Contacts: Tel.: +7 (3852) : Website.:

Transcription

1 Contacts: Tel.: +7 (3852) : Website.:

2 Place of the project realization Altay

3 Russia - Siberia Altay region - Territory of 168 square km. - Population 2,5 mln. people Москва Russia Таймырский (Долгано-Ненецкий) а.о. Эвенкийский а.о. Омская обл. Новосибирская обл. Томская обл. Алтайский край Кемеровская обл. Респ. Алтай Респ. Хакасия Красноярский край Респ. Тыва Иркутская обл. Усть- Ордынский Бурятский а.о. Респ. Бурятия Читинская обл. Агинский Бурятский а.о urban districts - 60 municipal districts rural and 6 urban settlements

4 Altay - region of the unique nature

5 The agricultural potential of Altay region agricultural enterprises, million hectare area of land for agricultural purpose, million hectares of cultivated land. Potential development of plant growing Potential development of animal breeding Altay region in Russian Agro complex I place on arable land and grain wedge I place on cheese production I place on flour production 5

6 Sugar beet potential of Altay Sugar consumption beyond the Ural 1,2 mln. t. of sugar Sugar beet in the structure of Altay region crop rotation 6 mln. Ha. of arable land Production potential Existing production 8% Agro culture Potential of sugar beet cultivation The actual seeding 20% 0,33% 92% 80%

7 Sugar factories in Altay The suspended plant Operating plant

8 Goals and Objectives The goal : Creation on the basis of Aleysk Sugar Factory highly profitable BIOcomplex for deep agricultural products processing, Strategic objective: Integration of innovative technologies within a single enterprise BIO-complex. Main tasks: increase the plant's capacity to tons of sugar beet per day, selection and integration to the project ancillary industries, Transfer the plant on a year-round job environmentally friendly waste-free production. Main products: Sugar, Milk, vegetables, Animal feed, betaine, BIO-humus.

9 Priority activities THE FOODSTUFFS OF RUSSIA - Food independence, environmentally friendly products, import substitution, INNOVATIONS -- Only the world's leading processing technologies of agricultural products INTEGRATION - Efficient integration of related industries into a single BIO-complex, IMPORT SUBSTITITION - Products issue aimed at export and import ECOLOGY - Fully closed cycle,wastelessness, resource savings, alternative energy sources

10 Transportation logistics Area Distance to the nearest populated area. The total area of the complex with fields of filtering is over 90 hectares The factory is located in the Aleysk city, distance to the Barnaul city 129 km. Availability of highways The main federal line Barnaul - Rubcovsk, within 500 m Availability of railways. Proximity to the border of the Russian Federation Communications, Internet Access railway tracks go to the territory and branched within the area, Russia-Kazakhstan 214 km, Russia-Mongolia 770 km, Russia-China km., There is a fiber optic cable. The site in the area of the GSM operators, CCTV. Location Leased land of the factory - an area of hectares. 10

11 Priorities of geographical location considerable distance from major competitors; excess supply of local raw materials; developed infrastructure in the region; availability of qualified personnel; powerful scientific and educational base of the capital of Altay Territory, Barnaul; the only area for cultivation of sugar beet in Siberia; favorable climatic conditions; the presence of an unlimited market for: -sugar the most important food products, and the remoteness of its competitors; -for milk and vegetables - because of the prospects of production and the near presence of large industrial centers (Barnaul, Biysk, Novosibirsk); animal feed due to the developed livestock base of the Altay territory and bordering regions of Siberia.

12 Sugar factory was built in the 30-s of last century.

13 Factory buildings and equipment are decayed and recognized unprofitable.

14 Railway track is in usable condition, but at the moment doesn't operated.

15 CHP building could serve but still need to be repaired.

16 Factory concrete beet pile field is overgrown but still waits for the sugar beet harvest.

17 Once filled with truck transport roads are deserted.

18 How sugar factory works The structure of integrated production

19 Foreign equivalent model of sugar plant development

20 Second stage of the project The integration of primary and ancillary industries

21 Manufacturing capacity Available and can be used in a new project: area of the plant more than 20 hectares, production and storage facilities over 10,000 square meters, office building 1500 square meters, tarmac about 50,000 square meters, in-plant network of railway tracks over 2.5 km, railway overpass, tanks for fuel and lubricants cub meters, sewage system, water supply, filtration field for more than 70 hectares, Lake settler for industrial water 8 hectares, CHP building, dual independent power lines from the main power supply network for10 kva, shunting locomotive TGM-4A, snow cleaner.

