Lukoil is Considering Building a Complex in Burgas for nearly EUR 1 Billion

Business | June 1, 2018, Friday // 13:24
Bulgaria: Lukoil is Considering Building a Complex in Burgas for nearly EUR 1 Billion

Lukoil plans to build a complex for the production of polypropylene on the territory of "Neftochim" in Burgas, Vagit Alekperov, president and co-owner of the Russian company, told the RNB business magazine, calling the facility "a small petrochemical complex" and "modernization of the old production" without specifying the amount of the investment.

But Evgeniy Dishluk, an analyst at Gazprombank, estimates the project at 1 billion euros, and a 3-year term is predicted for its realization.

RBC source from Lukoil explains that the company is currently exploring options for building high-tech capacities to produce at least 150,000 tons of propylene per year. Terms and amounts of funding are still being clarified.

Currently up to 80,000 tons of polypropylene per year is produced in Lukoil Neftochim Bourgas, according to Andrei Kostin, head of the Rupec Information and Analytical Center. The other similar site is Stavrolen in the Stavropol region of Russia with a capacity of 100,000-140,000 tons.

Kostin estimates the volume of 150,000 tonnes as "small" and believes that they can be exported to the EU and Turkey. He also says that the investment  can range from "several tens to hundreds of millions and billions of euros".

Alekperov, who talks with RBK after attending Prime Minister Boyko Borissov's meeting with Russian President Vladimir Putin on May 30, added that Lukoil is not interested in increasing its gas stations in Bulgaria. Currently they are 221.

We need your support so can keep delivering news and information about Bulgaria! Thank you!

Business » Be a reporter: Write and send your article
Tags: Lukoil, Burgas, investment

Bulgaria news (Sofia News Agency - is unique with being a real time news provider in English that informs its readers about the latest Bulgarian news. The editorial staff also publishes a daily online newspaper "Sofia Morning News." (Sofia News Agency - and Sofia Morning News publish the latest economic, political and cultural news that take place in Bulgaria. Foreign media analysis on Bulgaria and World News in Brief are also part of the web site and the online newspaper. News Bulgaria