SIBUR significantly increased its volume of investment in 2010

Moscow, 28 January 2011. By the end of 2010, SIBUR’s enterprises produced 16.5 million tonnes* of petrochemical products, which is 6% higher than the equivalent figure for 2009 (15.5 million tonnes). The output of dry stripped gas (DSG) in 2010 amounted to 15.3 billion m3 compared with 14.8 billion m3 in 2009**. Production of automobile tyres increased to 8.7 million units, compared with 7.6 million units in 2009 (+14.4%).   

The greatest growth in the petrochemical segment was recorded in the commodity business, as well as in the production of monomers (+12.2%) and synthetic rubbers (+27.7%). The decrease in the production of stable natural gasoline (SNG) was associated with an increase in the production of pentanes in the form of individual fractions. The slight decrease in the production of polymers was due to the increase, in comparison with 2009, in the extent of repair stoppages in connection with the transition of the enterprises to a biennial overhaul cycle.   

In 2011, there is expected to be an increase in the total production of petrochemical products to 18.8 million tonnes, an increase of 14.4% over the figure for 2010.

The volume of investments in the development and expansion of business in 2010 increased to 58.5 billion rubles (in 2009 - 29 billion rubles). The investment program for 2011 was approved to a value of 73.4 billion rubles.

Among the implemented projects in 2010 was the commissioning of a new low-temperature condensation facility at the Gubkinsky gas processing plant in the Yamalo-Nenets Autonomous Area, a third line for the separation of isoprene rubber in Togliatti, and the opening of new large-scale production of ethylbenzene, styrene and the expandable polystyrene Alphapor™ in Perm. In addition, industrial production started of improved butadiene-styrene synthetic rubber in Voronezh, the enterprise Orton in Kemerovo started production of the nonwoven geotextile Kanvalan™, the company's rolling stock was extended, new transport infrastructure was acquired, as was an enterprise for the manufacture of polymer films in the Samara region.  

Also last year active construction works began on major investments of the company in the Leningrad, Nizhny Novgorod and Tyumen regions.

"The petrochemical market shows a positive trend of recovery after the crisis, the good market situation and continued optimization measures have led to significant improvement in the company's main economic indicators," said SIBUR's president Dmitry Konov. "This year we will reach a peak within the existing investment cycle, which will enable the years 2012-2013 to see a significant increase in the proportion of polymers in the overall production structure. On the domestic market, the major large-capacity plastics remain in short supply, giving prospects for further growth in production."    

Indicators by product (thou. tonnes)***:

*With the inclusion of volumes from the joint venture with TNK-BP - Yugragazpererabotka LLC

** With the inclusion of volumes from the joint venture with TNK-BP - Yugragazpererabotka LLC

***With the inclusion of volumes from the joint venture with TNK-BP - Yugragazpererabotka LLC