22 Government support Project solution, A construction contract

23 Agreements: For supply of raw materials, purchase of production

24 The general plan of the existing plant

25 Reconstruction project

26 General plan of the factory (project)

27 General plan of the factory (project)

28 General plan of the factory (project)

29 General plan of the factory (project)

30 General plan of the factory (project)

31 General plan of the factory (project)

32 General plan of the factory (project)

33 General plan of the factory (project)

34 The main plan of the factory Silo for sugar storage (project)

35 The main building, 3D (project)

36 The main building, 3D (project)

37 Additional process Milk farm. Greenhouse farming (project)

38 Environmental protection Planned: The project is based on maximum wastelessness. Produced on-site wastewater, storm water, melt water collected in in wastewater treatment plants and then are used as circulated and irrigation water in vegetable farming, Residues" of the main and auxiliary facilities are used as a raw filler for each other, Black soil (humus) which come to the plant with beets, lime defecation and distillery vinasse are then used for production of bio - humus, "Residues" of decomposed organic Bio - gas are used as a filler for Bio - humus, Sugar beet pulp is fully processed into feed for dairy farm, Molasses is the source for obtaining of betaine, Dairy manure and waste feed production are used as a raw material for bio-gas plant.

39 Social effects The significant social effect will be achieved a within 5 years : the exception of city Aleysk from the list of monotowns, the modern enterprise of the Russian province will attract highly skilled and young professionals, the creation of 500 permanent jobs and 1,000 indirectly, guaranteed supply of heat, water, gas, sewerage systems of the village, production of high-tech import-substituting products, production of sugar, milk and vegetables all year round, encourage the development of agriculture in the Altay region, attracting investment into the local economy, a significant increase in tax revenues to the local and federal budgets.

40 Stages of plant reconstruction Realization of the project takes 3 years, further operation period 30 years. Approval of the plan Designing, negotiations, adjustment Construction and installation works Factory start-up Approval of the Basic concept of the project, Approval of the investment plan, Approval of the General Contractor, Contracts. Approvals, Project development, Business plan correction, Investment plan correction. Preparation of engineering services, Acceptance of equipment, Installation work, Cold start of main production, Contracts with suppliers and customers, Hot start debugging. Operation of the main production on raw sugar, Launch of auxiliary facilities, Launch of the main production on sugar beet, During the period of project s life 24 month 12 months 6 months

41 Business model 8. Key Partners: - Peasant farms, - Dairies, - Wholesale trading companies. 7. Key activities - Receiving, raw material storage, - Manufacturing, - Storage and production shipment, 6 Key resources: - Finance, - Sugar beet - Limestone, - Natural gas, - Qualified personnel, 2. Key values Sugar: - Exclusive quality, Milk, Vegetables: - Ecologically clean, Animal feed: - Satisfy the demand - Betaine: Import substitution, BIO-humus: - Ecologically clean, 4. Relationships with customers - Individual approach, - System of discounts, 3. Trade channels - Direct Contracts, - Government purchases, - Trading platforms, - Wholesale companies, - Food network, 1. Customer segments Sugar, milk, vegetables: - Wholesale trading companies, - Food processing plants, - Retailers, Animal feed: - Cattle farms, - Feed mills, Betaine: - Feed mills, - Cosmetic factory - Pharmaceutical factories, BIO-humus: - Agricultural enterprises, - Greenhouse farming. Structure of expenses - Purchase of raw materials, - Salary costs, - Taxes - Percentages on bank credit. Revenue streams - Sales at current prices, - Services for processing of raw sugar,

42 The scheme of interaction with an investor Project initiator Budget presentation, Formation of staff Accounting reports, Implementation of the project, Enterprise management, Realization of production. to 239 mln. EUR 299 mln. EUR Memorandum of intensions Investment contract, Redemption of shares, Board of Directors, Supervisory Council, Internal audit. Investor from 60 mln. EUR General contract for construction, General contract for equipment supply, Financing, Adoption of the budget, Auditing, Execution control. IRR MIRR NPV DDP PI EBITDA EBT 29% 25% 860 mln. 9 years 2, mln. 110 mln.

43 Project leader Project leader: Andrey Krylov Andrey Krylov was born in in Russia, Altay region. He graduated from Altay State University as an engineerphysicist in year In the same year organized a commercial business from the ground where he worked as the manager and owner. Currently Andrey Krylov is a general director and major shareholder of Contacts: «Aleysk sugar factory» General Director Andrey Krylov Mailing address: , Altay region, Barnaul city, Novorossiyskaya St., 140 Registered address: , Altay region, Aleysk city, Mira St., 6 T.: +7 (3852) : com@altaysahar.ru Website.: Assistant Director: Valentina Zaytseva Was born in Graduated from Altay State University major International relations. Speaks English, Chinese, Uzbek and Russian.

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