30 May 2014, Friday, 10:38

Bashkir Government and United Petrochemical Company signed a cooperation agreement

author: Elvira Latypova | photo: Andrey Starostin

The Government of the Republic of Bashkortostan and JSC "United Petrochemical Company" signed a cooperation agreement. The document was approved at the IV International Forum "Big Chemistry", which opened on Thursday in Ufa. The agreement was signed by the President of Bashkortostan Rustem Khamitov and UPC President Kirill Tyurdenev.

At a briefing after the signing of the agreement, it was stated that the document should be an impetus for construction of new polyethylene terephthalate production facilities in Bashkortostan.

“In its part, the Government is ready to provide any preferences: tax, administrative, organizational. Just to start promptly construction and to have new jobs and new businesses here,” Rustem Khamitov said.

According to Kirill Tyurdenev, at this stage, a joint venture of the UPC and the Mexican group Alpek started design works of the plant. In the near future "the design stage should be completed with moving to the construction site stage".

“Total investment is about 700 million dollars that are made on a parity basis: 51 percent by us and 49 percent by our colleagues”, Kirill Tyurdenev said. “The purpose of the project is import substitution of polyethylene terephthalate.”

The framework document is made for five years with a possibility of extension.

JSC "United Petrochemical Company" is a vertically integrated petrochemical group, owned by Systema JSFC. It owns Bashkir companies JSC "Ufaorgsintez ", LLC "Tuimazinskoye GPP", LLC "Shkapovskoe GPP" and LLC "Bisphenol A".

Grupo Petrotemex, S.A. de CV belongs to Alpek SAB de C.V. Alpek is the largest petrochemical company in Mexico and the second largest in Latin America. Alpek is the leading global producer of PTA and PET. It manages 19 companies in Mexico, the United States and Argentina.