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The CIECH Group will take advantage of the favourable situation in the soda market and will increase the efficiency of production in the soda business

In accordance with the provisions of the Group's strategy for 2019-2021, CIECH has started several initiatives aimed at increasing the efficiency of production in the soda business. This is the core business of the Group in terms of its contribution to revenues and EBITDA. Thanks to the investment which is just starting in the plant in Inowrocław, worth approximately PLN 40 million, the production capacity of the plant will increase by 50,000 tonnes of soda ash per year. At the same time, preparatory works for the implementation of strategic energy modernisation projects are underway at the soda plants in Inowrocław and Janikowo, the aim of which is to increase the efficiency of the local heat and power plants using gas as additional fuel, and their comprehensive modernisation. The result will be greater efficiency and liquidity in soda production, as well as optimisation of the Group’s exposure to CO2 emissions in the coming years.

The investment in increasing the production capacity of soda ash is a project consisting of the construction of a solution for bicarbonate dissolution after filtration, a new carbonation column and a belt filter, and then integrating the whole installation into the existing line for the production of soda ash.  The effect of the investment will not only be an increase of the capacity of the plant in Inowrocław by 50,000 tonnes of soda ash per year, but also reduction of the cost of production of baking soda, a high-margin product targeted at a many segments of the market.  The value of the entire investment is approx. PLN 40 million, and its completion date is the fourth quarter of 2020.

“According to independent research centres, the global soda market is growing at a rate of 2 per cent annually, and even faster in our region thanks to investments of glass producers. The integration of production and market prospects is a key argument for investment decisions for us, which is why we have decided to increase the efficiency and flexibility of our plant in Inowrocław. Thanks to the application of modern solutions in production centres, we will achieve the most effective way of managing the production of soda ash while maintaining high production capacity of baking soda.  The expected return on this investment measured by the IRR indicator is over15%,” says Mirosław Skowron, Member of the Management Board of CIECH S.A.

In addition to soda ash, plants in Inowrocław currently produce approx. 90 thousand tonnes of sodium bicarbonate a year.  In June, CIECH started to produce baking soda from a new production line at the German factory in Stassfurt.  Thanks to the investment worth PLN 100 million, the production capacity of this plant in the sodium bicarbonate segment will increase to 110,000 tonnes per year, and the Group’s product portfolio has expanded to include the most advanced and specialised sodium bicarbonate variety used in the pharmaceutical industry.

The plants in Inowrocław and Janikowo (CIECH Soda Polska) are conducting preparatory work for the implementation of projects aimed at increasing the production efficiency through modernisation in the area of energy.  Both plants have combined heat and power plants producing mainly process steam characterised by appropriate parameters, necessary in the soda production process.  The projects assume both the construction of additional energy sources based on natural gas (including a boiler and a low-power gas turbine), as well as the reconstruction of the existing equipment and installations.  According to the current assumptions, energy projects with a total value of approximately PLN 250-300 million will be implemented over the next three years and will contribute to increasing the efficiency of soda production.

“We have performed huge analytical work, inviting external experts from the power sector and scientists to co-operate We have researched the future demand for process steam to gradually reduce CO2 emissions and reduce the sensitivity to external factors independent of us, such as the prices of raw materials. We have created a comprehensive set of recommendations and a detailed investment plan which will also provide for increased soda production due to greater fluidity of operation and higher efficiency of power installations” - says Mirosław Skowron.

Another element affecting the increase in soda production efficiency is to automate this process by introducing solutions from the Industry 4.0 area, mainly reducing the failure frequency of the equipment used in the production process and using IT solutions to determine optimal production levels or real-time scenario analysis.  The project of digitising the production process is to complete in 2019.

Kontakt:
Mirosław Kuk, Rzecznik Prasowy Grupy CIECH
miroslaw.kuk@ciechgroup.com, tel. +48 723 66 86 86.

CIECH to międzynarodowa, rozwijająca się grupa chemiczna z silną pozycją na rynkach europejskich i globalnych oraz ze stabilnym inwestorem strategicznym (Kulczyk Investments). Firma eksportuje swoje produkty do ponad 100 krajów całego świata, m.in. sodę kalcynowaną, sodę oczyszczoną, sól, środki ochrony roślin, żywice epoksydowe i poliestrowe, pianki poliuretanowe oraz krzemiany i opakowania szklane. CIECH wytwarza produkty o najwyższej, światowej jakości, z których powstają artykuły niezbędne w codziennym życiu ludzi na całym świecie. Łączy przy tym nowoczesne podejście do biznesu z tradycją produkcji sięgającą 1882 roku. Od 2005 roku spółka notowana jest na Giełdzie Papierów Wartościowych w Warszawie oraz, od 2016 roku, na jednej z największych giełd w Europie - Börse Frankfurt. Więcej informacji znajduje się na stronie www.ciechgroup.com.

CIECH Soda Polska jest jedynym w Polsce, a drugim w Europie, producentem sody kalcynowanej ciężkiej i lekkiej. Produkuje także sól warzoną suchą i mokrą. Na rodzinnym rynku firma jest największym wytwórcą tego asortymentu i właścicielem znanej marki konsumenckiej: Sól Kujawska. W portfolio spółki znajdują się także inne wyroby chemiczne – soda oczyszczona, chlorek wapnia, hopkalit, mieszanki solne, peklosól oraz tabletki solne. CIECH Soda Polska jest jednym z największych i najważniejszych przedsiębiorstw w województwie kujawsko-pomorskim zatrudniającym ponad 1000 pracowników. Spółka bezpośrednio wpływa na kondycję ponad 230 różnych firm lokalnych, przez co ma kluczowe znaczenie dla lokalnej gospodarki.

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