TAIF Group: highlights of the year 2018

TAIF Group: highlights of the year 2018 Photo: Roman Khasaev

The year 2018 was rich in bright events for TAIF Group. The editorial board of Realnoe Vremya decided to make a small excursion into the recent history and to remind about some of them.

Bioplastics ― a new page in the history of TAIF PSC

In October, in the framework of bilateral Russian-Italian meetings in the presence of Russian President Vladimir Putin and Italian Prime Minister Giuseppe Conte, TAIF PSC and Italian company Bio-on S.p.A signed an agreement on the joint implementation of the project for the production of bioplastics.

TAIF PSC and Bio-on S.p.A (Italy) signed an agreement on the joint implementation of the project for the production of bioplastics. Photo: TNV

The source of raw materials will be by-products of the sugar industry of Tatarstan. The cost of the project is 90 million euros. The initial capacity is 10,000 tonnes per year, in the long term — its doubling.

''It is important for us to start a noble path in the field of 'green' chemistry. We believe that biodegradable polymers can effectively contribute to a gradual reduction of environmental pollution. In the short term, biopolymers can not completely replace traditional polymers because of the volume of production, but we believe that the introduction of 'green', that is environmentally safe, productions in high-performance market segments can contribute to the creation of new opportunities in the plastics sector,'' Director General of TAIF PSC Albert Shigabutdinov said immediately after the signing.

Less than two months later, TAIF PSC and Investire Italia s.r.l., Italia, on the territory of SEZ Alabuga (Synergy industrial park) registered the joint venture 2BIO JSC.

The head office of TAIF PSC was visited by the delegation chaired by Ambassador Extraordinary and Plenipotentiary of Italy in Russia Pasquale Terracciano. Photo: Roman Khasaev

TAIF Group has successfully cooperated with Italian and foreign partners in different directions. In a conversation with Pasquale Terraciano, the Ambassador Extraordinary and Plenipotentiary of Italy to Russia, Albert Shigabutdinov proposed in addition to participation in the construction project of a biodegradable plastics plant to consider the possibility of active inclusion of Italian business in an exciting construction project. 'Little Italy' is going to appear near Kazan International Airport. 'Little Italy' can also be interesting to Finnish builders and investors.

The director general of TAIF PSC met with a delegation from Suomi in October. Finnish business is interested in expanding contacts with Tatarstan.

Ambassador Plenipotentiary of Finland to Russia Mikko Hautala: ''Finnish business is interested in expanding contacts with Tatarstan colleagues.'' Photo: Roman Khasaev

''Our companies work mainly in St. Petersburg, Leningrad Oblast, Moscow, we have not fully opened the rest of Russia for our enterprises yet. However, I am pleased that entrepreneurs from our delegation show great interest in the Republic of Tatarstan,'' Ambassador Extraordinary and Plenipotentiary of Finland to Russia Mikko Hautala, who headed the business delegation from Suomi, said at the end of the visit.

Novoe Lebyazhye and more than 152 million rubles for the improvement of the square near Kazan NCC

In 2018, the hydrotechnical stage of restoration of Lebyazhye Lakes system was completed. Kazanorgsintez PJSC invested more than 150 million rubles to return one of the favourite places of rest to Kazan citizens. The lakes were dredged, the bottom was strengthened by a special three-layer screen, 1,5 million cubic metres of water were injected. As a result of the large-scale work, equal to which has not been carried out in Russia yet, the littoral zone of lakes has increased more than fourfold, and the beauty of this corner of wildlife has only increased.

Laying the commemorative stone to mark the start of the work of TAIF Group and Kazanorgsintez PJSC to restore the systems of Lebyazhye Lakes, 2016. Photo: Maksim Platonov

With the help of TAIF, the square and the slope near Kazan NCC (Kazan National Culture Centre) were reorganized. The total area of improvement exceeded 30,000 square metres, hundreds of KAMAZ vehicles removed garbage, the slopes descending to the Kazanka River were strengthened and improved. The total cost of works on improvement of slopes and the square amounted to more than 152 million rubles.

With the help of TAIF, in 2018 the square and the slope near Kazan NCC were improved. Photo: Rinat Nazmetdinov

''Thanks to TAIF for not only building this complex, but also improving the surrounding area as a whole. Including the waterside. I am sure that this place will be a worthy decoration of our city,'' said Rustam Minnikhanov, who visited the improved territory.

Albert Shigabutdinov: ''It is very important for us that people come here with pleasure.'' Photo: Rinat Nazmetdinov

''For us, it was very important to create not just a beautiful landscape, but first of all a comfortable and cozy environment for people to come here with pleasure, enjoy walks, admire the fascinating panorama of our city,'' Albert Shigabutdinov said in response.

