Author: GodAdmin

Public Relations Department of Development Bank of Kazakhstan JSC informed, “Production of rails of UIC-60 category will allow ARBZ company to make export deliveries to European countries and Arab Emirates.”

Aktobe Rail and Section Works LLP (hereinafter – ARBZ) has been put into operation in June, 2016 and its construction was financed by Development Bank of Kazakhstan (subsidiary company of Baiterek Holding). The Project has been implemented under State Program of Industrial and Innovative Development of Kazakhstan for 2015 – 2019.

As of today, ARBZ company is the only producer of P-65 long (120 m) heat-strengthened railway rails across the territory of Eurasian Economic Union. In order to expand the geography of the products supply to European countries, it is planned to produce rails in 2017 to be in compliance with the requirements of UIC-60 standard.     

Mr. Marat Ibragimov, First Deputy General Director of Aktobe Rail and Section Works LLP, commented, “Our technology is different in that we use air-and water flows which is considered  to be a very flexible hardening system. For instance, we produce differentially heat-strengthened rails of DT350 category which proves to be the most durable rails today, but we have designs of modifications of more increased hardness, wear-resistance to be utilized under low temperatures and under conditions of the Far North. That means that our technology allows to produce more strengthened rails.”

In addition, starting from 2017 the plant will start production of sections. Generally, after reaching the full designed capacity in 2018 the plant will produce 430 000 tons of rolled products per year including 200 000 tons of heat-strengthened long (up to 120 m) rails for high-speed trunks and 230 000 tons of sections for construction sector.

ALMATY KAZINFORM.

Today, first section of assembled rails and sleepers which was produced domestically on Aktobe Rail and Section Works has been laid on the segment of opposite directed branch line from Almaty to Shu which is under construction.

“By placing the project in operation permeability of this segment will increase by 3,2 times, passing ability of freight trains will increase to 68 per day which will allow to reduce power consumption” as highlighted by President of Kazakhstan Temir Zholy JSC Mr. Askar Mamin.

As noted by General Director of Aktobe Rail and Section Works LLP Mr. Andrey Kuzmin that plant is in operation since month and a half and upon reaching of total capacity the output will comprise 430 thousand tons of products per year.

“We have signed 10-years agreement with KTZH which allows to face the future with confidence. Even in this year, we are planning to provide 73 thousand tons of rails under the agreement. Now the work is in progress to bring the product for export in neighboring countries. Plant personnel comprises 563 men and upon reaching of full capacity it will be 860” – informed Mr. A.Kuzmin

Let us remember that construction of second branch line between the cities with length of 110 km started in the last year and it is under realization as a part of State of the Nation Address of Head of the State Mr. N.Nazarbayev “Nurly Zhol – Way to the future”. Plant handover is scheduled for 1st of  December in this year.

With support from National Export and Investment Agency KAZNEX INVEST JSC,  Aktobe Rail and Section Works LLP (further – ARBZ LLP) participated in the 21st International Industrial Exhibition Metal-Expo’2015 which was held in Moscow from November 10th to November 13th, 2015.

Every year leading metallurgical companies, pipe and metalware plants, non-ferrous metal processing enterprises, producers of aluminum alloys, rolled products, sections and structures, building companies, engineering companies, oil and gas companies and representatives of many other branches of real sector of economy  take part in exhibition. Three expositions which have been presented are as follows: exhibition of steel products and structures for building industry “MetallStroyForum’2015”, exhibition of equipment and technologies for metallurgy and metalworking “MetallurgMash’2015” and exhibition of forwarding and logistic services for the enterprises of mining and metallurgical industry “MetallTransLogistik’2015”.        

Metal-Expo’2015 is a big open venue for direct negotiations with consumers of ferrous and non-ferrous metallurgy, presentations of steel products and plants of new type as well as discussions of the most pressing problems of industry development, construction industry, power engineering, transportation, tendency of metal market.         

