A new installation in Chorzów

| Prospects & Investment |

Yesterday Zakłady Azotowe “CHORZÓW” launched manufacturing of stearin, glycerin and distilled fatty acids. Upon the completion of the 65-million PLN investment, Nitrates Works in Chorzów gained the first and only installation for processing of animal fats and vegetable oils in Poland.

Innovation-minded “CHORZÓW”

The new production line utilizes a kind of renewable resources which has not been popular in Polish chemical plants. Moreover, the start-up of the installation confirms the development strategy of the whole Grupa Azoty “PUŁAWY” S.A.. “PUŁAWY” has been stressing the importance of growth towards bioproducts manufacturing, goods which may find application in new business areas. Such enterprises as the one just finished in Chorzów constitute a reply to the evolving needs of the customers.

Beginning of oleochemical investments

In oleochemical installations, such as the one freshly launched in Chorzów, natural resources are processed into intermediary products. Those are next used in various industries, including grocery, pharmaceutical, fuel and chemical sectors. The most interesting product are methyl esters of fatty acids useful in the production of fuel.

The only stearin manufacturer in the country

Fat Processing Installation which has been started up in Zakłady Azotowe “CHORZÓW” is the only domestic enterprise producing stearin. The product will find application in rubber and candle manufacturing, as well as chemical, pharmaceutical and mining industries. Stearin in essential for the manufacturing of rubber, caoutchouc, candles and filling for memorial candles.

Responding to market needs

Fat Processing Department is capable of processing 16,000 tonnes of resource annually! Stearin will be manufactured in Chorzów using hydrogenation of fatty acids. Those will initially be obtained from animal fat, but in a longer perspective the installation is also to process vegetable oils.

In response to demand for products with various parameters, particular clients may order stearin with chosen iodine adsorption value (in the range from 1 to 20 g l2/100g), with low proportion of acids with < C16 chains.

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Investment completed in “CHORZÓW” Nitrates Works

| Prospects & Investment |

Today we have inaugurated a new investment in “CHORZÓW” Nitrates Works, a part of Grupa Azoty “PUŁAWY”. The new, modern installation will process animal fats as well as vegetable oils, and enable the production of stearin, glycerine and distilled fatty acids. We are also celebrating the completion of a 1.5-year investment project. The Fat Processing Installation, the first such enterprise in Poland, is worth 65 million PLN. The installation is capable of producing 13,000 tonnes of stearin annually.

Expanding our portfolio

The investment constitutes an expansion of not only the market offer of “CHORZÓW” Nitrates Works, or Grupa Azoty “PUŁAWY”, but first and foremost of the whole Polish chemical industry. The Fat Processing Installation is the first such investment enabling the production of stearin in Poland. The manufacturing process involves renewable resources, which have not been widely used in Polish chemical plants so far (fatty acids produced in fat processing plants). The installation processes them into stearin, which may next be used for the manufacturing of plastics, tyres (as plasticizers), rubber (in the chemical sector), detergents, candles and memorial candles, stearates, glues, emulsifiers and softeners. Stearin has up to now been imported to Poland from Germany, the Czech Republic, or even Malaysia. Following the start-up of the installation in Chorzów, Polish companies will gain much easier access to domestic resources and the foreign trade balance of the chemical sector will be improved.

Modern technologies

The total cost of the investment has reached 64 million PLN and has been covered using own resources and financing from the Industrial Development Agency. The construction of the Fat Processing Installation commenced in February 2012. Profarb from Gliwice was the general contractor responsible for the project.

The current processing capability of the installation is 16,000 tonnes of resources per year! The crucial products of the new installation are liquid stearin and stearin in the form of petals (output of 13,200 tonnes per year) and glycerine 88% free from methanol (annual output of 1,600 tonnes).

Tradition and development

The new investment is not only an opportunity to expand the output capacity of Grupa Azoty “PUŁAWY”, but also an opportunity to improve the situation on the local job market. 60 new employees have been taken on by “CHORZÓW” Nitrates Works thanks to the launch of the Fat Processing Installation.

