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Acron Discusses Investment Project with Perm Krai Ministry of Economic Development

On 3 December, Perm Krai Minister of Economic Development Leonid Morozov held a meeting with Alexander Popov, Chairman of Acron’s Board of Directors.

They focused on prospects for a major investment project to construct a mining and processing facility in the Talitsky area of the Verkhnekamsk potassium-magnesium salt deposit in Perm Krai. The project is being implemented by Acron subsidiary Verkhnekamsk Potash Company in cooperation with Vnesheconombank, Eurasian Development Bank and Sberbank Investments.

The project’s backers plan to invest over USD 1.7 billion to build a modern potash fertiliser production facility with output of over 2 mtpa. The mine will create approximately 3,000 new jobs and make a considerable contribution to the renewal of regional infrastructure. The active phase of project implementation is scheduled to start in 2016.

Morozov confirmed that both the Perm Krai Administration and the Ministry of Economic Development will provide all necessary assistance for the Company to follow through with a project that is important for the region. Under applicable federal and regional laws, major investment projects may enjoy regional tax incentives to lower income and property taxes.

Morozov praised the Talitsky project, saying “We are committed to making our region one of the most hospitable for investors, and we are glad to see results of our efforts. This is absolutely a strategic project for our economy. Coupled with other projects it will give our region vigorous economic momentum for further sustainable development. The project will create new high-technology jobs and contribute to modern infrastructure and a comfortable urban environment. On our part, we are ready to provide the company with all possible tax incentives provided for by the law.”

According to Popov, “Acron Group has always worked to build relationships with authorities and local communities in its footprint regions and makes every effort to further their economic and social development. We are maintaining an active dialogue with the Perm Krai Government and regional Ministry of Economic Development, and we believe that with their assistance we will construct a high-margin production facility that will create new jobs and increase tax revenue for Perm Krai and local budgets.”