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Production upgrades

Production upgrades have created the necessary conditions for further integration through:

  • increased production of sulphuric and phosphoric acids - key elements for the production of phosphate-based fertilisers;
  • increase in the self-sufficiency of PhosAgro enterprises in ammonia –a raw material used in the production of nitrogen fertilisers;
  • increase in total fertiliser production, along with the launch of feed monocalcium phosphate, a new higher value added product.

2002

  • Balakovo Mineral Fertilisers becomes the first plant in Russia to launch the production of feed monocalcium phosphate (MCP).
  • A new level (172 meters above sea level) is commissioned, together with an underground crushing facility, at Apatit’s Kirovsky mine.

2003

  • Ammophos launches the first of four new sulphuric acid production lines.

2004

· The first programme for increasing the energy efficiency of PhosAgro enterprises is developed and adopted

2006

  • Apatit launches the first of three flotation units at its apatite-nepheline beneficiation plant-2 (ANBP-2).

2008

  • Balakovo Mineral Fertilisers launches the second monocalcium phosphate production line, raising capacity from 80,000 to 240,000 tonnes per year. The facility becomes more flexible: the enterprise can within one or two shifts switch capacities (about 8-16 hours) to the production of monoammonium phosphates (MAP) or diammonium phosphates (DAP), in line with fluctuations in demand.

2009

  • Ammophos commissions the final line of the new sulphuric acid production unit (714,000 tonnes of monohydrate a year). Total sulphuric acid production capacity at Ammophos rises to 2.7 million tonnes of monohydrate a year. Ammophos becomes Europe’s largest sulphuric acid producer.
  • A programme to introduce energy-saving technologies is completed at the plant. Ammophos is the industry’s only enterprise to be self-sufficient in electricity and also to supply electricity to the regional power grid.

2010

  • Apatit completes the upgrade of the flotation unit at its apatite-nepheline beneficiation plant-2 (ANBP-2)
  • Balakovo Mineral Fertilisers becomes the first enterprise in Russia to receive a European certificate for quality, safety and hygiene GMP+ for manufactured products.
  • Phosphate ore processing capacities at Ammophos rise to 2.7 million tonnes a year (compared to 2.2 million tonnes a year in 2001).
  • Ammophos commissions a new line for the packaging of mineral fertilisers into soft containers and their shipment for sale on the Russian market.
  • Ammophos commissions a modern fertiliser storage and shipment terminal, more than doubling the terminal capacity of its existing warehouses; the industrial port is revamped, while a new water desalination plant is launched for the combined heat and power plant of Ammophos.
  • Construction of a new urea production complex is launched at the Cherepovets Azot site.
  • A new sulphuric acid production line is launched at Balakovo Mineral Fertilisers, while the power plant’s capacity is doubled to 49MW a year.
  • Apatit starts implementing the main stage of the investment project to commission new facilities at its Kirovsky mine

2011

  • Balakovo Mineral Fertilisers completes its upgrade programme. The plant’s fertiliser production capacity reaches 1.2 million tonnes a year (up 60% compared to 2006).
  • Apatit’s Quality Management System is certified as compliant with the requirements of the ISO 9001:2008 International Standard.
  • As part of a programme to increase production flexibility, Ammophos completes the upgrade of its fourth production line, increasing NPK fertiliser production capacities to 1.7 million tonnes a year.
  • Ammophos commissions the first phase of a combined sludge reservoir with a total storage capacity of approximately 100 million cubic metres of phosphogypsum.
  • Ammophos starts operating the new Kriolit railway station
  • Apatit and TGC-1 start implementing an investment project to build a transit pipeline from Apatit CHP to the city of Kirovsk and to reconstruct Kirovsk’s heating systems. The project aims to improve the district’s environment, reduce the cost of heat and stabilise heat energy tariff growth rates for Apatit and Kirovsk consumers.
  • Apatit is awarded an ISO 9001:2008 compliance certificate.
  • Ammophos, Cherepovets Azot and Balakovo Mineral Fertilisers have already received similar ISO 9001 compliance certificates.

