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A year ago, on July 15th, 2019, "Agro Gas Trading" company started its cooperation with Odessa Port Plant, having signed an agreement for the processing of supplier raw materials. Thanks to this agreement, the Odessa Port Plant, which had been idle for over 18 months, returned its leading position in the Ukrainian chemical industry market and was able to win back the customer confidence in foreign markets, from the EU and North America to Southeast Asia, the Middle East and Africa. Therefore, by results of January-May 2020, the OPP shipped for export some record-breaking amounts of chemical products, as for the past five years - 1.2 million tons of ammonia and 402.4 thousand tons of carbamide.

Restoring OPP's operation enabled to improve the socio-economic indicators in the city of Yuzhny in particular and in Odesa region in general. Creating jobs again, timely payment of salaries and gradual increase thereof made it possible to combat the trend when qualified chemical engineers leave Ukraine en masse and move to neighboring countries and beyond. The previously created margin of financial stamina gave the OPP a chance to increase the salaries for employees of the enterprise by an average of 10% from April 1st, 2020, during the period of severe restrictive measures that the country introduced due to the coronavirus pandemic. In addition, the mechanism of cooperation between OPP and AGT provided for by the tolling agreement became a prerequisite for launching the process of repaying debts by the plant to Naftogaz Group.

"We and the OPP have come a long way. Together, we have done a lot to return the leading position in the market to the OPP. I am grateful to everyone who walked along this path with us, contributing to the restoration of the industrial potential of our country. However, AGT does not intend to stop there. We aim to continue cooperation with the OPP on improved conditions, favorable for the plant, which will strengthen the leadership of the OPP in the industry and become a driver for the growth of industry and related sectors of the economy in Odesa region," said Alexander Gorbunenko, managing partner at AGT.

Agro Gas Trading has submitted documents for the new tender for the selection of a supplier of tolling raw materials, which will take place at the end of July 2020. The format of cooperation proposed by AGT that includes a 10-month contract for the processing of supplier raw materials will provide a long-term planning horizon for the plant and simplify the achievement of production and financial performance indicators. It will also contribute to achieving the social policy goals.

"The year of our cooperation with the OPP turned out to be extremely intense, but no less productive. Seeing the potential of Odesa Port Plant and comprehensively analyzing the market, we found it necessary to increase cooperation in the interests of all stakeholders, and the national economy, too. Earlier, AGT has already announced that it intends to consider the issue of participating in the privatization of the OPP, and we do not intend to give up on our words," said Vladimir Kolot, partner of AGT.


15 July, 2020