Vnesheconombank co-funds advanced high-technology cement plant in Russia’s Penza region

Penza, Russia, 02-6-2014 — /EuropaWire/ — A ceremony to open an advanced high-technology plant built with Vnesheconombank’s financial assistance with a capacity of 1.8 million tons of cement per yearwas held in the Nikolsk district of the Penza region.

In the attendance of the ceremony were Governor of the Penza regionVasilyBochkarev, VEB Deputy Chairman – Member of the Board Alexandr Ivanov, VEB Deputy Chairman Anatoly Ballo, representatives of the Russian Construction and Housing and Utilities Ministry and the Export-Import Bank of China.

The total value of the project is 370 million US dollars, with the Bank for Development’s funds being 259.6 billion US dollars and with the own funds of the project’s initiator – LLC Asia Cement being 110.4 million US dollars. In order to fund the credit transaction Vnesheconombank raised funds worth 133.9 million US dollars from the Eximbank of China to finance the work of the general contractor and equipment supplier – The Consortium of the China National Machinery Import & Export Corporation. The Consortium has an experience of building more than 40 international facilities including cement plants, railways and power engineering facilities in Europe, Asia, Africa and South America.

At the cement plant built, they apply a “dry” method of manufacturing cement which allows as opposed to a traditional “wet” method to significantly reduce consumption of electric power, natural fuel, water as well as to boost efficiency of technological equipment which is fully in line with objectives of upgrading Russia’s cement industry and increasing its energy efficiency.

The project’s implementation contributes to socio-economic development of the Penza region: nowadays, the number of workers at the plant is in excess of 450 people, the project provides for creating about 1 thousand new jobs (includingrelated sectors), tax revenues in budgets of various levels after the plant achieves rated capacity will amount to at least 600 million rubles per year.

LLC Asia Cement’s project is one of the three projects on the creation of advanced plants to manufacture cement using a dry method with Vnesheconombank’s financial assistance.

At present, Vnesheconombank is participating in funding 13 projects on the construction of production facilities to manufacture various kinds of building materials worth 110 billion rubles, with VDEB’s participation share being about 82 billion rubles in 12 regions of the Russian Federation. Besides cement plants, there are also 4 plants to manufacture products from autoclaved aerated concrete, plants to manufacture float glass, thermally insulated products based on foam glass, sandwich panels, metal structures, integrated home-building factories.

Press Office of Vnesheconombank
Phone: +7 (495) 608-46-93, Fax: +7 (499) 975-21-34
E-mail: press@veb.ru

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Vnesheconombank co-funds advanced high-technology cement plant in Russia’s Penza region