Project number:


Business sector:

Manufacturing and Services

Notice type:


Environmental category:


Approval date:

09 Dec 2003



PSD disclosed:

02 Sep 2003

Project Description

The proposed project consists of a corporate loan to OAO Uralkaly, a potassium salt producer located in the city of Berezniki, Perm Region, in the Urals. The loan would be disbursed against equipment modernisation, purchase of rolling stock and construction of own power plant.

Transition Impact

The transition impact potential of this project is primarily related to setting standards for corporate governance and good business conduct. Uralkaly may provide a good example of the practical implementation of the Corporate Governance Code. It has demonstrated transparent organisational structure, financial soundness, and dedication to further developing and maintaining corporate ethics. Transition impact will also come from improvements in energy efficiency and environmental compliance.

The Client

Open joint stock company Uralkaly is Russia's largest potassium salt (fertiliser) producer (4.03 million tons in 2002). It contributes to 11.3% of the world's potash production. Uralkaly's other products are magnesium sulphate (karnalite) and table salt. More than 85% of the Company's output is exported.

EBRD Finance

A 7-year senior corporate loan in an amount of up to $75 million. The Bank aims to syndicate up to $48 million to commercial banks.

Project Cost

$75 million (€ 67 million).

Environmental Impact

The project was screened B/1. It was preceded by an eco-efficiency audit, which revealed energy efficiency enhancement opportunities. Further environmental due diligence will determine the extent of environmental, health and safety risks and agree on a mitigation programme to bring the operation in line with good industry practice.

Technical Cooperation

Uralkaly has benefited from environmental and energy efficiency audit financed by the Dutch Government.

Company Contact

Website: www.uralkaly.ru

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

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