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17 June 2020

Construction of new nitrogen fertilizer complex in Grodno to begin this year

There are plans to get down to building a new complex to make nitrogen fertilizers in Grodno in 2020. Belarus President Aleksandr Lukashenko made the relevant statement as he visited the Grodno Azot enterprise on 16 June, BelTA has learned.

“We will begin building this plant this year if you need it. Belarus needs it,” Aleksandr Lukashenko said while talking to Grodno Azot employees.

The president said that initially they had intended to build a new nitrogen fertilizer complex in Vitebsk Oblast. But later on it was decided that it would be more advisable to build it at premises of Grodno Azot since the company has appropriate conditions and trained workforce. “I think we will begin this year. We will definitely get down to it next year,” the head of state stated.

While on a tour of the enterprise, Aleksandr Lukashenko wondered about plans to develop the manufacturing facilities, about the demand for the products on the home market and abroad. The president was also informed about the implementation of an investment project for building a nitrogen complex. Grodno Azot Director General Igor Bobyr noted that the new nitrogen complex will occupy an area of 50ha. To compare, at present Grodno Azot occupies 500ha while the output of the two enterprises will be equal.

In 2018 Grodno Azot launched an investment project to build the nitrogen complex. The company spent last year to choose the general contractor. It was recently revealed that the Italian company Tecnimont will be the general contractor. The other competitors included the Chinese corporations CITIC, CMIC, Complant and the Korean corporation Samsung. Grodno Azot representatives explained earlier that the Italian company has done such work in the past. The commercial offer sent by the Italian company outlined terms of getting credit resources from European banks. The Italian company estimates that the new plant will cost €1.278 billion.

Simultaneously with building the nitrogen complex Grodno Azot will modernize the existing facilities that produce ammonia and carbamide. About $250 million will be spent on it in 2020-2024.

The new nitrogen complex and the modernization of the manufacturing facilities will allow the company to virtually double the output of nitrogen fertilizers and will bolster the company’s competitive ability. It is particularly important considering the fact that new facilities that use energy-saving technologies are being built in other CIS states.

Belarus news (BelTA)