Work and awards

The achievements and merits of the management and staff of TAIF Group were appreciated at the national and federal levels. More than 100 employees of the enterprises received state awards, were awarded with titles, gratitude, diplomas and certificates.

In May 2018, the president of Russia signed a decree on awarding a number of employees of Nizhnekamskneftekhim PJSC and Kazanorgsintez PJSC with state awards. In August it became known that Vladimir Putin singled out the director general TAIF PSC for the reward of Medal of Honour for outstanding achievements, active public activity and many years of diligent work. The well-deserved award to Albert Shigabutdinov was presented by President of Tatarstan Rustam Minnikhanov in November in the Kazan Kremlin.

Albert Shigabutdinov: ''Behind this award, there is the hard work of the whole 45,000-strong team of TAIF Group.'' Photo: Rinat Nazmetdinov

''Behind this award, there is the hard work of not only my colleagues, the whole 45-thousand team of TAIF Group, but also the work of the whole republic,'' said in response Albert Shigabutdinov.

Shortly before the new 2019 year, it became known that Vladimir Presnyakov, the deputy director general of TAIF PSC for petrochemistry and oil refining, was awarded the title Honorary Worker of Fuel and Energy complex by the order of Minister of Energy of Russia Alexander Novak.

Kazanorgsintez PJSC turns 60!

The past year for TAIF Group was rich in anniversaries. Kazanorgsintez PJSC in November celebrated the 60th anniversary of its foundation and the 55th anniversary since the production of first products.

At the end of November, on the day of celebration of the anniversary of the complex, in the presence of Tatarstan Prime Minister Alexey Pesoshin at the ethylene plant (E-200 complex), as part of the comprehensive testing, four new pyrolysis ovens with a total capacity of 72 tonnes of raw materials per hour were launched. They will replace ten old ovens that have been used for more than 40 years. The developer and equipment provider — Technip Benelux B.V. (the Netherlands).

Four new pyrolysis ovens will replace ten old ones that have been used for more than 40 years. Photo: Rinat Nazmetdinov

The new capacities will increase the yield of ethylene to 19,000 tonnes per year, taking into account the previous volumes of raw materials. It is also planned to increase the volume of processing of ethane-propane raw materials. The estimated payback period of 3,45 billion rubles invested is 4,5 years. Another, the already launched stage of modernization of Kazanorgsintez PJSC is designed for the period of 2018-2020. It is planned to invest more than 32 billion rubles in the construction of new facilities and purchase of equipment.

The new capacities will increase the yield of ethylene to 19,000 tonnes per year. Photo: Rinat Nazmetdinov

Another important event took place in March with the participation of President of Tatarstan Rustam Minnikhanov and Director General of TAIF PSC Albert Shigabutdinov. Kazanorgsintez PJSC launched its own production of three-layer FFS-bag film. The production will completely cover the needs of Kazanorgsintez plants in flexible packaging. It will save up to tens of millions of rubles per year. Investments will fully pay off in just a few years.

In March, the own production of three-layer FFS-bag film was launched. Photo: Roman Khasaev

Besides, in December at the plant for the production and processing of high-density polyethylene (HDPE plant) of Kazanorgsintez PJSC there was launched a new plant for the production of carbon black concentrate. The capacity of the newly created unit will be 20,000 tonnes per year. The plant uses the equipment of the companies Coperion and KraussMaffei Berstorff (Germany).

Carbon black concentrate (masterbatch) is used for light stabilization of polyethylene. It is actually a natural dye. Masterbatch is used in the production of 'black' grade of high-density polyethylene PE2NT11-9. The polyethylene of this brand of high density is intended for production of pipes and connecting details of gas distribution networks, pressure pipes and connecting details.

In August, in honour of the 60th anniversary and in recognition of the achievements of Kazanorgsintez PJSC, both in industrial and economic terms and in the implementation of major social projects in the territory of Tatarstan and the capital of the republic, the company was included in the Book of Honour of Kazan.

Kazanorgsintez PJSC is included in the Book of Honour of Kazan. Photo: Maksim Platonov

Nizhnekamskneftekhim PJSC: the task is to triple the production of ethylene

The key event in 2018 for Nizhnekamskneftekhim occurred in late May. At St. Petersburg International Economic Forum in the presence of Tatarstan President Rustam Minnikhanov and Director General of TAIF PSC Albert Shigabutdinov, Nizhnekamskneftekhim PJSC and a consortium of German banks, organized by the largest international financial institution Deutsche Bank AG, signed a long-term loan agreement at 807 million euros. The funds are intended for the construction of the first stage of the new complex of olefins and derivatives, designed for a total annual production of 1,2 million tonnes of ethylene.

