Progress in ethylene complex construction discussed by TAIF PSC and Linde AG
A delegation of top managers of Linde AG has visited Tatarstan with a working visit
A delegation of top managers of Linde AG has visited Tatarstan with a working visit. Managing Director Member of the Board of Directors Linde Engineering Division John van der Velden and Managing Director Member of the Board of Directors Linde Engineering Division Tilman Weide arrived in Kazan together with Executive Vice President and CEO of Linde Engineering Christian Bruch. One of the main goals of the visit was meeting with the leadership of TAIF Group.
TAIF Group and Linde AG discussed the implementation of the memorandum on strategic cooperation
On the part of Tatarstan, the long-standing partners were welcomed by Director General of TAIF PSC Albert Shigabutdinov, Deputy Director General of Corporate Governance, Property & Investments and Director at TAIF PSC, Chairman of the Board of Directors of Nizhnekamskneftekhim PJSC Ruslan Shigabutdinov, Deputy Director General of TAIF PSC for Energy and Information Technology Ruslan Gizzatullin, Director General of Nizhnekamskneftekhim PJSC Azat Bikmurzin, Commercial Director of Nizhnekamskneftekhim PJSC Timur Shigabutdinov, Director General of Kazanorgsintez PJSC Farid Minigulov and others.
The main topic of the meeting was the discussion of the implementation of the memorandum on strategic partnership signed in June 2017 between TAIF and Linde groups of companies for the period up to 2025. The first stage of implementation of the memorandum was the basic agreement for the design, supply of equipment, performance of services for commissioning of the production of EP-600 — the first stage of the future ethylene complex. The total capacity of the complex under construction will be 1,200 thousand tonnes of ethylene. The ethylene complex is to be built in four stages: two of them will build two production facilities of EP-600, another two — units for the production of high-margin polymers, the basic raw material for which will be the production of ethylene. The new complex will triple — up to 1,8 million tonnes — the production of ethylene, the production of polymers, including will increase the production of rubbers up to 1 million tonnes.
In 2018, Nizhnekamskneftekhim PJSC and the consortium of German banks, organized by the leader of the German banking industry — Deutsche Bank AG, concluded a long-term loan agreement for a period of 15 years in the amount of 807 million euros. The guarantor of the transaction was the export credit agency Euler Hermes. According to the configuration of the agreement, the borrowed funds intended for the implementation of the first stage of the construction of the ethylene complex — the production of EP-600, account for 85% of the total amount of the contract with Linde AG, the remaining 15% — allocated to Nizhnekamskneftekhim.
The Tatarstan president is well aware of all major projects implemented by TAIF Group and tries to be aware of all the ongoing activities. In February this year, a delegation led by Rustam Minnikhanov visited Munich with a working visit. During the visit to the head office and the meeting with the management of Linde AG, the Tatarstan leader was actively interested in the implementation of the first phase of the construction of the new ethylene complex and was informed that the work was carried out strictly according to the plan.
Equipment for EP-600 is already being manufactured
''Today, orders have already been placed for the production of part of the technological equipment of the future complex, the work on technical documentation is being completed,'' Christian Bruch said already during his visit to Kazan and to the main office of TAIF PSC.
Albert Shigabutdinov recommended the working group of TAIF Group and Linde AG accelerate the work started on the development of key technical aspects for the upcoming three stages of the project for the construction of the ethylene complex. Having the necessary package of technical documentation and the necessary permits, having completed one stage, it will be possible to proceed without delay to the implementation of the next one. This proposal was also welcomed by Linde management.
By the time when the first Ethylene 600 complex is put into operation, the people who will work on it should be also ready. Last year, the joint project Olefin Academy was launched. 90 listeners — students of specialized universities and young professionals — have already completed the first course of the study. The main task of the academy is to increase the level of knowledge and familiarity with the specifics of the new equipment — what will be installed on the ethylene complex under construction. By the time when the production is launched, the training of the necessary number of specialists who will work on it is to be completed.
''Everything is important: technologies, equipment, investments and people who will work. We consider this project successful and important. And we will definitely continue it,'' Christian Bruch said after the meeting, answering the question of the journalist of Realnoe Vremya.
The operational director of Linde AG also said that the plans to expand cooperation in the future were touched upon in the conversation with the management of TAIF.