OREANDA-NEWS. December 29, 2008. In the Government of Omsk Region were held trilateral negotiations dedicated to the realization of the project to build a polypropylene production plant which is to be carried out by the "Group of Companies "Titan", CJSC, reported the press-centre of Titan.

A protocol was signed in April 2005. It was designed to join efforts of the Government of Omsk Region and "Group of Companies "Titan", CJSC, for the purposes of building a powerful petrochemical production complex. The complex must also include a polypropylene production plant of 180 000 tonne/year capacity.

In 2006-2007 a sufficient work was conducted to sign contracts for manufacture and delivery of the necessary high-technology equipment. Since the beginning of the project's realization a shipment of the equipment was supplied to the warehouse. Its cost estimated in 400 million roubles.

The main contractor of the Omsk polypropylene production factory - Italian company Tecnimont S.p.A - continues to supply the equipment. In 2008 a credit agreement was signed between public corporation "Poliom" (the enterprise involved in the realization of the building of polypropylene construction factory) and state corporation "Bank of the Foreign Economy Development "Vnesheconombank".

This agreement will be used for financing the polypropylene production factory. It gave opportunity to deploy the works within project in full scale. The financing is goal-oriented; the total amount of line of credit exceeds 160 million dollars.

Today on the 10 of December trilateral negotiations were held in the Government of Omsk Region. It settled the issues of project activity to build the polypropylene plant and defined the terms of the constructions. The talks were held in the presence of:

- the Governor of Omsk Region Leonid Konstantinovich Polezhayev;

- deputy of State Duma, Federal Assembly of Russian Federation, member of the Committee on Economic policy and Business of the State Duma - Mikhail Aleksandrovich Sutyaginsky;

- directors of the enterprises of the "Group of Companies "Titan" (Chairman of the Board of Directors in "Group of Companies "Titan", CJSC - Igor Gennadievich Nazarevich; the external supervisor of public corporation "Omsky Kautchuk" - Oleg Anatolievich Mukhin; deputy director general on works and building - Nikolai Petrovich Vinokurov; chief engineer of company with limited liability "Poliom" Sergei Viktorovich Korolev);

- representatives of the Italian company "Technimont" - major subcontractor of Omsk polypropylene factory - "Tecnimont S.p.A." (managing director of the company "Tecnimont S.p.A." Enzo Caetani, company commercial manager for Russia and CIS Elio Codella) and other participants.

Managing director of the company "Tecnimont S.p.A.," responsible for technological aspects of the project, hardware and contract supervision, assured the negotiations participants that the works will go smoothly and in accordance with the established program of equipment installation. The last shipments of equipment are to be sent to Omsk before September 2009 and will be finished one year later.

At the moment all works are conducted according to the schedule. On the number of objects the readiness exceeds more than half of the total volume of building and assembly works - these objects include the warehouse for completed production and chemical reagents, bleeding ramp, polypropylene park, compressor house, interplant technological ramp, valve house, torch husbandry and other objects. The general contractor "Omsk Construction Company- 2000" belongs to the enterprises of the "Group of Companies "Titan", CJSC.

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General information on the project.
Production of polymer materials is one of the branch of activities for petrochemical companies. Polypropylene is one of the most widely used polymers.

It is crystal thermoplastic polymer without color and odor. In the original state polypropylene is transparent, but can be easily given several colors and tones. Flexibility and universality of this product give the opportunity to apply polypropylene in several climatic zones.

Polypropylene market belongs to the most dynamically developing markets of plastics, its share in the total production volume of all polymers exceeds 20%.

The support to the project on regional level proves its urgency - the project is included in the regional investment program of Omsk Region. According to the resolution of Investment Activity Counsel in the Government of Omsk Region, public corporation "Poliom" (a company, the project holder) received the support in form of taxation preferences.

Establishing the polypropylene production in the region provides broad possibilities for development of the local small-to-medium business involved in the making of production and technical goods and civil household tools made of different kinds of plastics and film.