Technical re-equipment will add to the Company’s annual output 2,000 tonnes of caprolactam

To ensure output growth and enhance operational efficiency new chiller equipment will be installed at Kemerovo “Azot”’s caprolactam plant.

Brand-new, modern chiller installed, caprolactam production will keep operating at full capacity in summer months, as there will be no more seasonal rise in temperature of the water used in the production cycle. This technical re-equipment will add to the Company’s annual output 2,000 tonnes of caprolactam. Moreover enhanced refrigeration output will contribute greatly to the crystallization and packaging units’ stability.

The project is scheduled to be completed early in summer of 2012. The economic effect of the modernisation is expected to exceed 9,000,000 Russian roubles.

Earlier this year, another modernisation project was accomplished at caprolactam production: packaging lines were re-equipped to secure palletizing of more than 75,000 tonnes of crystallized caprolactam. As a result the Company earned an additional value to the market price and significantly cut down expenses due to the unified transportation of the product.

SIBUR-Fertilizers’ caprolactam business line accounts for around one quarter of its annual revenues. In 2011, the Company expects to increase annual output of caprolactam by 23% year-on-year to amount to 120,000 tonnes

SIBUR-Fertilizers is a leading Russian supplier of caprolactam to the global market, accounting for 53% of overseas sales. The company exports almost all of its caprolactam to East Asia. Its main markets in the region are China and Taiwan.