OREANDA-NEWS. August 2, 2012. SOGAZ Insurance Group has signed a package insurance contract for construction and assembly risks with CJSC Verkhnekamsk Potash Company, a member of Acron Group of Companies, one of the world’s largest mineral fertilizer producers. The contract was co-insured by LLC VTB Insurance.

The contract covers all construction and assembly risks associated with the development of the Talitsky site of the Verkhnekamsk potash-magnesium salts deposit located in the territory of the city of Berezniki and in the Usolsky Municipal District of the Perm Territory. The contract also covers the construction facilities, VPC property at the site and the company’s civil third party liability at all stages of the project as well as during the commissioning and start-up works and warranty maintenance period of the commissioned facilities.

As of the date of the contract, the insured amount exceeded RUB 53 billion. The co-insurers share their project-related liabilities equally. The contract will be valid till 2018.

“Insurance of such large-scale technologically sophisticated projects as development of natural deposits requires special expertise and resources, and we are prepared to provide them”, says Nikolai Galushin, Deputy Chairman of SOGAZ Management Board. “Participation of Willis CIS insurance broker will guarantee reliable, high-quality re-insurance for the project using the capabilities of leading international companies”.

CJSC Verkhnekamsk Potash Company was established in 2006 by OJSC Acron to develop the Talitsky site of the Verkhnekamsk deposit in the Perm Territory, one of the world’s largest potash-magnesium salt deposits. In March 2008, Verkhnekamsk Potash Company won an auction for the right to use subsoil deposits for the purpose of exploration and mining of potash-magnesium salts in the Talitsky site of the deposit. The project provides for construction of potassium mines with a total output of 7.2 million tons per year and a miming and processing enterprise with a total output of 2 million tons of KCl per year. The Talitsky site development project involves an investor consortium, including State Corporation “Bank for Development and Foreign Economic Activities” (Vnesheconombank).

SOGAZ Insurance Group brings together OJSC SOGAZ, LLC IC SOGAZ-AGRO, OJSC IC SOGAZ-MED, LLC IC SOGAZ-LIFE, SOVAG (Germany), SOGAZ a.d.o. Novi Sad (Serbia), LLC SOGAZ International Medical Center, asset management company CJSC Leader and medical service company LLC Gazprommedservice. Currently the Group’s regional network includes over 600 subdivisions and sales outlets across Russia. SOGAZ has been assigned the topmost reliability rating of A++ by Expert RA, as well as international financial stability ratings by A. M. Best ("B++", outlook “Stable”) and Standard & Poor's (“BBB-”, outlook “Stable”).