Page 207 - RusRPTMay21

Start-up is expected in 2021, with the ramp-up to full capacity 12-18 months after the launch. Total capex is estimated at USD 1.6bn.
The company supports the EU trend on decorbanisation, but urged EU institutes to calculate the expected gains and losses for industries that require aluminium, if a carbon border tax is imposed.
UC Rusal expects to cut emissions of benzopyrene at Krasnoyarsk Aluminium Smelter (KRAZ) some 60% in the coming years in order to reduce air pollution.
Rusal will invest cRb0.4tn ($5bn) into environmental modernization. Interfax reported, citing the head of Russia’s Ministry of Industry and Trade Denis Manturov. UC Rusal's investments in the environmental modernization of plants in Siberia will amount to Rb385bn (c$5bn) by 2027. The company plans to modernize four plants, thus reducing emissions into the atmosphere and reducing electricity consumption, said the company's CEO Yevgeny Nikitin. As part of the project, UC Rusal is upgrading facilities that produce more than 1.4mt of aluminum (35% of Rusal's total output). The volume of production will not change in the end, but electricity consumption will decrease by 16.5%, fluoride emissions by 73%, and benzapyrene by 100%.
Rusal will begin modernizing its Bratsk aluminum plant in 2023. Interfax reported, citing Bratsk City Hall. The company will substitute old buildings with new efficient electrolysers at Bratsk Aluminum Smelter (Rusal Bratsk) as part of its modernization program in Siberia. The new buildings will produce c535kt of aluminum, though total aluminum production will remain at the same level of c1mt. The project’s CapEx is $1.4bn and will take 10 years, albeit the major part of investments will be made in 2022-27. Afterwards the plant’s electricity consumption will be reduced by c18%, and emission of fluoride compounds will fall 10 times.
9.2.12 Transport corporate news
Globaltrans’s 2H20 IFRS numbers were solid.
· Globaltrans’s 2H20 IFRS numbers were solid. While they beat the consensus*, this was mostly due to the RUB 1bn of non-recurring other income. Adjusted for this, the numbers were broadly in line.
· Financials. As the gondola crisis gained momentum in 2H20, adj. revenues fell 24% YoY to RUB 26bn (-10% HoH). EBITDA declined 37% YoY to RUB 12bn (-17% HoH) due to the 33% YoY (-17% HoH) drop in the company's gondola rates. However, we note that the industry's rates suffered a sharper fall, of -39% YoY (-26% HoH), suggesting the efforts of Globaltrans management to mitigate this challenging period had some impact.
207 RUSSIA Country Report May 2021 www.intellinews.com