OREANDA-NEWS. In Togliatti (Samara region, Russia), the Linde Group (Germany) and JSC KuibyshevAzot signed an agreement establishing a joint venture for the production of ammonia and hydrogen. Shares of the member companies in the share capital of the JV, "Linde Nitrogen Togliatti", constitute 50% on each side.

The said production will be located in the industrial area of JSC KuibyshevAzot. Design capacity of the plant is 120,000 Nm3/h of hydrogen and 1,340 tons of ammonia per day. The project involves the use of Linde’s modern technology providing environmentally safe production with consumption of resources corresponding to the best world standards. Its implementation will contribute to the modernization and development of the chemical industry in the Samara region and the creation of new jobs during construction, operation and maintenance of modern production facilities. Investments are estimated at 11 billion rubles, the project implementation period is 2013-2016.

The Linde Group is a world leader in the production of industrial gases and engineering with a total workforce of 63 thousand employees working in more than 100 countries worldwide. In 2012, Linde’s annual turnover reached 15.28 billion euros. Linde began its activities in the Russian market in 1994. Today, business units of the company, counting about 700 employees, operate in Moscow, St. Petersburg, Samara, Yekaterinburg and other cities of Russia. In Samara, Linde Gas has been operating since 2006 and constitutes a key player in the market of industrial gases, including oxygen, nitrogen and argon. The joint project with KuibyshevAzot will allow Linde to significantly strengthen its presence in the region and develop the production and delivery of hydrogen and related products.

KuibyshevAzot is one of the leading companies of the Russian chemical industry engaged in the production of caprolactam, polyamide and nitrogen fertilizers. In the last 10 years, KuibyshevAzot has continuously invested in the reconstruction and expansion of production capacities of these important products on the site in Togliatti. Cooperation with Linde will contribute to further modernization and improvement of the energy efficiency of the Tolyatti company at a time when the cost of energy in Russia tend to reach the critical level, reducing the competitiveness of the domestic industry. This project will provide substantial support to KuibyshevAzot in the implementation of its plans to expand capacities for the production of caprolactam and nitrogen fertilizers associated with a significant increase in demand for hydrogen and ammonia, as well as in the marketing of excess ammonia on competitive terms.

Gerasimenko Viktor Ivanovich, General Director of JSC KuibyshevAzot:

"The cooperation with the Linde Group will have a positive impact on the growth of our facilities for production of ammonia and nitrogen fertilizers, whereas the use of Linde’s modern technology will allow us to improve operational efficiency and long-term competitiveness through the development of new environmentally sound production with consumption of resources corresponding to the best world standards."

Professor Dr Aldo Belloni, Member of Linde AG Board.

“We are pleased to cooperate with our partner in the further development of Industrial Quarter of Togliatti. This project will allow us not only to enhance our presence in Samara but also to strengthen our position as a leading gas and engineering company on the fast t growing market of Russia”.