2012

  • The construction of a production and generation complex, which combines the production of 500,000 tonnes per year of urea with a 32MW gas turbine electricity plant, is completed and launched. The launch of the complex doubles the company’s urea production capacities, while total production of mineral fertilisers at PhosAgro’s Cherepovets site will exceed 4 million tonnes. As a result of the commissioning of the new gas turbine electricity plant, total generation capacity at PhosAgro’s Cherepovets site rises to 134MW.

2013

  • The consolidation of Metachem has further diversified PhosAgro’s product offering, enabling the Company to enter the technical phosphates market and to increase its internal processing of phosphate rock by 240 ths tonnes per year.  Metachem’s annual production capacities are: sulphuric acid, 215 ths tonnes; phosphoric acid, 80 ths tonnes; potassium sulphate, 80 ths tonnes; sodium tripolyphosphate, 130 ths tonnes.
  • Balakovo Mineral Fertilisers passes accreditation audits of its quality management system and environmenalt management system for compliance with ISO 9001:2008 and ISO 14001:2004.
  • Construction of the second Yuksporsky Tunnel at Apatit's Kirovsk mine is complete. The project is part of PhosAgro's comprehensive investment programme to modernise and upgrade its fixed assets and reduce costs by using advanced engineering solutions.

2014

  • PhosAgro and the German company GEA Messo P.T. signed a contract for the design, delivery and installation of equipment for a new 300 ths tonnes/year ammonium sulphate line at PhosAgro-Cherepovets. The initial design work will be done by Mining and Chemical Engineering, a PhosAgro subsidiary.  The new capacity will use the best available technologies and equipment, helping to maximise energy efficiency, reduce resource consumption, improve labour productivity, as well as improve environmental and workplace safety.
  • The Balakovo branch of Apatit passed an external recertification audit of its monocalcium phosphate (non-fluoride feed phosphate) production safety systems in accordance with GMP+ B2 (2010) “Production of Feed Ingredients”. 
  • The Australian corporation Orica launched a new emulsion explosives production facility to supply PhosAgro subsidiary Apatit. The USD 25 million project at the site of Apatit’s Vostochniy mine was completed exactly on time and financed by Orica, which is the world leader in emulsion explosive production and use.
  • A service centre for PhosAgro subsidiaries was opened at the Company’s Cherepovets site. The project is being implemented in cooperation with PricewaterhouseCoopers.  The goal of the project is to improve the quality and efficiency of PhosAgro’s accounting, tax, treasury and human resources services by standardising and unifying business processes into a single service centre. One of PhosAgro’s strategic goals is to streamline corporate functions by moving them out of individual production sites or organisational structures and concentrating them in a service centre. The service centre will manage all accounting and tax reporting, as well as human resources administration, payroll and treasury functions previously handled by individual subsidiaries.

2015

  • In February 2015, Metachem commissioned a new 100 ths tonnes/year PKS production line (PKS-100) and opened a finished product warehouse with a storage capacity of up to 1,500 tonnes (in big-bags). Total investments in the project, which PhosAgro financed from its own cash flows, amounted to over RUB 500 million.  The production technology for PKS fertilizers was developed by Russia’s only scientific research institute devoted to fertilizer technologies, the Y. V. Samoilov Scientific Research Institute for Fertilizers and Insectofungicides.  The new production line was designed by Mining and Chemical Engineering. Both organisations are PhosAgro subsidiaries.
  • Construction of new liquid ammonia facilities at the Balakovo branch of Apatit was completed. The liquid ammonia storage is a complex chemicals facility, which took under two years to build and cost RUB 2.6 billion.  The facility consists of six spherical reservoirs, each with a capacity of 3,000 m3 of ammonia.  This is the first facility of its size in Russia.  The total storage capacity is 8,000 tonnes of ammonia. This will improve the production site’s supply of raw materials, and enable further expansion of production capacities.

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