Cherkassy Azot resumed production at A-5 and M-6 ammonia and urea shops following overhauls

Cherkassy Azot JSC, part of OSTCHEM holding, resumed production at its A-5 ammonia shop and M-6 urea shop following overhauls. The decision to restore production was also aided by more favourable conditions on the global fertilizer markets.

According to Vitaliy Sklyarov, Chairman of the Board of Azot JSC, the A-5 and M-6 shops have been overhauled during the recent temporary suspension of production prompted by unfavourable market conditions. Besides overhauls, a number of modernization works have been implemented aimed at reducing consumption indices and ensuring reliable operation of equipment.

“As soon as we noticed positive trends on the fertilizer markets, we decided to resume the production,” explained Vitaliy Sklyarov. “We have re-launched the A-5 and M-6 shops and, in the near future, we plan to increase the volumes of ammonium nitrate production because of an increasing demand for this type of mineral fertilizer on the domestic market.”

These overhauls will also allow Cherkassy Azot to significantly reduce its costs. “We estimate that we will use 0.6 kWh/h/t less power, and 0.09 m3/t less desalinated water to produce 1 ton of ammonia,” commented the Technical Director of Azot JSC Victor Oliynychenko

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Cherkassy Azot also used the overhaul to complete some preparatory works for an energy saving project to be implemented on the ammonia unit at the A-5 shop planned for 2014.

OSTCHEM holding plans to invest UAH 222 million in Cherkassy Azot in 2013. In particular, the company will invest 127 million in scheduled overhauls, 17.5 million in investment programmes, and 72 million in modernization. The company will also spend over UAH 5 million to improve the working conditions.