/ / Odessa Port Factory OJSC: history, products, privatization

Odessa Port Plant OJSC: history, products, privatization

Odessa Port Factory OJSC is one ofthe largest Ukrainian chemical enterprises producing carbamide and ammonia. OPZ also carries out transshipment of products of other companies by water and rail transport.

Historical reference

Construction of the Odessa Port Plant (OPZ)near the Grigorievsky estuary began in 1974. After 4 years, the company gave the first products - liquid nitrogen. Soon he earned the ammonia unit number 1. At the same time developed transport and transshipment area.

Odessa port plant

In 1979, the main capacities are gradually introduced.By the 2417-kilometer-long ammonia pipeline “Tolyatti-Odessa”, chemical products began to arrive for shipment to other regions of the USSR and abroad. In the 80s, the Odessa Port Plant established the production of dry ice, urea, and liquid carbon dioxide. The beginning of the 90s was marked by the introduction of electronic control systems, microprocessor technology, and communication systems. In 1999, ammonia production was expanded. In 2002-2004 modernized urea production site.

Characteristics of the enterprise

Odessa port plant specializes inthe synthesis of urea, ammonia (23% and 18% of the total Ukrainian production, respectively). Auxiliary function of the plant is to overload substances coming from other manufacturers. Handling services provide an additional source of income (about 5% of total revenue). In addition to ammonia and carbamide? OPZ produces liquid nitrogen, carbon dioxide, liquid oxygen.

Odessa Port Factory OJSC

Ammonia production

Odessa Port Factory has twounits with an initial capacity of 450,000 tons of products each year. The technological process was developed by Kellogg and executed by the French company Creusot-Loire. The starting material is natural gas. After reconstruction, productivity increased to 1,160,000 tons (total).

Urea production

It is carried out on the basis of two units of the projectcapacity of 660,000 tons annually (330,000 tons each). Installations were commissioned in 1984 and 1985. The technological process was developed by Stamicarbon, the project was executed by the Czech company HEPOS. Raw materials are gaseous carbon dioxide and liquid ammonia. As a result of reconstruction and modernization, the maximum actual capacity is 942,000 tons per year.

Transshipment

Ammonia transshipment capacityis 4 000 000 t annually, while the storage volume reaches 120 000 t. The maximum permissible single storage of ammonia in storage is 81 000 t. Ammonia is supplied mostly by railway transport or by ammonia pipeline.

Odessa port plant OPZ

Проектная мощность перевалки карбамида составляет 3 600 000 t annually. The total storage capacity is 80,000 tons. Methanol transshipment reaches 1,000,000 tons. The storage capacity is 36,000 tons. Methanol enters via railways.

Export

Due to its location and connection withinfrastructure for the transport of chemical components Odessa Port Plant is export-oriented. About 90% of products are shipped abroad. The main export destinations are Turkey, Africa, Latin America, Europe and the USA.

Production technology

The main raw material for nitrogen enterprises isnatural gas. As a result of gas processing, OPZ JSC produces ammonia. A part of it is sent to the ammonia storage facility and then sold. Another part of the ammonia produced is sent to the manufacture of urea. To obtain urea, carbon dioxide (CO2) is also used, which is obtained as a by-product in the production of ammonia.

The main potential sources of natural gas supplies to SCR are:

  • natural gas produced in Ukraine;
  • Russian natural gas;
  • gas that comes from Europe in the reverse direction.

Odessa Port Factory Price

In 2014, in addition to natural gas suppliedthe state-owned company NAK Naftogaz Ukrainy, JSC OPZ imported part of the gas from Hungary and Slovakia in a reverse pattern. Also, in 2014, part of the raw material was supplied to the plant by private Ukrainian companies. To take full advantage of its capacity, production requires about 1.3 billion m3 gas annually.

Odessa port plant: the price of privatization

For many years, HMO remained a joint stock company,99.6% of the shares of which are controlled by the state. Chemistry giant was a “tasty” asset for large financial groups. In 2009, attempts were made to privatize it under President Yushchenko, but they were thwarted under the pretext of colluding the bidders and understating the real value of the enterprise.

The second privatization attempt was planned for 14December 2016. Back in July 2014, the Cabinet of Ministers of Ukraine announced its intention to put up the IPF for sale along with other 164 objects. The State Property Fund was counting on selling the plant’s shares for UAH 5.16 billion. However, due to allegedly revealed corruption schemes, the process was suspended. Now the anti-corruption bureau is conducting an investigation. Due to privatization confusion, production was temporarily suspended and resumed in spring 2017. The question of bankruptcy is being considered.