Over 560 companies from 32 world countries participated in this exhibition and demonstrated the whole range of ferrous and non-ferrous products, the most state-of-the-art equipment and technologies for metallurgy, metalworking, steel service centers.   

At the same time more than 12 000 people have been working in Metal-Expo’2015:  3000 stand-attendants and about 25-30 thousand of consumers related to ferrous and non-ferrous metals visited an exhibition.

Aim of participation in exhibition was presentation of innovative technology of ARBZ LLP production output for more wide range of consumers and conducting of business negotiations with people who have interest.  

Exposition stand preparation for ARBZ LLP was arranged by National Export and Investment Agency KAZNEX INVEST JSC.

Within the framework of participation in this exhibition, business and subject negotiations had been held with metal trading companies from the Russian Federation, the Republic of Belarus, Armenia and Kirgizia regarding cooperation and enlargement of commodity turnover in Common Economical and Customs Union.    

Interest to ARBZ LLP products was also expressed by consumers and metal trading companies from such countries as Tajikistan, Uzbekistan, Georgia, Ukraine, Azerbaijan, Estonia, etc.   

Negotiations had been held with representatives of Slovenia, Poland, Tunis and UAE regarding development of export outside of the Commonwealth of Independent States of ARBZ LLP products to be produced in accordance with GOST.

Potential consumers of ARBZ LLP products and also foreign metal trading companies were informed in details about production technology, capacities, advantages of products and negotiations had been held for signing of agreements for ARBZ LLP products supply.

Testing laboratory has been put into operation in Aktobe which will become the first certification center in Kazakhstan in terms of carrying out acceptance tests of rails and sections, reported BNews.kz. 

It became possible after receiving the appropriate certification in the National Center for Expertise and Certification. The laboratory is part of the construction project of Aktobe Rail and Section Works (ARBZ) financed by Development Bank of Kazakhstan JSC (subsidiary of National Managing Holding Bayterek JSC, hereinafter referred to as Bank, DBK).

Startup of ARBZ is planned until the end of the current year.

On the basis of testing laboratory the integrated quality check of products manufactured by plant will be carried out according to 16 key parameters as follows: yield, strength, chemical composition, hardness, length, viscosity, etc. An automated equipment produced in Europe allows to make difficult metallographic, macrostructural and physical and mechanical analyses of materials. In the long term the laboratory will certify not only production of Rail and Section Works but also other producers of steel products.          

“Our laboratory will carry out acceptance tests of products according to technical regulations of the Customs Union. Laboratory analyses of hardness, impact strength and endurance of rails and sections are primarily focused on ensuring the maximum operational safety as the plant products are aimed to be used for the housing construction and railway for passenger traffics. The laboratory personnel, who was trained in the research centers of Russia and Italy, carries out first physical and mechanical and chemical tests of materials and performs sampling operations”, – noted the Chief of Central Plant Laboratory of Aktobe Rail and Section Plant LLP Mr.Bekali Turabekov.

After achievement by the plant of full design capacity 93 constant workplaces will be created on the basis of laboratory.   

It is worth to mention that commissioning of ARBZ is planned in December, 2015. The total cost of the project related to construction of ARBZ is 412,6 million dollars, over 60% of necessary financing is provided from DBK for up to 10 years. At the present moment the plant is in commissioning stage. The rolling mill of the plant will annually produce 430 000 tons of rolled product, including 200 000 tons of heat strengthened long (120 m) rails for high-speed trunks, 230 000 tons – sections for building industry. 

In virtue of the Program for Industrial Development developed in accordance with the Concept of Industrial and Innovative Development for 2015-2019 (the second five-year industrial plan), the state and large business in common will be able to elaborate right investment decisions. Private projects will be carried out in the meantime in most favorable conditions and at the same time there will be an opportunity to develop resource and social infrastructure. The Program for Industrial Development comprises of all projects significant for national economy having high extent of elaboration and conforming to certain criteria. On a related note it is currently included only one project from Aktobe in the republican Industrialization Program  – construction of Rail and Section Works (ARBZ). 

