IN 2016 TOAZ INCREASES AMMONIA OUTPUT, REDUCING NATURAL GAS CONSUMPTION
In the accounting period output of ammonia, Togliattiazot's main product, amounted to 2.856 million tons (2.845 million tons in 2015). Despite insignificant growth in ammonia output, ToAZ managed to reduce gas flow rate by 5% (from 1.28 to 1.22). This reduction is determined by the implementation of the company's modernization program, which included major overhaul of ammonia plants No. 2, 3, 4, and 6 in 2015-2016. Overhaul of ammonia plant 5 is currently underway, its completion will contribute to increased production capacity and reduction of gas flow rate.
Moreover, major repairs at urea plant No. 2 was completed as part of the modernization program. Due to the scheduled shutdown of one of the two plants in the fourth quarter of 2016 the total output of urea was 552,2 thousand tons (595 thousand tons in 2015).
CEO of CJSC Corporation Togliattiazot Vyacheslav Suslov pointed out: "Despite the difficulties in the mineral fertilizer market, in 2016 the company still achieved good production results. This year we will proceed with technical upgrading, continue to increase efficiency and will launch a major investment project — construction of the third urea plant. All this work will enable ToAZ to remain among the leaders and to respond quickly to the changing market situation."
Please find an update of the new urea production unit construction process. As of now the unit is 65.7 per cent completed. Togliattiazot has recently started hiring employees for the new unit, and over 20 of them have already started working.
Regarding the Open Session on the Cassation Appeal
Board of Directors of PJSC TOAZ set a date to conduct an Extraordinary General Meeting of the shareholders.