Metafrax Summarized the Half-year Period

Metafrax had preliminarily summarized the company work in the 1st six months of 2016. During this period, the production with overall cost of 9 billion 21 million roubles had been produced, that is less than the same value of the last year by 206 million roubles, or 2.2%.

The finished production sales have reached 8 billion 731 million roubles that is higher than the same value of the last year by 181 million roubles, or 2.1%. The export share in the turnover was 32.1% against 37.1% according the 1st six months of 2015 results. Compared to the 1 half of year of 2015, the company’s net profit decreased by 34%.

The company’s social package was 77.3 million roubles.

According to the 1st six months of 2016 results, the internal methanol consumption reached 560 thousand ton that is higher than in the 1st six months of 2015 by 22 thousand tons (or by 4%). The UFC production increased by 282 ton (or by 0.3%). The formalin production increased by 1076 ton (0.6%). The urotropin production made 14.9 thousand ton (+ 100 ton, or +0.6%). Compared to the 1st six months of 2015, the micronized urotropin output decreased by 8 ton, making 157 ton. The pentaerythritol production volume was 11.6 thousand ton (-3%). The micronized pentaerythritol output decreased by 231 ton (32%) making 481 ton. The packaged polyamide production increased by 17 ton (4.8%) making 367 ton.

Vladimir DAUT, PJSC Metafrax General Director:

• The economic crisis phenomena found its reflection in the company’s operating results. The price of the production unloaded to the internal and external markets has shown its effect: 2016 is the year of buyers, but not the year of sellers. The administration has to address to the Board of Directors to correct the budget for the 2nd half of year.

Therewith, the company’s investment budget remains the same; according to the year results, it will make 5.7 billion roubles. Large investment projects are realized in the framework of the Technical Development Program of the Company until 2020. The formalin unit construction had been finished, the unit works in the commissioning mode. The preparation to the second stage of the methanol unit revamping has begun, and during this process the air separation unit and the partial oxidation unit will be mounted. According to the revamping results, in the 1st quarter of 2017, the unit capacity will increase to 3375 ton of the methanol per day.

We have also started the pentaerythritol unit revamping: the project was done, we need to acquire the new equipment. We will finish the railway park updating program for the methanol and formalin units up to 2019.