INTEGRATED REPORT 2016
Operational Review
Investing in the Future
In 2016, Uralkali retained its leading position in the global market, despite a decline in prices and consumer activity. In the reporting year, the Company produced 10.8 million tonnes of potassium chloride, 5% down from 2015. The decrease in production volumes compared to 2015 was caused by a weaker global demand for potash fertilisers and the corresponding adjustment of Uralkali’s production programme.
The Company aims to retain its share in the world market. Uralkali continues to invest in modernisation of its current facilities and development of new capacity as part of a capacity development programme. The programme will be implemented taking into account the current situation and expected developments in the global market.
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New Solikamsk-2 mine
In 2016, the Company continued the development of design documents for shaft construction and temporary power supply of the construction site. We began preparatory work for the construction of 2 vertical shafts and power supply of the construction site.
US$33 mlnInvestments
in 2016 -
Increasing load at Berezniki-4
In 2016, we completed key activities aimed at eliminating bottlenecks and technology stabilisation at Berezniki-4.
US$13 mlnInvestments
in 2016 -
Polovodovo project
Uralkali developed and sent for examination design documents for the main facilities. Construction of infrastructure (railroad, power supply, gas supply, highways) is underway.
US$7 mlnInvestments
in 2016 -
Other expansion and sustaining investments
In 2016, investments in other expansion and sustaining projects were also made, including load increases, granulation expansion, carnallite expansion, and upgrades of existing facilities.
US$159 mlnInvestments
in 2016 -
Solikamsk-3 expansion
In 2016, we completed collar reconstruction of Shaft 4 and constructed the headframe foundation, and started installation of the headframe and heading equipment for the partial tubbing replacement in 2017.
US$6 mlnInvestments
in 2016 -
Ust-Yayva project
In 2016, we completed the construction of 2 vertical shafts and shaft cementing, and began equipment of Shafts 1, 2. Construction of the surface complex and constant power supply facilities is underway.
US$105 mlnInvestments
in 2016