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«SIBUR» LLC is the managing organization of PJSC «SIBUR Holding».

117218, Moscow, Krzhizhanovsky st., 16/1

Tobolsk-Polymer Assessed for Environmental and Social Impact to International Standards

Branan Environment completed the environmental and social impact assessment of the future polypropylene plant in Tobolsk according to the international standards, including the requirements of the International Financial Corporation (IFC), World Bank, European Bank for Reconstruction and Development (EBRD), as well as EQUATOR principles.

Based on the assessment results, a conclusion made by the experts of Branan Environment provides that the environmental impact of the future plant is expected to be within the allowable limits and not in conflict with the requirements of the existing  sanitary and environmental regulations.

It is also stated in the expert opinion that the considerable increase in the budget revenue of the Tumen Region is expected from tax proceeds due to the project implementation. Newly created jobs would have a favorable effect on the living standard  of those involved in the project implementation, as well as their family. Improved welfare of this group of people would lead to an increase in purchasing power and, accordingly, an increase in sales turnover. As stated in the document, «Mentioned favorable changes will have a stable and long-term effect.»

The favorable assessment report implies that SIBUR may rely upon a successful financing of the project by Vnesheconombank including through attraction of credits from foreign financial institutions on security of the export agencies of the countries, suppliers of the equipment for the construction of the new plant.

For editors

LLC Tobolsk-Polymer is a 100% affiliate company of JSC SIBUR Holding. The expected PP capacity is 500,000 tons per year.  The plant will be constructed in the close vicinity to the industrial site of the Tobolsk-Neftekhim plant, a 100% subsidiary of JSC SIBUR Holding.

In January 2007, SIBUR has chosen Fluor as a Project Management Company. TecnimontS.p.A (Italy) is in charge of the project design, delivery of equipment and construction management for the propane dehydrogenation unit. Linde-KCA-Dresden (Germany) engineers the project design, orders equipment and manages the construction of the polypropylene production unit.

In June 2008, Tobolsk-Polymer together with Branan Environment held public hearings in Tobolsk whereby the project was approved by the municipal government and the citizens.

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Anna Lebed

International Media Relations

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