Kungrad Soda Ash Plant - Update

The Kungrad soda plant has a capacity to manufacture 102 thousand tons of soda annually. A Major expansion of the facility now underway (2013-2015) is set to double the annual production output to 200 thousand tons. The proposed expansion being carried out by Uzkimyosanoat JSC and the Chinese company CITIC. The project funded by a loan provided by People’s Republic of China in the amount of $81.7 million USD. Besides the Chinese Eximbank loan, the project worth a total of $110 million USD will be financed by a loan from the Reconstruction and Development Fund and Uzhimprom's own funds.

The plant capacity will be expanded by increasing the production of limestone in the Jamansay quarry and technical salt at the resource base of the Kungard soda plant at Barsakelmes. Explored reserves of the Barsakelmes salt field exceed 130 million tons of salt, and the Dzhamansay limestone deposit around 70 million tons.

The main domestic consumers of soda plant are enterprises producing household chemicals and building materials, including the production of various types of glass. Currently the needs of the domestic market were estimated at 70-80 million tons, the remaining volume to be exported.

In 2013 Kungrad soda plant (Ustyurt) exported 22,000 tons of Soda Ash and 78,000 tons of technical salt and limestone to foreign customers. Currently product is exported to Russia, Kazakhstan, Kyrgyzstan and Turkmenistan. An additional 70 employees, mostly graduates of Kungrad Chemical Engineering College were employed in 2013.

This year (Expected to be commision in October 2014) the facility will also start producing quality iodized salt. The raw material will be extracted from Koraumbet salt deposit, not far from the enterprise. The production line, employing an additional 35 technical staff will produce some 10 thousand tons of iodized salt per year.

A further expansion of the production: with the start of commissioning process line for the production of hyper-pressed limestone bricks with a capacity of 20 million pieces a year is also scheduled in the second half of 2014 which will provide a further 65 technical jobs and in 2015, the plant also plans to start significant glass production (30 percent which is planned to be exported).

Sources:

http://en.trend.az/regions/casia/uzbekistan/2084978.html

http://uza.uz/en/business/3754/

http://www.uz24.uz/en/Economics/kungrad-soda-plant-today:-facts-and-figures

KUNGRAD Soda Ash plant

KUNGRAD Soda Ash plant

After 4 year construction period starting in 2002 the Kungrad Soda Ash plant was commissioned in August 2006.

The plant, a joint venture between Chinese group China International Trust & Investment Company International Cooperation Company and Uzbekistan's UzKimyoSanoat (a major Uzbek chemical industry conglomerate) cost US$100 million to build and occupies 60 hectares, The plant has a projected production capacity of 100,000 tonnes of soda ash yearly.

Citic Pacific Ltd carried out the design and turn-key construction of the technological side of the plant (cost US$32.3 million) funded by a loan of the Industrial and Commercial Bank of China (90% of the contract cost) with the insurance provided by the Chinese Export and Credit Insurance Corporation, and a loan of the UzPromStroyBank (Uzbek Industrial Construction Bank, 10% of the contract cost) guaranteed by the Uzbek government.

General construction works were performed by local construction companies for UzKimyoSanoat.

The production of Kungrad Soda Plant covers domestic demand and export sales of soda ash, hydrate of sodium, and table salt.

Uzbekistan's current domestic demand for soda ash is 60,000-70,000 tonnes yearly.

The main consumers being the household chemical industry and the producers of construction materials and glass makers.

The resource base for Kungrad Soda Plant is the Barsakelmes salt deposit (explored reserves estimated at 131 million tonnes of common salt containing 97% of NaCl) and the Jamansay limestone deposit (explored reserves estimated at 70 million tonnes) both located in the north of Karakalpakstan near the industrial city of Kungrad.

They are currently producing 240-250 tons a day of high-quality product (equivalent to 85,000 tons of soda a year). The plant employs 1,300 people (making it the largest industrial employer in the Republic). Among the main buyers of the plant's products are the companies Quartz, PharmGlass, Gazalkent Oyna, Uzqurulishmateriallari, Uzkimyosanoat and Uzbekneftegaz.

It is on target this year (2009) to export over 36,000 tons of soda to overseas buyers in Russia, Kazakhstan, Kyrgyzstan and Turkmenistan. Clients to date have included the Bryansk Chemical Company (Russia), Maylisuu Electric Lamp Plant (Kyrgyzstan), Power Global Engineering (Kazakhstan) and Letreh Invest (Turkmenistan).


Source:http://www.south.citic.com