The Project involves the construction of a modern plant with four furnaces of 94.5 MW each, with a maximum production capacity of 240,000 tons of high-quality ferrosilicon per year. The launch of the new fully automated enterprise is scheduled for 2023, it’s designed to meet the global demand for ferrosilicon. EkibastuzFerroAlloys LLP plans to sell products in the markets of Europe, Southeast Asia, North and South America. Relevant agreements and off-take contracts for the sale of finished products have already been signed. According to preliminary calculations, the value of exports will amount to KZT 75.6 bln.
“The enterprise is of strategic importance for the revival of Ekibastuz city. The cost of the project is KZT 92.2 bln., the share of shareholders is 20%. The project is environmentally friendly because micro-silica will be produced from waste, which is also sold on the world market. The production capacity of the plant will be 240 thousand tons per year. The products of the new plant will fully meet all the requirements of the world standard and are 100% export-oriented. We have ambitious goals – to increase the geography of exports to 52 countries and take the leading position on the world market of ferrosilicon. This will increase the export potential of the region and play a significant role in the retention of qualified technicians of the city,” said Yerlan Nigmatulin, the shareholder of EkibastuzFerroAlloys LLP.
The new facility will be located close to Ekibastuz SDPP-1 LLP. This will provide a competitive advantage in the form of low production costs due to the proximity to sources of raw materials and electricity.
“Just a month ago, The President of the Republic of Kazakhstan Kassym-Jomart Tokayev visited Pavlodar region on a working trip and held a meeting on the development of single-industry towns. Recall that this year the Head of State instructed to develop a comprehensive plan for the development of our monotown - Ekibastuz. One of the anchor investment projects of this plan was the construction of a ferroalloy production plant with a capacity of 240 thousand tons per year, which is led by EkibastuzFerroAlloys LLP. It should be noted that its implementation began almost immediately after the approval of the Ekibastuz development plan. This indicates the fulfillment of the President's instructions on the implementation of major investment projects. It is a pleasure to announce the start of the construction of a modern enterprise on the eve of the 30th anniversary of Kazakhstan's Independence. The implementation of this project will provide 800 people with permanent work and guarantees the investment of KZT 92 bln. of investments. Due to the work of the new enterprise, the volume of non-primary exports of ferrosilicon is expected to grow by 4 times. The project is included in the republican industrialization map and the business support map of Pavlodar region for 2020-2025. I am sure that the launch of a new enterprise will have a positive impact on the diversification of the economy and the development of our region, but also the country as a whole”, said Abylkair Skakov, Akim of Pavlodar region.
“The ferrosilicon market is stable, as it belongs to the class of large-tonnage ferroalloys. Its global need remains constant, and therefore, we find this direction very promising. The availability of human resources in Ekibastuz is also a key to the Project success. Herewith, the plant will ensure the maximum level of environmental cleanliness - 99.8%. The gas cleaning system will ensure high purification of air from industrial dust with its further processing into microsilica to be also exported to foreign countries. This component is used very actively in the construction industry to produce high quality cement”, said David Kemertelidze, the shareholder of EkibastuzFerroAlloys LLP.
According to him, the share of Kazakhstan content in the cost of production will be 96%, as the main resources for production are localized in Pavlodar region.
According to the founders, the technical facilities will meet all international quality standards. Similar projects have been implemented in Karaganda - YDD Corporation LLP and Qaz Carbon LLP using the same system.
“Construction of a new ferroalloy plant in Ekibastuz is not our first joint project with a group of shareholders; previously we cooperated in the launch of ferroalloy plants and sintering plants in Karaganda region. Both projects are successful, economically established, and socially important not only for the region, but for the entire country. Which is why we have no doubt that our experience and competence will help successfully implement this Project, which will be able to bring Kazakhstan metallurgy to an entirely new level of the global industry,” said Abay Sarkulov, the Chairman of DBK Management Board.
Development Bank of Kazakhstan JSC (DBK) is the national development institution for the modernization and development of non-raw-materials and infrastructure sectors of the economy in Kazakhstan, established in 2001. The major activities: develop industrial infrastructure and manufacturing industry, promote and attract foreign and domestic investment in the national economy. DBK is one of the largest investment operators of the State Program of Forced Industrial and Innovative Development (SP FIID). (www.kdb.kz, facebook.com/kdb.kz). DBK is attached to Baiterek National Managing Holding JSC.
EkibastuzFerroAlloys LLP is a legal entity established under the laws of the Republic of Kazakhstan, was founded in May 2021 to implement the ferrosilicon plant construction project.
Public Relations Department of Development Bank of Kazakhstan JSC: +7 (7172) 79 26 08 (www.kdb.kz, facebook.com/kdb.kz, Twitter@KDBkz