Nizhnekamskneftekhim PJSC and a consortium of German banks signed a long-term loan agreement for 807 million euros. Photo: president.tatar.ru

The complex is to be built in four stages. The licensor of the project is the German multinational concern Linde. It is responsible for technology supply and design execution. After completion of the construction and commissioning, the complex will complement the existing capacity and will allow to triple — up to 1,8 million tonnes — the production of ethylene, to raise the production of polymers threefold and to increase the production of rubbers up to one million tonnes per year. The total cost of the design and procurement of the first stage of the complex (with a capacity of 600,000 tonnes of ethylene per year) is 868 million euros. The deficient amount is invested in the project by Nizhnekamskneftekhim PJSC.

Rustam Minnikhanov — to executives of TAIF PSC and Nizhnekamskneftekhim PJSC: ''You have organized the largest project in the country.'' Photo: president.tatar.ru

''Albert Kashafovich, Azat Shaukatovich, you have organized the largest project in the country,'' Rustam Minnikhanov addressed to the leaders of TAIF PSC and Nizhnekamskneftekhim PJSC.

Commissioning of isobutylene production at the isoprene-monomer plant of Nizhnekamskneftekhim PJSC. Photo: president.tatar.ru

In June, Tatarstan President Rustam Minnikhanov, Director General of TAIF PSC Albert Shigabutdinov, Chairman of the Board of Directors of Nizhnekamskneftekhim PJSC Ruslan Shigabutdinov, Director General of Nizhnekamskneftehim PJSC Azat Bikmurzin and Mayor of Nizhnekamsk Aydar Metshin solemnly launched the production of isobutylene at the isoprene monomer plant. The capacity – 160,000 tonnes per year. In August, a new, in-house unit for deep purification of hydrogen coming from TAIF-NK was introduced at the plastics plant.

The capacity of the new production of isobutylene is 160,000 tonnes per year. Photo: president.tatar.ru

The synthetic rubber plant in October 2018 celebrated its anniversary: 40 years since the beginning of the production of isoprene rubber. At the anniversary celebration, 130 managers and employees of the company were awarded state, regional and municipal awards. The plant itself is entering the new year with plans for expansion: it has been developed a project for the construction of a new production facility: divinyl-styrene rubber for the manufacture of tires. It is planned to increase the volume of its production to 60,000 tonnes by 2020.

Nizhnekamskneftekhim: own power plant — will be

In October, on the sidelines of Russian Energy Week 2018 forum, Nizhnekamskneftekhim PJSC and a consortium of German banks, organized by the largest international financial institution Deutsche Bank AG, signed another long-term loan agreement. This time, at the amount of about 240 million euros. The funds are intended to finance the contract with Siemens for the construction of the new combined cycle power plant with a capacity of 495 MW.

Nizhnekamskneftekhim PJSC and a consortium of German banks signed a long-term loan agreement worth about 240 million euros. Photo: president.tatar.ru

''The need to implement the project for the construction of its own generation for industrial production facilities of Nizhnekamskneftekhim PJSC is dictated by the annual growth of electricity consumption in the conditions of expansion of production and the introduction of new hydrocarbon processing plants that require reliable energy supply,'' Albert Shigabutdinov explained the need for such a large-scale project.

Besides, a large number of associated and petroleum gas products, methane-hydrogen mixtures — by-products of main technological processes, is produced in the production process at Nizhnekamskneftekhim. Currently, they are disposed on torches or burned in the ovens in NKNK production facilities. Now the waste will be disposed in specially designed combustion chambers of gas turbines, and the emission in flue gases will meet the most stringent environmental requirements. Thus, the power plant will make a significant contribution to improving the environmental situation in Nizhnekamsk. By May 2021, the station is to be put into operation.

Nizhnekamskneftekhim PJSC signed a contract with Siemens for the construction of a combined-cycle power plant with a capacity of 495 MW. Photo: president.tatar.ru

Also, at Russian Energy Week 2018, in the presence of President of Tatarstan Rustam Minnikhanov and President of Siemens AG Joe Kezer, the representatives of Siemens and TAIF signed an agreement on cooperation. The new document is an addition and continuation of the agreement on strategic cooperation between TAIF Group and Siemens, signed in 2014. The newly signed document will allow to expand cooperation in terms of ensuring transparency of direct purchases of equipment, components, spare parts produced by Siemens by the enterprises of TAIF Group. In addition, the partners confirm the continuation of joint projects in the field of energy, automation of technological processes and integrated accounting of resources, the introduction of modern electrical equipment for power supply systems of industrial enterprises, energy-saving technologies.

