17 April 2013 Promotion of Enterprise

Capacity of Nikolaev Seaport Nika-Tera To Be Raised Five-Fold 

Until the end of 2013 specialized sea port Nika-Tera, part of Group DF, to complete the construction of a grain silo-type elevator with a capacity of 170 thousand tons. This was stated by the Chairman of the Nika-Tera LLC Alexander Hydu.
 
“By the end of the year we plan to put the project into operation. According to the approved business plan, in 2013 the investment in this project will amount to about UAH124 million”, - said Alexander Hydu.
 
While making a visit to Nika-Tera Seaport in Nikolaev in 2012, the Chairman of the Group DF Supervisory Council Dmitry Firtash said that upon port reconstruction completion, it would rank among the country’s three major ports along with Odessa and Yuzhny.
 
“All Nikolaev ports could have collectively process up to 50 million tons of freight in a year while today they only reload 18 million tons. Nika-Tera alone could achieve an annual 20-million-ton level”, - said Dmitry Firtash in April 2012.
 
Due to the construction of grain silos, grain storage capacity of the company will be raised more than five-fold - from the current 40 thousand tons to 210 thousand tons. This will increase fright turnover of the grain complex to 6 million tons per year.
 
“The third stage construction of the grain terminal is an important step in creating a complex for transshipment and storage of crops. As a result, it will allow us to become one of the largest companies in the grain-handling market by the end of 2013”, - said Alexander Hydu.
 
The port capacity increasing corresponds to the OSTCHEM marketing strategy aimed at a comprehensive customer service. The increased company’s capacity opens new opportunities for buyers of fertilizers produced by the enterprises of the holding, while large agricultural farms receive additional benefits for grain handling and export.
 
“Our first step was to create UkrAgro NPK network-based “specialized” supermarkets for farmers, where we sell fertilizers, plant protection products, fuels and lubricants, as well as provide services for fertilization. Now, thanks to increased port capacity we can help farmers to sell grain abroad”, - said OSTCHEM Director for marketing and strategic planning Maria Bezzubova. 

She also added that own port and a network of warehouses create a significant market advantage for Ukrainian producers of fertilizers within the OSTCHEM. “They get a reliable supply chain that reduces the risks of doing agricultural business and ultimately helps to increase farmers’ sales”, - said Maria Bezzubova.
 

NOTE

Nika-Tera LLC is a modern highly mechanized port, part of the OSTCHEM holding, which includes nitrogen chemistry companies of Group DF. Nika-Tera seaport has 3 complexes, the so-called “cargo areas”, specialized in handling such types of goods as grain, fertilizers and other bulk cargo.
 
The port is located on the left bank of the Bug estuary 34 miles from the sea, the area is bordered to the Zhovtnevaya train station. The port has 7 berths with a length of over 1,300 l. m., 5 of which are exploited for commercial purposes. The company was founded in 1995 as a port terminal for potash fertilizers. The original name of the port is JSC “Nikolaevsky kaliyny terminal” (Nikolaev potash terminal).