OREANDA-NEWS. UC RUSAL (SEHK: 486, Euronext: RUSAL/RUAL, Moscow Exchange: RUALR/RUALRS), a leading, global aluminium producer, together with the Ministry of Transportation of the Russian Federation and the Government of the Krasnodar Territory, announces that it will participate in the creation of the Taman Dry-Cargo Port.

The construction of a terminal to transfer aluminium and alloys is planned at the Taman port. The agreement is scheduled to be signed at the XII International Investment Forum Sochi-2013, held between September 26-29, 2013. RUSAL is included on the list of Taman port investors. For RUSAL, this project will create an alternative to the existing port capacities of the Azov and Black seas (Novorossiysk, Temryuk) when exporting products. It is also in line with RUSAL's long term strategy to reduce operating costs and ensure transport security through logistics optimization.

The construction of the Taman dry-cargo port is based on the principles of public-private partnership. The goal of the project is to create a new deep-water port on the Taman Peninsula, which is integrated into the international North-South corridor. The project will also add value to the port capacities of the Azov sea and the Black sea.

“RUSAL is eager to take part in the project because of its appealing principles: public funds will be attracted to create the port's infrastructure. It will allow the Company to form one of the most effective ports in the South of Russia and, as a result, to provide shippers with a controlled quality of stevedoring”, commented Vladislav Soloviev, RUSAL First Deputy CEO.

The overall construction cost of the investment project is estimated at RUR 228.04 billion. RUR 115.5 billion will be spent on the public property, including RUR 76.04 billion from the state budget and RUR 39.46 billion from the private budget. Private investment to construct terminals will reach RUR 112.54 billion.

Cargo turn-over at the new port is estimated to be 95 million tonnes annually. Construction will start late in 2013 or early in 2014. The project is expected to be fully completed by 2020.