• According to preliminary estimates, the SOCAR Polymer complex at maximum capacity has the capability to increase the export revenue of the country's non-oil sector by 18% and gross domestic product of the Absheron economic region by 14%
• $6.6 billion total revenue and $600 million tax payments to the state budget are forecast for the operation period
• The new plant will fully meet the demand for high-density polyethylene across the country, 75% of the product will be exported to foreign markets
On February 18, the high-density polyethylene plant was officially opened within SOCAR Polymer project in the Sumgayit Chemical Industry Park. The opening ceremony was attended by the President of the Republic of Azerbaijan Ilham Aliyev, SOCAR senior officials and representatives of the companies involved in the construction of SOCAR Polymer plants.
According to preliminary plans, SOCAR Polymer plants will produce 184,000 tons of 10 varieties of polypropylene and 120,000 tons of 4 high-density polyethylene varieties. During the operation period, the plants are expected to bring $6.6 billion revenues, 30 percent of which will be the company's net profit. In addition, SOCAR Polymer is expected to pay a total of $600 million taxes to the state budget. The high-density polyethylene is still an imported product in the country, but now SOCAR's new industrial complex will fully meet the demand of the domestic market and export the remaining 75% of the product to the Turkish and European markets.
In his report to the head of state, President of SOCAR Rovnag Abdullayev said: ''About 3,500 people have been involved in the construction of SOCAR Polymer plants. 500 permanent workers will be employed during their operation. Maximum safety requirements were observed and over 18.5 million man-hours of work have been achieved accident-free. According to preliminary estimates, SOCAR Polymer complex at its full capacity will increase the export revenues of the country's non-oil sector by 18% and gross domestic product of the Absheron economic region by 14%.”
SOCAR Polymer is the first petrochemical company in Azerbaijan based on a public-private partnership. Shareholders of SOCAR Polymer are SOCAR (52.2%), Vitol (19%), Pasha Holding (9,9%), Ecoland (9.8%), Polymer Investments (5%) and AKKIK (4.1%). The project was delivered in cooperation with well-known brands such as Maire Tecnimont, FLUOR, LyondellBasell, INEOS, Golder Associates. About 60% of the project cost was paid by the loans of Russian Gazprombank.
SOCAR Polymer was founded in 2013 to accelerate the chemical industry development in Azerbaijan. The foundation of SOCAR Polymer plants based on advanced technologies was laid on October 25, 2015. President Ilham Aliyev attended the ceremony. The polypropylene plant under SOCAR Polymer was opened on July 18, 2018. Ilham Aliyev, President of Azerbaijan and Italian president Sergio Mattarella, who was on an official visit to Azerbaijan, attended opening ceremony. The polypropylene plant’s first export product was delivered to Turkey last October.