The finalized investment project pays tribute to the nearly 100-years’ history of chemical works in Chorzów. Nitrates Works in Chorzów and those in Tarnów were the cradle of Polish chemical industry created in the inter-war period by the President of Poland Ignacy Mościcki and the Minister of Treasury, Eugeniusz Kwiatkowski.

For the Works in Chorzów, the Fat Processing Installation is a new opening after a period of stagnation. At the same time, the company has been re-branded, so as to return to the historical name of the enterprise. “Azoty-Adipol” has been replaced by Zakłady Azotowe “CHORZÓW” S.A. or “CHORZÓW” Nitrates Works, a brand evoking the era of the company’s prosperity.

We are hopeful that the new installation will open a new chapter in the history of the Works in Chorzów. The investment is a part of the overall strategy of Grupa Azoty “PUŁAWY”, that of increasing our presence on all markets.

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“PUŁAWY” invests in development

| Prospects & Investment |

On July 8th three new investments, worth 460 million PLN in total, were officially finalized in Grupa Azoty “PUŁAWY”. One of them is flue-gas desulfurisation plant using wet scrubbing with ammonia – the first such in Europe and third one in the world.

Recycling of sulfur

Thanks to making use of a very innovative method, the investment will reduce the emission of pollutants from the heat and power plant. The installation is so efficient, that the reduction of harmful gases is expected to reach 80%! Ammonium sulfate, the byproduct of the reaction, is going to be used for the production of sulfur-based fertilizers. This is how “PUŁAWY” has replied to the market demand for substances enriched with this element.

New Fertilizer Complex

The other two finalized investment projects in the Company are an installation for the manufacturing of liquid fertilizers containing sulfur (PULASKA®, RSM®S) and New Logistics Center for fertilizers in granules. It has been equipped with a new packing room (with total packing capacity of over 240 tonnes/hour) and a warehouse (capacity of housing 13,000 tonnes of fertilizers). Both have been constructed as parts of the New Fertilizer Complex.

Not only “PUŁAWY”

Investments are also conducted in other plants belonging to Grupa Azoty. The full official launch of a line for the production of stearin in Azoty-Adipol (Chorzów) is due in September. The Works in Kędzierzyn-Koźle are preparing for the modernization of urea and OXO installation and for the construction of a new heat and power plant. Changes are also scheduled in Police, where urea and ammonia production lines are to be modernized. Tarnów Works are to modernize the caprolactam processing installations and to expand composites manufacturing capacity.

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A new installation in Chorzów

| Prospects & Investment |

We are about to finalize a project of starting up the first installation for technical processing of animal fat and vegetable oils into distilled fatty acids and stearin in Poland. The investment worth over 65 million PLN is implemented in Azoty-Adipol PLC chemical works, which has belonged to “PUŁAWY” Group since 2012. The capacity of processing in the installation under construction is 16 000 tonnes of raw resources per year.

New installations – new products

The new investment will enable us to manufacture new products: liquid stearin and in the form of petals (output of 13,200 tonnes per year) and glycerin which is 88% free from methanol (output of 1,600 tonnes per year). Following the completion of the project, Azoty-Adipol will be the one and only producer of stearin in Poland. This substance is useful in production of rubber, detergents, candles and memorial candles, stearates, glues, emulsifiers, softeners, etc.

The investment about to be completed is conducted in turnkey system, immediately ready to use. The general contractor is Profarb Ltd. from Gliwice. We are at the stage of mechanic start-ups of the new installation.

Consistent in implementing our strategy

The project realized in Chorzów embodies the strategy of “PUŁAWY”. We would like to develop new bioproducts, using renewable resources. Our experience so far has shown that such investment projects as the installation in Chorzów make it possible to enter new areas of business activity. A second initiative of this kind is the currently implemented project of FCS Natural company w Puławy, involving organization of a business of supercritical extraction.

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