OREANDA-NEWS. During the XVIII St. Petersburg International Economic Forum, Sberbank of Russia and EUROCEMENT group - the biggest manufacturer of building materials in the CIS - signed a Cooperation Agreement. Signing the agreement on behalf of Sberbank was Herman Gref, the bank's CEO and Chairman of the Board, whilst the signatory from the EUROCEMENT group was Filaret Galchev, the Chairman of the Board of Directors.

The purpose of the agreement is to secure funding for an unprecedented construction programme, which will see new cement manufacturing plants being built in Russia, all of which will operate using the energy-efficient and environmentally clean 'dry' process. The implementation of this programme will enable the Holding company to increase the proportion of cement that it manufactures using the 'dry' method to 100% by 2018. The shift towards this technology will lead to a doubling of energy efficiency in manufacturing, an increase in workforce productivity of 3.5 times and a reduction in environmental impact by a factor of 2.5 times (compared to standard industry norms). By the time the programme reaches its conclusion, in 2018, 63% of all the cement manufactured in the Russian Federation will be produced using the 'dry' process.

The agreement also stipulates that the two parties will cooperate on a whole range of issues, from settlement and cash services to the provision of investment and banking products (via Sberbank CIB1) and other financial services, both for EUROCEMENT group itself and for its affiliates and dependent companies.

Herman Gref, CEO and Chairman of the Board of Sberbank of Russia, commented: “Sberbank and EUROCEMENT group enjoy a complete mutual understanding, not just as partners but also as organizations which preach the values of being leaders in their fields, something that cannot be achieved without constantly striving to achieve perfection in the level of service provided. By expressing our intention to finance the company's investment programme, we are once again emphasizing one of our key priorities: to provide comprehensive support for the development of Russia's industrial sector.”

Filaret Galchev, the Chairman of the Board of Directors at EUROCEMENT group, added: “EUROCEMENT group and Sberbank of Russia have successfully completed global investment projects in the past, such as the construction of a new high-tech cement plant in the Voronezh Region which is unique in the CIS and which was launched in late 2012. The signing of the agreement with Sberbank will serve as a guarantee that the Holding company's investment programme will receive sufficient funding until 2018 and that the transition to the active phase of the construction of new cement manufacturing facilities will be made. The implementation of this project will give a significant boost to growth in Russia's construction sector as a whole, by providing high-quality cement for infrastructural and residential projects in the country.”