Severodonetsk Azot acts below its potential
During the eight months period of 2020, Severodonetsk Azot (part of Group DF, Ukraine) produced 500 thousand tons of mineral fertilizers, thereby increasing its output by 1.5 times.
The enterprise has increased the production of ammonium nitrate and carbamide-ammoniac compound by 47.5% to 278.5 thousand tons and by 2.5 times to 23.5 thousand tons, respectively. The output of carbamide amounted to almost 194 thousand tons.
“It seems like the figures show better statistics this year relative to the previous one. However, these results do not reflect the full situation. In 2019, Severodonetsk Azot stopped the bulk of its production capacities. Only in spring 2020, we managed to launch the ammonia production workshop #1-A and restore the full production cycle of the enterprise. Then we were gradually increasing the production of ammonium nitrate and began to produce carbamide. As a result, we reached the current production figures.
At the same time, in summer the enterprise was loaded only by 30%, which means we have growth potential. However, the state decided not to impose restrictions on the import of nitrogen fertilizers to Ukraine, and that decision has practically deprived us of the opportunity to grow,” said Leonid Bugaev, Chairman of the Board at Severodonetsk Azot.
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