The Russian Ministry of Economic Development, the Government of Murmansk region and North-Western Phosphorous Company (NWPC, a member of Acron Group) signed an Investment Protection and Promotion Agreement (IPPA) for the project to increase apatite concentrate production capacity by extracting ore at the underground mine in Kirovsk, Murmansk region. This agreement is one of the first IPPAs signed after the adoption of the law On Protection and Promotion of Investment in the Russian Federation.
The project will construct the second stage of the Oleniy Ruchey mine, including the underground mine, and increase apatite concentrate output to 1.9 million tonnes per year at a total cost of RUB 17.745 billion (excluding VAT). It will help maintain existing jobs, and create approximately 600 new jobs between 2018 and 2025. Up to 1,000 new workers will be hired for the construction stage.
Chairman of Acron’s Board of Directors Alexander Popov commented, ‘This project is aimed at expanding the domestic chemical industry’s resource base and boosting non-resource exports. In future, it will also significantly increase the region’s budget revenue by expanding the tax base’.