today signed an agreement to acquire full ownership of Radius Systems Limited and all its subsidiary companies for an undisclosed sum.

Miron Gorilovsky, CEO of the Polyplastic Group, commented “Polyplastic is pleased to announce its first acquisition within the European Union and welcomes Radius Systems into the Group. The acquisition brings complementary technologies and innovation and reciprocal access to new markets. The strengthened group will benefit from the scale generated by the acquisition thereby creating a solid foundation for future growth”.

In 2012, Radius Systems generated net sales of over 100 MEUR and employs 370 people at their three facilities in Hilcote, Derbyshire (Group Head Office), Banbridge and Lurgan (both in Northern Ireland). The acquisition also includes the field services subsidiary Radius PLUS Limited.

Andy Taylor, CEO of Radius Systems said “the completion of this acquisition is exceptionally good news for the Radius Group and should be welcome reassurance for both our loyal employees and those suppliers who have supported the business through a tough two year period. With Polyplastic’s involvement and experience, we will be able to capitalise on being part of a substantial international Group. Our common competencies will allow us to access new market prospects and by leveraging our combined innovation, technology and scale we will deliver benefits to both our existing customers and our new owners”.

The buyers were advised by Deloittes acting from their Moscow and Birmingham offices, together with legal advice from CMS Cameron Mckenna LLP. The Birmingham based team at Ernst & Young advised the shareholders of Radius Systems, together with the Manchester based legal team at Eversheds LLP.

The UK business units will continue to trade under the Radius Systems, Radius Plastics and Radius PLUS brands.

According to PRW.com, composite manufacture in Russia has taken a big step forward following a deal between Dow and some local partners, including state-run nanotechnology corporation Rusnano, to produce composite materials and carbon fibre intermediates in the country.

The partnership, which includes Dow’s Turkish composites joint venture DowAksa, agreed to study opportunities in the areas of aerospace, infrastructure, energy, oil and gas and transportation, and to explore supplying both the Russian domestic and global markets.

The parties agreed to draw up “a comprehensive strategy” for composite production which will lead to potential investments in Prepreg-ACM and Nanotechnology Center of Composite, two Russian firms with Rusnano co-investment.

Top executives from global chemicals giant Dow, DowAksa, Rusnano and Russian composite materials producer Holding Company Composite (HCC) signed the memorandum of intent (MOI) at the 2013 World Economic Forum in Davos, Switzerland.

Signatories to the agreement included Dow chief executive Andrew Liveris, Dow Europe, Middle East and Africa president and DowAksa chairman Heinz Haller and Anatoly Chubais, Rusnano’s chief executive.

This landmark deal follows an earlier outline agreement signed by Dow and Rusnano two years ago on potential joint projects in the general areas of energy efficiency, infrastructure, lightweight materials and life sciences.

“The signing of the MOI on potential manufacturing of carbon fibre intermediates in Russia marks a significant step forward in Dow’s innovation and growth strategy.

“Collaborating with the strong local players and leveraging DowAksa capabilities, we will contribute Dow’s expertise in composites technology, formulation, and technical service, as well as global market knowledge and channels,” stated Dow’s Liveris.

The latest deal will also open the way for Rusnano’s Russian portfolio companies to do business and enter technological partnership with Dow Chemical, according to Anatoly Chubais.

“The agreement will enable our companies to spurt ahead in the rapidly evolving realm of carbon composite materials and to find new solutions to increasingly complex engineering challenges,” he said.

DowAksa is a 50:50 joint venture between Dow Europe and Turkey’s Aksa Akrilik Kimya Sanayii, a global supplier of acrylic fibres. DowAksa entered the carbon fibre business in 2009 by developing its own technology for the production of carbon fibre and carbon fibre intermediates.

“Our engagement with the Russian domestic companies will bring new investments to the Russian market and may enable the local production of high quality composite materials which are extremely valuable for downstream high-tech manufacturing.

“I believe that this collaboration will place DowAksa and Turkey in advanced materials league,” said Mehmet Ali Berkman, chairman of Dow’s Turkish DowAksa partner, also a Davos deal signatory.

Richard Higgs (PRW.com)