In mid-December 2018, Nizhnekamskneftekhim PJSC successfully closed the book of applications for the first issue of its exchange-traded bonds in the amount of 15 billion rubles. The nominal value of one bond is 1,000 rubles. The securities were placed on the Moscow Exchange on 20 December 2018. The coupon rate was 9,75% per annum. The circulation period — 10 years with the provided offer of 7 years. The coupon period of issue of exchange-traded bonds with maturity at the end of the circulation period is six months. The transaction was organized by Raiffeisenbank and Alfa-Bank. The co-organizer of the release — Avers Bank. The funds from the placement of exchange-traded bonds are intended to finance the implementation of major investment projects of TAIF Group, including the construction of the ethylene complex, new combined-cycle power plant with a capacity of 495 MW at Nizhnekamskneftekhim PJSC, production of methanol with a capacity of 500,000 tonnes per year, etc.

Half-century anniversary of Kazan CHPP-3: new stage — new opportunities

We should also mention another anniversary: the 50th anniversary of Kazan's largest CHPP-3 in 2018. President of Tatarstan Rustam Minnikhanov and Prime Minister of Tatarstan Aleksey Pesoshin congratulated the staff of the CHPP on such a significant event.

Kazan CHPP-3, part of the energy company TAIF — TGC-16, is 50 years old. Photo: Oleg Tikhonov

A new life for the combined heat and power plant began almost 10 years ago, when it became part of the energy company of TAIF Group. The deep modernization with the installation of GTU (gas turbine unit) has been carried out at the CHP plant. Last year, the updated CHPP, in terms of electricity generation, showed the best result in its history.

In February 2018, US Ambassador to Russia Jon Huntsman visited Kazan CHPP-3. For the first time being in the capital of Tatarstan on a working visit, in his busy schedule Mr. Huntsman together with his wife Mary Kaye Huntsman took the time to get acquainted with the work of the largest in the city-millionaire combined heat and power plant, part of TGC-16. The guest was shown the new unit of the station, equipped with the gas turbine unit based on one of the most powerful and efficient turbines in the world — 9NA.01 manufactured by American company General Electric.

Jon Huntsman: ''General Electric's joint project with TAIF is an example of successful cooperation.'' Photo: Maksim Platonov

''To make a commercial enterprise successful, it is necessary to prove this success. And here [at Kazan CHPP-3] we see a good example of how successful experience was applied in Tatarstan on the basis of technologies and equipment provided by GE. The joint project of the company with TAIF is an example of successful cooperation,'' said Jon Huntsman.

Mr. Huntsman is a well-known statesman, politician and entrepreneur in the United States. Huntsman family owns one of the world's largest private chemical corporations — Huntsman Corporation. In 2012, Jon Huntsman was one of the Republican presidential candidates. Prior to his appointment as US Ambassador to Russia, he headed the Washington analytical center for foreign policy. Before that, he was US Ambassador to Singapore and China, served as Governor of Utah.

TAIF-NK products — again in the top 100 of Russia

The year 2018 was twice anniversary for TAIF-NK PSC. In July, it was 20 years since the formation of the complex, and a little earlier, in January, the 100 millionth tonne of oil and gas condensate was processed. TAIF-NK products are widely known for their high quality. Last year, it was confirmed again: in December, the results of the all-Russian contest ''100 Best Goods of Russia 2018'' were summed up. Both products presented to the jury — Euro summer diesel fuel and AI-92-K5 unleaded gasoline — became winners.

Euro diesel fuel and AI-92-K5 unleaded gasoline produced by TAIF-NK are the winners of the contest ''100 Best Goods of Russia 2018''. Photo: Rinat Nazmetdinov

The complex itself is actively developing: this year the gasoline plant has replaced the PR-101 direct-flow reactor and the cyclone of the first and second stage of the regenerator. The reconstruction of kerosene and diesel fuel hydrotreating units at the refinery has been completed. This will allow to maintain consistently high production volumes and consistently high quality products that fully meet the most stringent international requirements.

The first Russian water sports club was created under the supervision of TAIF Group

In September, it became known that the first Russian water sports club appeared in Tatarstan. It was created on the basis of the water polo team Sintez, which this year has become the best in the Russian Water Polo Super Cup. Under the wing of TAIF Group, Tatarstan swimmers and divers entered Sintez club. The newly created club was headed by one of the most famous athletes of the world, Deputy of the State Duma Irek Zinnurov, whose fate was previously closely connected with the Kazan team.

''We have never abandoned innovations and always provided serious financial support to our team. And we can confirm this today. We will move on,'' said at the presentation of the club Deputy Director General of TAIF PSC, Chairman of the board of directors of Kazanorgsintez PJSC Ruslan Shigabutdinov.

The first Russian water sports club was established in Tatarstan. Photo: Maksim Platonov

It is interesting that there is a round anniversary — the formation of the water sports club took place on the eve of the 45th anniversary of the team Sintez-Kazan.

Also in 2018, the famous football club Rubin celebrated its 60th anniversary. The only sponsor of the team is TAIF Group, which pays serious attention to the development of both professional and amateur sports in Tatarstan.

By Arseny Favstritsky
Tatarstan

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