Environmental Review Summary
Project Number
11698
Company Name
CJSC Komi Aluminium
Date ERS Disclosed
Dec 19, 2003
Country
Russian Federation
Region
Europe
Date Revised ERS Disclosed
May 14, 2004
Environmental Category
A - Significant
Status
Completed
Previous Events
Approved : Jun 3, 2004
Signed : Aug 4, 2004
Invested : Jul 2, 2007
Sector
All Other Metal (Including Tin, Tantalum, Tungsten, etc.)
Industry
other
Department
Infra-WBG Dir. Minerals & Metals
Project Description
- The overall project:
The SUAL Group (SUAL, the Group or the company ) is the second largest aluminium producer in Russia, and is considering the expansion of its Timan bauxite mine, as well as the construction and operation of an alumina refinery on the main rail line, 245 km to the southeast, near the town of Ukhta and an aluminium smelter near the town of Pechora about 300 km along the main rail line from Ukhta. These sites are all located in the Komi Republic in North Urals. The “Integrated Project”, will have a capacity of 6.0-6.5 million tpa (“mtpa”) of bauxite, 1.4 mtpa of alumina and 313 thousand tpa of aluminium. The total cost of the Integrated project is likely to exceed $2 billion, but its development is likely to be phased. During Phase I which is planned for 2003, it is expected that:
- the bauxite mine will be expanded from 750,000 tpa to about 2.55 mtpa and associated infrastructure upgraded by SUAL to allow further expansion;
- SUAL will try to form a joint venture with a foreign world class aluminium company; and
- the bankable feasibility study for the Integrated Project will be carried out.
- The Phase I Project – Mine Expansion
Phase I, which comprises the initial bauxite mine expansion, which will at first be used by SUAL’s own alumina refineries and the feasibility study stage of the Integrated project. SUAL has already invested from its own funds on the development of the bauxite mine and on the construction of Russia’s first private railway to connect the mine to the national railway network. The mine development and expansion, according to the preliminary business plan, will require a further $150 million. SUAL is looking to finance this from IFC with a loan of up to $45 million, EBRD with a loan of up to $45 million and the remainder with a B Loan / co-lending / and/or internal cash generation.
The SUAL Group (SUAL, the Group or the company ) is the second largest aluminium producer in Russia, and is considering the expansion of its Timan bauxite mine, as well as the construction and operation of an alumina refinery on the main rail line, 245 km to the southeast, near the town of Ukhta and an aluminium smelter near the town of Pechora about 300 km along the main rail line from Ukhta. These sites are all located in the Komi Republic in North Urals. The “Integrated Project”, will have a capacity of 6.0-6.5 million tpa (“mtpa”) of bauxite, 1.4 mtpa of alumina and 313 thousand tpa of aluminium. The total cost of the Integrated project is likely to exceed $2 billion, but its development is likely to be phased. During Phase I which is planned for 2003, it is expected that:
- the bauxite mine will be expanded from 750,000 tpa to about 2.55 mtpa and associated infrastructure upgraded by SUAL to allow further expansion;
- SUAL will try to form a joint venture with a foreign world class aluminium company; and
- the bankable feasibility study for the Integrated Project will be carried out.
- The Phase I Project – Mine Expansion
Phase I, which comprises the initial bauxite mine expansion, which will at first be used by SUAL’s own alumina refineries and the feasibility study stage of the Integrated project. SUAL has already invested from its own funds on the development of the bauxite mine and on the construction of Russia’s first private railway to connect the mine to the national railway network. The mine development and expansion, according to the preliminary business plan, will require a further $150 million. SUAL is looking to finance this from IFC with a loan of up to $45 million, EBRD with a loan of up to $45 million and the remainder with a B Loan / co-lending / and/or internal cash generation.
Environmental and Social
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