UMMC to start ammonium sulfate production
The General Director of the Ural Mining and Metallurgical Company (UMMC) Andrey Kozitsyn and the Chairman of the Board of Directors of Ultramar Andrey Bonch-Bruevich signed an agreement on the construction of a joint venture with a capacity of 500 thousand tons of ammonium sulfate per year which will be physically based at the Sredneuralsk Copper Smelter (SCS, a subsidiary of UMMC). The amount of investment in the project is estimated to be about 4.8 billion rubles (more than $74.5 million).
The decision to build a plant at the SCS site is founded on optimal raw material supply, as it is planned to use the sulfuric acid produced by the company itself.
A joint venture with a 50:50 shareholding will be created to implement the project. Design and construction are planned to be carried out over four years in two stages with separate lines with a capacity of 250 thousand tons per year each.
The planned payback period of the project is 5 years, taking into account the construction time. The construction operations at the SCS facilities are expected to begin at the end of 2020. The new modern manufacturing venture will create up to 50 jobs and employment opportunities.