SOCAR Carbamide Plant

SOCAR Carbamide plant project is implemented pursuant to the “State Programme on Reliable Food Supply of the Population in the Republic of Azerbaijan during 2008-2015” approved by the Decree of the President of the Republic of Azerbaijan number 3004 dated 25 August, 2008 and “State Programme for the Development of Industry for 2015-2020” approved by the Decree of the President of the Republic of Azerbaijan number 964 dated 26 December, 2014 .

Foundation of the Carbamide Plant was laid in 2011 by Mr. Ilham Aliyev, the President of the Republic of Azerbaijan. In the same year, international open tender was announced to select Engineering, Procurement and Construction (EPC) Contractor for the Project. Several companies with international reputation participated at the tender process and Samsung Engineering Co., Ltd. (South Korea) was announced the winner in 2012. EPC Contract signed with Samsung Engineering Co., Ltd. on 13 March, 2013 . Haldor Topsoe of Denmark and Stamicarbon B.V of the Netherlands act as licensors of the Plant for ammonia and urea production, respectively. Construction works of the Plant started in February, 2014 .

In order to effectively implement and control the Project, Neste Jacobs Oy (Finland) was selected as a project management consultant (PMC) for the Project based on an international open tender. The PMC and third party inspection services contract was signed between SOCAR and Neste Jacobs Oy on 11 May 2015.

The construction of the Plant is planned to be completed at the end of 2017 and the start-up is expected to take place in early 2018. The construction of the Plant with the area of 39.27 ha is being carried out in Sumgayit. Around 2500-3500 workers have been involved during the construction phase of the Plant and around 300-350 people is expected to be permanently employed during the operation phase.

The Plant will consist of the ammonia, liquid and granulated urea production units. Natural gas will be the main feedstock for the production of nitrogen fertilizers. Annual gas consumption required for the production is expected to be 435 million m3 (1.32 m3/per day). It will produce 1200 tons of ammonia and 2000 tons of urea per day. In the meantime, it is planned that the urea product produced at the Plant (approx. 650-660 thousand tons per year) will satisfy domestic demand and the surplus of the product will be exported to Turkey by railways and into the world markets through the Black Sea ports.

The link to the Environmental and Social Assessment Summary for the Plant is available below.

SOCAR Carbamide Plant Summary of Environmental and Social Impact Assessment

Director: Jafarov Khayal

Address: 86 S. Vurghun Street, Sumgait, AZ5000,

Tel: (+994 12) 521-31-50

Fax: (+994 12) 521-31-50

E-mail: karbamid.zavodu@socar.az