Sibur, the largest integrated petrochemicals company in Russia and one of the fastest-growing companies in the global petrochemical industry, announced that the company posted a revenue of RUB 523 bn, EBITDA of RUB 179 bn and an adjusted profit net of FX of RUB 93 bn for the full year ended 31 December 2020.

During the year, ZapSibNeftekhim  petchem complex at Tobolsk, western Siberia,  reached its full design capacity. The average utilisation rate of ZapSibNeftekhim in 2020 was 82%. Sibur’s  polyethylene sales increased fivefold year-on-year to 1.3 mn tonnes; polypropylene sales increased by 51.7% year-on-year to 1.1 mn tonnes.

The construction has also began on Amur Gas Chemical Complex (Amur GCC) facility with a capacity of 2.7 mln tonnes of polymers per year.  The Amur GCC is expected to establish global environmental and technology benchmarks, including the use of renewable energy sources. A joint venture (JV) was established between Sibut and Sinopec, which hold interests in the JV of 60% and 40%, respectively.

The company also launched a new production of thermoplastic elastomers launched in Voronezh with a total capacity of 50,000 tonnes per year, equivalent to 5% of global TPE production capacity.

During the year, the implementation of the production of green PET granules at POLIEF has begun. The project will use ~30,000 tonnes of PET-flex annually.

Meanwhile, the construction of a halo butyl production facility was completed in Jamnagar, India, and the first batch of product is expected soon. Sibur has a JV with Reliance Industries Ltd, for the production of butyl and halobutyl rubber in Jamnagar.

The butyl rubber production accounts for 20% of global butyl rubber output. The facility reached 100% capacity utilisation and produced over 60,000 tonnes in 2020.

The market share of butyl rubber produced at the new facility accounts for 70% of the Indian market and is exported to China, South Korea, Vietnam, Sri Lanka, Indonesia, Europe, USA, Brazil and other countries.

Dmitry Konov, Chairman of the Management Board of Sibur Holding, said: “In 2020, SIBUR delivered an increase in key financial and operating results and maintained high margins despite a challenging macroeconomic environment. This was possible above all due to the launch of ZapSibNeftekhim and cost optimisation measures.

“Despite partial optimisation of our investment programme, we maintained our focus on expanding our petrochemical business and continued implementing our key projects. We made the final investment decision on our next key growth project – the Amur Gas Chemical Complex – and started the construction.

“The pandemic and the instability it caused confirmed our conviction that the Company’s future growth should be based on sustainable development principles and the circular economy. In 2020, we continued implementation of our Sustainable Development Strategy according to the plan. Throughout the year, the health and safety of our employees remained our highest priority. We invested over RUB 2.9 billion during the year to mitigate risks associated with the pandemic.

“Our POLIEF enterprise launched a project for PET production with the addition of up to 25% of secondary raw materials. At our Novokuibyshevsk and Tver facilities, we increased the use of green energy produced from renewable energy sources. We also have an extensive R&D programme that works alongside leading industry experts – both Russian and international – to implement green technologies and create new circular-economy products.”