98% of construction works in Carbamide Plant completed

Baku. 31 May. REPORT.AZ/ More than 40% of construction works on Carbamide plant of the State Oil Company of Azerbaijan Republic (SOCAR) in Sumgayit completed.

Report informs, plant's director Khayal Jafarov said at the International Caspian Oil and Gas Conference in Baku.

According to him, 99.4% of the works were completed at the plant: "Engineering works, purchases are completed by 100%, assembly works - by 98%". Kh. Jafarov also noted that test works has been carried out since last month: Production of ammonia, which is the first product of the plant, will start in August-September.

According to him, since the beginning of this year the plant was a resident of Sumgayit Chemical Industrial Park: "This means the plant will operate tax free within 7 years. This will have a positive impact on project profitability”.

Khayal Jafarov added that during the construction of the plant, 2200-3600 people worked here and there will be 400-500 workers at the factory during the operation: "The plant area is 39.27 hectares. The plant will produce 1200 tons of ammonia and 2,000 tons of carbamide per day. The annual production volume of the carbamide plant will amount to 650-660 thousand tons. Of this, 150-200 thousand tons are for the domestic market and the rest are intended for export. Turkey will be the main route for export".

Notably, construction of a carbamide plant is realized in the framework of the "State Program on reliable provision of population with food products in Azerbaijan in 2008-2015" and State Program for the Development of Industry in 2015-2020 approved by the relevant decree of President of Azerbaijan.

Agreement for projecting, procurement and construction aimed at building carbamide production enterprise was signed between SOCAR and Samsung Engineering Co.Ltd (South Korea) on March 13, 2013. According to contract, after completion of construction works, Samsung Engineering will carry out all necessary tests and will provide the enterprise to SOCAR completely ready for use. Haldor Topsoe (Denmark) and Stamicarbon B.V (the Netherlands) are licensors of the plant for production of ammoniac and carbamide respectively. Finnish company Neste Jacobs Oy provides consulting and independent inspection services on project management.