PJSC Dorogobuzh (part of Acron Group) has invested over RUB 5 billion in the ammonia plant modernization, the company informed.
Dorogobuzh has finalized technical upgrades to its unit producing ammonia, a basic component for nitrogen and complex mineral fertilizers. Over 440,000 tonnes of ammonia have already been produced since the day the first on-spec product was delivered after the upgrades.
The upgrades increased plant capacity from 1,740 tonnes to 2,100 tonnes per day and improved energy efficiency by reducing natural gas consumption by 7% per tonne of ammonia. Annual output is expected to go up 130,000 tonnes. Investments in the project exceeded RUB 5 billion.
The project was designed by LLC Novgorodsky GIAP, and the work was carried out by Dorogobuzh and Acron employees and 60 contractors from around the country, who brought in over 1,100 specialists and 50 pieces of equipment.
The Dorogobuzh ammonia plant was originally commissioned in December 1979 with a design capacity of 450,000 tonnes per year. In September 1981, the grade A liquid synthetic ammonia produced at the Dorogobuzh nitrogen fertilizer plant was awarded the State Quality Mark.
Acron Group is a leading vertically-integrated producers of mineral fertilizers in Russia and worldwide. The Group's chemical production facilities are located in Veliky Novgorod (PJSC Acron) and Smolensk region (PJSC Dorogobuzh). The group is engaged in the own production of phosphate raw materials in Murmansk region (JSC NWPC) and intends to implement a potassium deposit development project in Perm Krai (JSC Verkhnekamsk Potash Company). Also, Acron Group has own transport and logistics infrastructure and sales networks in Russia and China. Acron's subsidiary North Atlantic Potash Inc. (NAP) owns permissions for geological prospecting at 11 sites of the Prairie Evaporate potassium salt deposit in the Saskatchewan province (Canada). Acron also owns a minority 19.8% stake in Poland's Grupa Azoty, one of the biggest producers of chemicals in Europe.
IFRS net profit of Acron for 2019 increased by 86% to RUB 24.786 billion versus RUB 13.318 billion a year earlier. In US dollar terms, net income increased by 80% to $383 million from $212 million. Revenue grew 6% to RUB 114.835 billion from RUB 108.062 billion; in US dollar terms, revenue went up 3% to $1.774 billion from $1.723 billion. EBITDA decreased by 4% to RUB 35.749 billion from RUB 37.053 billion. In US dollar terms, EBITDA decreased by 7% to $552 million from $591 million.
RAS net profit of Acron for 2019 increased by 81% to RUB 19.531 billion from RUB 10.81 billion a year earlier. Revenue decreased by 1% to RUB 67.112 billion versus RUB 67.754 billion. Profit from sales dropped by 23% year-on-year to RUB 17.588 billion from RUB 22.744 billion in 2018. EBITDA (return on sales plus depreciation and amortization of fixed and intangible assets) decreased by 17% to RUB 22.996 billion from RUB 27.602 billion.
