EuroChem and Russia’s Ministry of Industry and Trade sign memorandums for special investment contracts with three Russian regions
The Memorandums of Intent were signed at the St. Petersburg International Economic Forum to conclude special investment contracts in the Perm, Leningrad and Volgograd regions.
St Petersburg, 17 June 2016 – EuroChem Group AG (“EuroChem” or the “Group”), a leading global agrochemical company, today announces the signing of Memorandums of Intent (“Memorandums”) to conclude trilateral special investment contracts in 2016. These Memorandums will provide a favourable investment environment for three EuroChem’s large-scale investment projects currently underway: the Kingisepp ammonia project and two potash greenfield projects, EuroChem-VolgaKaliy in the Volgograd Region and EuroChem-Usolskiy Potash in the Perm Region.
The Memorandums were signed by EuroChem’s CEO Dmitry Strezhnev, the Minister of Industry and Trade, Denis Manturov, on behalf of the Government of the Russian Federation, and the governors of the Perm, Leningrad and Volgograd regions where the projects are located. The signing ceremony took place at the St. Petersburg International Economic Forum and was attended by Sergei Ivanov, the Chief of Staff of the Presidential Executive Office of the Russian Federation.
EuroChem’s investment in three projects totals approximately RUB 287 billion while their implementation will create 3,750 new jobs in the aforementioned regions and will ensure annual tax revenues of RUB 22 billion. Production at these new EuroChem projects is due to begin in 2018.
The special investment contracts allows EuroChem to recover significant capital investments more quickly, enabling new investments; whilst also to implement substantial programmes to develop social infrastructure in the regions where the projects are taking place.
About EuroChem Group AG
EuroChem is a leading global agrochemical company producing primarily nitrogen and phosphate fertilizers, as well as certain organic synthesis products and iron ore. The Group is vertically integrated with activities spanning from mining and hydrocarbons extraction to fertilizer production, logistics, and distribution. EuroChem is currently developing two sizeable potash deposits in Russia with its VolgaKaliy and Usolskiy Potash greenfield projects. Headquartered in Zug, Switzerland, the Group operates production facilities in Belgium, China, Kazakhstan, Lithuania, and Russia and employs more than 23,000 people globally. For more information, please visit eurochem-corporate-qa1b64.azurewebsites.net or contact:
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