Rails of own production

It can be boldly to call ARBZ as the largest innovative enterprise constructed within the Program for Industrial Development. The plant of strategic importance for our republic was presented to the Country’s President during a nationwide teleconference bridge last year.

NC Kazakhstan Temir Zholy JSC initiated the project of 76,6 billion tenge cost. 70 percent of a loan in terms of its realization was granted by Development Bank of Kazakhstan. ARBZ was awarded with Altyn Sapa, the special prize of the Head of State, as the Best Industrial Project of 2014 Year.

According to Mr.Marat Ibragimov, ARBZ LLP Process and Quality Director, an unicity of this production involves an application of the most high technologies at hardening process of end products that allows to adapt them for any steel grades. It increases the quality of domestic rail not only several-fold but also results in compliance to all international safety requirements of train traffic.

Thus, owing to implementation of the nationwide project, market condition is cardinally being changed due to rail production. The plant will produce up to 430 thousand tons of high-quality rolled products per year including 200 thousand tons of 120-meter-long rails for high-speed rail networks and also up to 230 thousand tons of sections. ARBZ concluded with NC KTZh JSC, for 10 years, the long-term Contract for supply of rails to the extent of 100 thousand tons.

Floatation agent for AMK (Aktobe Copper Company) 

On August 26 in Akkuduk rural settlement of Khromtau subdistrict, the Akim of Aktobe region Mr.Archimed Mukhambetov took part in presentation of commissioning activities of 1^st stage plant on annual production of 25 thousand tons of quicklime. Igdanit LLP took the lead in realization of such investment project previously included in the regional Program for Industrial Development.

As a raw material, it uses limestone of Terensay own field. Production of plant will be used as a floatation reagent at enrichment of copper ores as well as in construction industry. Project cost – 660 million tenge. This year it is planned to produce 12 thousand tons of products amounting to 222 million tenge.   

– The Project is realized within the Import Substitution Program and development of local content – the Head of Region focused attention of media representatives in his statement.

It is supposed that Aktobe Copper Company LLP (AMK) will become the main consumer of products. The memorandum amounting to 1 billion 440 million tenge for a period of five years between Igdanit LLP and AMK is already signed. Agreements and contracts with all suppliers of the equipment are also concluded.

The social effect is obvious: for being moment 60 people are working at the plant. When the enterprise comes to full capacity, 180 workers will be already occupied here.

Within the Business Road Map – 2020 state program, Limited Liability Partnership received the government support in the form of subsidizing of a credit rate at 6,5 interest and construction of infrastructure for the total amount of 379,4 million tenge. At the expense of the State, 1,6 kilometers of power supply lines, 2,4 kilometers of highway and 18 kilometers of gas pipeline are supplied.

In 2017, it is planned to start the second stage of the plant with capacity of 25 thousand tons of production per year and in 2019  – a third one with capacity of 30 thousand tons of quicklime. On the whole, the total capacity of the Lime Plant will come up to 80 thousand tons of products per year.

Yurt in 3D format

In the first half of year the two more projects had been realized – Novo Aldzhansky Flour Mill LLP and Production and Industrial Complex Plant for manufacturing of fastening parts, plastic and         – Caspy Plus LLP.

Output capacity of factory is 12 thousand tons of macaroni products per year. During construction stage, 100 people had been working here and 80 people after start-up. Investments to the amount of 500 million tenge were injected into refurbishment of production complex, completion of finishing works and erection of equipment produced by Italian company PAVAN.   

Production and Industrial Complex Plant Caspy Plus LLP will annually produce 200 thousand pieces of fastening parts, 100 thousand pieces of plastic and 500 thousand units of metal products.

70 people had been involved into construction of production facility, 50 people had been invited for full-time job. Amount of investments comprised 500 million tenge.

Until recently the team of small-scale but closely creative LLP has leased a piece of land in the territory of industrial area. Now it has own two hectares of land.

