September 2, 2021, Vladivostok, Russia. PJSC RusHydro (ticker symbol: MOEX, LSE: HYDR; OTCQX: RSHYY) and Sibur Holding have signed a power purchase agreement for supply of clean electricity produced by Nizhne-Bureyskaya HPP to Amur Gas Chemical Complex, currently under construction.
Amur Gas Chemical Complex is the largest facility in Russia for production of polyethylene and polypropylene currently under construction by SIBUR and Sinopec. Its annual output stands at 2.3 mn tons of polyethylene and 400 thousand tons of polypropylene.
The agreement guarantees electricity supply to the new consumer in the Far East Federal District for 20 years and is mutually beneficial to both parties as RusHydro now has additional stable demand for electricity while SIBUR does not have to worry about construction of its own power generation facility.
Victor Khmarin, Chariman of the Management Board – General Director of RusHydro commented: “RusHydro Group’s Far East subsidiaries are able to satisfy the growing electricity demand and provide uninterrupted electricity supply to all investment projects currently under development in the region. This agreement is mutually-beneficial as it ensures price transparency to consumer.”
Dmitry Konov, Chairman of the Management Board of SIBUR Holding added: “Reduction of adverse effect on climate from production is one of our strategic priorities. The Amur region has an enormous potential of renewable energy sources, which not only satisfies the environmental requirements of our project but also reduces the carbon footprint of our manufactured goods. We will strive for our production to become one of the most environmentally friendly in the country.”
In 2017, RusHydro and SIBUR Holding have reached an agreement for stable supply of electricity to Amur Gas Chemical Complex.