SIBUR-Neftehim

The company was formed on December 20, 1999 with the participation of the OJSC «Joint-Stock Company Siberian-Urals Oil and Gas Chemical Company (SIBUR) and the Nizhni Novgorod CJSC «Neftehim» which made available its production facilities to the OJSC «SIBUR-Neftehim». «SIBUR-Neftehim» ranks among Russia's leading five producers of ethylene and leads the way in production of ethylene oxide and ethylene glycols.

The company's production complex comprises: – the petrochemical plant in the town of Kstovo with the EP-300 facility turning out up to 300 thousand tons of ethylene per annum. The facility also produces: propylene, butylene-butadiene fraction, heavy pyrolysis resins, oil benzene, fractions C-5 and C-9; – the plant producing ethylene oxides and glycols in the town of Dzerzhinsk. E– produces ethylene oxide, monoethyleneglycol, diethylene glycol, triethyleneglycol and polyglycols from ethylene delivered from the Oil Refinery by a pipeline.

The controlling block of stock of OJSC «Sibur-Neftehim» is held by the enterprises of the SIBUR group of which RAO «Gazprom» is the main stockholder. Thus «SIBUR-Neftehim» operates in the mainstream of the overall corporate policy of the world's largest gas concern which holds development of petrochemistry to be its high-priority objective.

The formation of a strong company in the Region furnishes a smoothly-functioning mechanism for deliveries of starting materials and sales of finished products, cuts production costs, enhances production profitability and makes production attractive to investors.

Production stabilization has permitted saving the best personnel for the sector. The OJSC «SIBUR-Neftehim» employs over 2,000 top-class specialists and experienced production workers and specialists who ensure a high technical capability and excellent production efficiency.

The SIBUR leadership attach much importance to the task of deep-going processing, in Russia, of all hydrocarbons mined by the concern into top-quality chemical products. This helps attain the strategic objective of turning Russia from a raw-materials exporter into an exporter of high technologies.

«SIBUR-Neftehim» output is being widely used for further deep-going processing. The chemical enterprises of Dzerzhinsk and other regions across Russia use the company's products for turning out dichlorethane, polyvinylchloride, ethanolamine, ethyl chloride, plasticizers, braking fluids, coolants, rubbers for cables and footwear, methylmetacrylate, acrylic plastic, polypropylene, synthetic rubbers, phenol, chemical fibres and other products.

A third of all «SIBUR-Neftehim» output is delivered for export. The main export products are monoethyleneglycol and propylene.

Having secured the stable operation of the existing production lines and facilities, «SIBUR-Neftehim» got down to their expansion and mastering of novel types of products. The total volume of investments put by the company into production modernization will come to 720 million roubles in 2000-2001 alone.

In 2000 the petrochemical plant and the plant producing ethylene oxide and glycols were overhauled; construction of the commodity-raw materials base in the town of Kstovo, which will permit doubling the processing of starting materials; is being carried out; an increase in deliveries of raw materials will permit increasing production of ethylene and other products; modernization of the plant will permit to increase the production of ethyleneglycols by 50 per cent.

A decision has been taken to build in the town of Kstovo a new plant producing polyethylene of high-strength for pipes, cast products, films and containers. Commissioning of that unique production line will permit «working» an extra volume of ethylene and make good the deficit of polyethylene products on the Russian and CIS markets.

Establishment of the OJSC «SIBUR-Neftehim» has furnished the ground for the stable work and develpment of all petrochemical enterprises in the Region.