Maxam starts making porous ammonium nitrate in Uzbekistan
TASHKENT. Nov 17 (Interfax) - Spain's Maxam Corp. S.A.U. has put into operation in Uzbekistan a production line making low-porosity ammonium nitrate at OJSC Maksam-Chirchik costing $15.4 million, a source at the state stock company Uzkhimprom told Interfax.
The line's rated capacity is 60,000 tonnes of the product per year, and over 90% of it will be exported.
The project has been financed by Maxam itself and a number of investment outfits selected by the Spanish company when it bought Maksam-Chirchik.
Maksam-Chirchik, formerly known as Elektrokhimprom, was launched in 1940 and makes ammonia, ammonium nitrate, and carbamide.
Maxam acquired 49% of the stock in Elektrokhimprom for $22 million and $55 million in investment obligations in early 2007. The company undertook to invest that money over five years' time in Elektrokhimprom's development and modernization. In addition to producing low-porosity ammonium nitrate, the company plans to rebuild the enterprise's carbamide production facilities, and also re-outfit its nitric acid shop.
The other 51% of Maksam-Chirchik stock belongs to the Uzbek government.
Maksam-Chirchik figures indicate its net profits amounted to 7.571 billion sum last year versus 3.502 billion sum in 2009. Capital investments increased 4.2-fold to 12.1 billion sum.
Maxam is also the owner of 49% of the stock in OJSC Ammophos-Maksam (formerly OJSC Ammophos), a stake acquired in early 2008 for $18 million and investment obligations of $30 million.
The official exchange rate for November 17: 1,772.98 sum/$1.