Caspy Plus gained the character of creative company after participation in regional contest and trade fair “The Best Product of Kazakhstan”. LLP is specialized in production of anchor fasteners and metal working however its Director, Mr.Zhandos Pangereyev did not want to rudely and prosily exhibit the products – fastener parts, metal structures, steel welded mesh for fixation and reinforced concrete structures. That is why he decided to construct yurt using all these materials.     

The most unusual exhibit has stolen the show because from the distance the yurt looked like gold. However, precious metal is nothing comparing with value of idea: the yurt was fabricated according to innovation technology. In such unusual manner, the creative team demonstrated capabilities of 3D machine and own potential.          

Technical assignment for 3D machine had been preparing by Ms.Olga Genrikh, Technical Director. According to her story, specialists had been using the parts of distributed loads as follows – light arch support, distance plates and connecting rods namely all fastening parts which are installed in mine openings.     

Integrated homebuilding factory, balls and processing

In the second half of the year it is planned to realize five projects. Investment amount will comprise 11 258 million tenge and 552 persons will obtain employment.

The first project is construction of integrated homebuilding factory by Ui Kurylys Kombinaty LLP with capacity of 50 thousand m2 of housings per year. There will be no problems with selling market: the project is being realized under government program ”Development of regions up to 2020”.  

The second project is Grinding Ball Production Shop by EnergoAlyans LLP (EvrazMetal Company LLP) with capacity of 3 thousand tons per year. Process equipment which was made in Russia and Belarus is delivered and commissioning activities are in progress. Constrction of auxiliary facilities is completed. Civil and erection works are completed by 95% in total. Letter of Intent for supply of products from Aktobe Copper Company LLP had been signed.  

KazInRuss Trading LLP is constructing small tonnage oil refinery at Temir railway station with capacity of 111,6 thousand tons per year.

Not only industrial projects are realized under the Program for Industrial Development. In particular, agricultural sector has become active. Thus, Ice Plus LLP is fulfilling modernization of own production facalities in order to produce 12 thousand tons of dairy products every year. While Molochnye Istorii LLP is constructing the meat-processing factory with annual capacity of 7,2 thousand tons of meat products.      

– All these projects are characterized with high level of preparedness and conforming to fourteen top-priority sectors of the State Program of Industrial and Innovative Development No.2. All of them are coordinated with central bodies and Ministries, –  as said Mr.Rakhimzhan Nizamutdinov, Deputy Head of Department of Industrial and Innovative Development in Aktobe region.

For more detailed informing related to activity, process, products and production capacities of Aktobe Rail and Section Works LLP (further – ARBZ LLP), conclusion of long-term contracts for supply of rolled stock for 2015-2016 as well evaluation of specific amount of metal in Aktobe city and Aktobe region; On January 27^th, 2015 with the assistance Chamber of Entrepreneurs of  Aktobe region it was arranged a meeting with the metal trading companies, the enterprises involved in metal working and producing of steel structures.  

The following companies were invited to the meeting:

• Stalnoy dvor-Zapad LLP (Steel yard – West);
• Branch of KazPromKomplex LLP in Aktobe;
• Aktobyubinskiy zavod metallokonstruktsiy LLP;
• Construction and Procurement Company LIDER LLP;
• Callisto West LLP;
• Metallserviz KZ LLP;
• Aktobyubinskie metallokonstruktsii LLP;
• AktobeStroyKonstruktsiya LLP;
• Gigatek LLP;
• TradeInterCom LLP;
• Nectar, production company;
• Golubnichiy A.A. individual entrepreneur;
• AEMK-Zharyk LLP;
• Aktobegrazhdanproyekt, production company;
• Imstalkon-Aktobe LLP, erection company.

Invited companies had been presented with information related to history of plant construction, priority of the project, uniqueness of rail production process, hardening system, achievements, the production program, products mix, dynamics of visible consumption growth of rails and medium sections in the Republic of Kazakhstan, growth of GDP and national economy, etc.

It is worth to note that within the meeting information had been obtained from participating companies with regard to demand for metal stock.

The meeting was fruitful both for ARBZ LLP and the participating companies.