Rosatom and Norilsk Nickel are to cooperate in Trans-Baikal Territory

On April 16, 2014, Sergey Kirienko, Director General of Rosatom State Nuclear Energy Corporation, and Vladimir Potanin, Director General of JSC Norilsk Nickel Mining and Metallurgical Company signed an Agreement on social and economic development of the Trans-Baikal Territory.
The Agreement is mainly focused on the development of the mining industry in the Territory. The document envisages provision of necessary transport, energy and social infrastructure with a view to increasing effectiveness of the use of the region’s mineral resource base, as well as to intensifying industrial cooperation.

In 2014, Norilsk Nickel and Rosatom are planning to establish cooperation between the two organizations’ enterprises, and also to prepare proposals concerning possible measures of state support for construction of production facilities and social infrastructure in the Territory.
Furthermore, the parties are exploring the possibility of attracting human resources of Priargunsky Industrial Mining and Chemical Union (JSC PIMCU), which is a part of JSC Atomredmetzoloto, to facilities of the mining and metallurgical cluster, located in the Trans-Baikal Territory.
It is also being investigated whether it is feasible to use the company’s machinery and repair capacities and to supply, under mutually agreed terms, coal from the Urtuiskoye field, owned by JSC PIMCU, for satisfying the Bystrinsky Mining and Processing Plant’s needs.
“The Trans-Baikal Territory is a promising region, and Norilsk Nickel has already implemented serious projects there. We hope that our efforts undertaken jointly with Rosatom State Corporation will enable more efficient development of social infrastructure in the Trans-Baikal Territory and contribute to attraction of highly skilled professionals to the region, as well as to introduction of advanced technology for the region’s efficient and sustainable development,” noted Vladimir Potanin, Director General of JSC Norilsk Nickel Mining and Metallurgical Company.
In Krasnokamensk, there are all prerequisites for industrial development. Firstly, the local transport infrastructure includes railways and a cargo terminal with potential for expansion; also, a paved motorway to Zabaikalsk and a renovated air terminal building will appear here by end of 2015. Secondly, there are no problems with heat, electricity and water supply or sanitation here. Today, the JSC PIMCU Thermal Power Station actually generates 270 MW of electric energy and 1827 Gcal of heat, with its design capacity equalling 410 MW and 2650 Gcal, respectively.
Norilsk Nickel is implementing in the region an investment project in the public-private partnership format, which involves construction of a 227-km railway, in particular, for the Bystrinsky Mining and Processing Plant for polymetallic ore processing.
“Priargunsky Industrial Mining and Chemical Union, operated by the uranium mining arm of Rosatom State Corporation, is Russia’s largest company in terms of uranium production and a city-forming enterprise in Krasnokamensk,” noted Sergey Kirienko, Director General of Rosatom. “However, negative pricing environment on the global uranium market has constrained the development opportunities. The Agreement with Norilsk Nickel will enable us to diversify loading of the JSC PIMCU industrial infrastructure: a repair plant, a thermal power station, an open-pit coal mine and etc. Moreover, the second large-scale industrial project in Krasnokamensk will help perfect the socioeconomic situation in the city.”

“Krasnokamensk of the Trans-Baikal Territory may be granted a status of an advanced economic growth area, and appropriate proposals will be forwarded to the Government of Russia,” added Sergey Kirienko, Director General of Rosatom.
“We will work on <…> providing necessary rationale to receive the Government’s decision on granting to Krasnokamensk the area of advanced economic growth status. Including appropriate taxation and investment incentives as a condition for these projects’ fulfillment,” Kirienko told journalists.

“Krasnokamensk possesses all resources for it to become an area of advanced economic growth. It has a perfectly developed infrastructure, abundant energy capacities, high-quality human resources and is located in proximity of the Trans-Siberian railway and the frontier with China. The Agreement with Norilsk Nickel will allow for organizing in Krasnokamensk new production facilities such as a pyrite cinder treatment plant, an explosive manufacturing site, a plant for processing non-ferrous metals concentrates and etc. Implementation of this project will contribute to the region’s socioeconomic development and people’s living standard enhancement. The Agreement with Norilsk Nickel will enable creation of additional jobs for Krasnokamensk residents in the course of the Bystrinskoye field development,” noted Vladimir Verkhovtsev, Director General of JSC Atomredmetzoloto.