Roskhleboprodukt, a subsidiary of the Agros holding controlled by the Interros investment holding signed a preliminary agreement with the Ust-Luga company for the construction of a grain terminal at the Ust-Luga seaport. This is according to Valery Izrailit, General Director of the Ust-Luga company.
Mr. Izrailit said that the document had been 'signed several days ago'. Supposedly, Roskhleboproduct shall purchase 74.95% of the stock of the Grain Produce Terminal company, that commissioned the construction of the loading terminal to handle grain, soy, and beans. The annual capacity of the terminal will amount to 2.2 million tonnes and consequently may be increased to 4 million tonnes. Mr. Izrailit would not discuss the worth of the project and timetables. However, he hinted at a required investment of between USD 40 and 50 million, which will also pay for the construction, at the port, of grain processing facilities,
A source close to the leadership of the Interros holding confirmed the intent to build the terminal, which, besides, wheat, is supposed to handle the loading of brewing barley and soy. Possibly, the holding may invest about USD 10 million in the project. Other investors may include foreign companies. Conditions and timetables are being discussed with the administrations of the Leningrad Region and Ust-Luga company.
Preliminarily, the construction may begin in 2003 and be completed in 3 years. A representative of the Interros holding said similar negotiations were underway to build a grain terminal at the seaport at Novorossiisk on the Black Sea. 'The Agros company has enough grain to keep both terminals busy', he said.
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