SIBUR completes designs for flame retardant production facility, expects investment decision

TOBOLSK. Dec 10 (Interfax) - SIBUR has completed the design stage for production of flame retardants, the Russian petrochemical group's director of development and innovation and management board member Darya Borisova told reporters.

"This technology has been fully developed and homologated, meaning its effectiveness in the end product, polystyrene, has been confirmed. The stage of preparing the design documentation has been completed. We expect an investment decision to be made," Borisova said.

If an affirmative decision is made, production will be located in Nizhnekamsk, as there "is synergy there with production competencies," Borisova said.

However, the company is not yet ready to specify a potential timeframe for implementing the project.

"We're weighing, we have a colossal amount of investment. SIBUR will invest 1.7 trillion rubles in new capacity and development by 2028. We're balancing the timing and phasing to a certain extent, gradually making investment decisions," Borisova said.

SIBUR management board member and executive director Alexander Petrov said earlier in an interview with Interfax that the company was considering investing in the construction of a small-scale flame retardant production facility that would meet the group's own needs for production of nonflammable expandable polystyrene, as well as partly cover demand from other companies in Russia.

Polymer flame retardant is a new generation of fireproofing additive that is used in production of expandable and extruded polystyrene. SIBUR estimated Russian demand for this product totaled 1.04 tonnes in 2021, all of which was imported.