9 Aug 2010 13:11

Titanium producer VSMPO to boost 2010 investment 25%

YEKATERINBURG. Aug 9 (Interfax) - VSMPO-Avisma plans to increase investment in development, modernization and diversification 25% this year to $150 million from $120 million, the Russian titanium producer said in materials.

The investment will allow the company to progress with its plans to be producing 44,000 tonnes of titanium sponge and 45,000-46,000 tonnes of semis and finished products by 2014-2015.

Capex at VSMPO-Avisma totaled $892 million in 200-2009.

The company said at the end of June that it had almost finished building the premises for a new plant capable of producing 10,000 tonnes of titanium sponge per year at a cost of 1 billion rubles. It aims to commission a 500-megavolt-ampere substation at a cost of 2 billion rubles by the end of 2010.

VSMPO-Avisma projects titanium-product output will increase 15.8% to 22,000 tonnes in 2010 from 19,000 tonnes in 2009. The company turned out 10,000 tonnes of titanium product in the first half of the year, 10%-15% more than planned

The state Russian Technologies (Rostekhnologii) corporation owns 66% of VSMPO-Avisma, which is Russia's biggest titanium producer.