OJSC “TAIF-NK” announces completion of the project for Republican large-scale production of ecologically clean motor fuels.
OJSC “Nizhnekamskneftekhim” announces completion of the first stage of the Program for organization of production of plastics from self-produced monomers

Today, on February 24, 2009, the ceremonial meeting took place in Nizhnekamsk on the occasion of start-up of OJSC “Nizhnekamskneftekhim” polyethylene production to complete the first stage of the Program for organization of production of plastics from self-produced monomers; and the complex of OJSC “TAIF-NK” facilities called by the Ministry of Nature of the Russian Federation the “Best ecological project of the year” to complete the project of Republican large-scale production of ecologically clean motor fuels.

Opening of the complex of facilities of the OJSC “TAIF-NK” Refinery called by the Ministry of Nature of the Russian Federation the “Best ecological project of the year”

New production facilities are put into operation on the OJSC “TAIF-NK” Refinery: the facilities for production of methyl-tertiary-butyl-ether (MTBE) and tertiary-amyl ether that would be used for further processing of the deeply desulphurized liquefied gas and gasoline from the catalytic cracking. These units (those designing and construction were completed within 2008) are used for production of additives with high octane number – over 110 octane – being necessary for production of motor gasoline in the Republic of Tatarstan. These additives are used to ensure the reduction of cancer-causing benzene, aromatic hydrocarbons and other hazardous substances and to reduce significantly the level of emissions in the deeply desulphurized motor gasoline.

In line with the construction of new facilities, the unit for desulphurization of diesel fuel was significantly updated upon the Company’s own project. This included the full reconstruction of the desulphurization reactor and construction of assembly for adding the additives to diesel fuel. Starting from September 2008, all diesel fuel produced by OJSC “TAIF-NK” Refinery meet the Euro 4 requirements with maximum sulphur content of 0.0045% taking into account that the initial sulphur content in crude oil is 1.8%.

The start-up of new facilities completes the project of establishing the Republican large-scale production of ecologically clean motor fuels. Within 2000-2008, TAIF Group of Companies continuously invested over RUB 40 billion in the development and technical re-equipment of the existing and operating facilities. These investments were used to increase the depth of refining of “heavy” crude oil from 37% to 73.5%, to start the large-scale production of all types of motor fuels including jet fuel, diesel fuels and all grades of gasoline, in line with the full coverage of demand in straight-run gasoline of Ethylene 600 production of OJSC “Nizhnekamskneftekhim” – the largest ethylene production facility in the Eastern Europe. At the moment, OJSC “TAIF-NK” Refinery is the first and so far the only Refinery among other 27 refineries in the Russian Federation having the technical capability of 100% production of all motor fuels meeting the requirements of Technical Regulation of the Russian Federation including the Euro 4 requirements.   

The total designed capacity of the production of motor gasoline by OJSC “TAIF-NK” increased up to 1 million tons per year from the previously projected 550 thousand tons per year. Total maximum processing capacity for all production of OJSC “TAIF-NK” increased from 5.4 – 6.1 million tons per year in 1998-2004 to 8.2 million tons per year. Sales revenues increased from RUB 3.1 billion in 1998 to RUB 90.1 billion. The continuous expansion of production capacities within 7 years in line with the increase of depth of refining resulted in the production of 3.9 million tons of gasoline and diesel fraction in 2008 (maximum capability – 4.3 million tpa) with 2.55 million tpa of motor fuels and up to 600 thousand tpa of jet fuels. The certain volumes of jet fuels produced by OJSC “TAIF-NK” are supplied to the airports of the Republic of Tatarstan.

In 2008, the Refinery of OJSC “TAIF-NK” became the laureate of the premium “Best ecological project of the year in the Russian Federation” in the nomination “Ecological efficiency of the economy”. The Company was selected of 700 other participants because of the investments made and the increase in volumes of production.

The last project representing the closing stage of development of the operating Refinery of OJSC “TAIF-NK” has been realized from the spring of 2008. It presupposes that the depth of refining would be increased up to 94% of produced high quality marketable motor fuels. Besides, the designing of units is realized at the same time that allows increasing the volumes of processing up to 9.4 million tpa. After the start-up of the units and production facilities of the closing stage of development of OJSC “TAIF-NK” Refinery, it becomes one of ten best plants in the world. 

Commissioning of OJSC “Nizhnekamskneftekhim” polyethylene production plant
Despite of the current global financial and economic crisis, Nizhnekamskneftekhim Inc. has commissioned another new plant for production of plastics. The first batch of commercial polyethylene was produced at the polyolefins plant. Thereby within the framework of advanced program of development Nizhnekamskneftekhim Inc. continues the realization of the program for organization of plastics manufacture.

The process of polyethylene production using the Spherilene gas-phase technology was developed on the basis of the project of process Licensor - LyondellBasell (Italy) , and it was implemented on the polyethylene production plant having the capacity of 230 thousand tons of polymers a year based on the project of Tecnimont (Italy) .

 This plant is unique not only in terms of the product mix but also from the point of view of profitability: the share of power generation sector in the cost price of Nizhnekamsk polyethylene constitutes only 3.5%. Some grades of polyethylene will be produced for the first time in the Russian Federation. After commissioning of the new production plant Nizhnekamskneftekhim Inc. successfully accomplished the first stage of the program for production of plastics from the self-produced monomers. The Company's plastics production capacity has increased from zero level to 600 thousand tons a year within the period 2003-2009. The TAIF GROUP’s plastics production capacity has increased from 380 thousand tons a year in 2003 to 1,400 thousand tons a year in 2009.  


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