Russia's Kaliningrad Amber Combine to sell raw material to China - All News - PRIME Business News Agency - All News Politics Economy Business Wire Financial Wire Oil Gas Chemical Industry Power Industry Metals Mining Pulp Paper Agro Commodities Transport Automobile Construction Real Estate Telecommunications Engineering Hi-Tech Consumer Goods Retail Calendar Our Features Interviews Opinions Press Releases

Russia's Kaliningrad Amber Combine to sell raw material to China

KALININGRAD, Dec 6 (PRIME) -- Russias Kaliningrad Amber Combine has signed a three-year contract for direct exports of raw amber to China, the company said in a statement on Tuesday without disclosing its contractor.

Exports under the companys first export contract will be done in December 2016December 2019. Under the agreement, a Chinese company is to create an affiliate for production of at least 50% of raw materials it buys from the company at the companys site in the Kaliningrad Region. The combined amount of exports will not exceed 22% of the Kaliningrad companys annual production capacity.

The company will export quarterly batches of amber at a price calculated on the basis of average prices for the previous quarter at an exchange or at the companys auctions. Every batch will be exported under a prepayment, and the companys total revenue from the contract may reach about 10 billion rubles, the company said.

Kaliningrad Amber Combine, owned by state industrial corporation Rostec, produces about 300 tonnes of raw amber per year at a field near the Yantarny locality, previously known in German as Palmnicken. The fields reserves amount to 116,000 tonnes, or about 90% of the worlds amber reserves.

(63.9242 rubles U.S. $1)

End

06.12.2016 18:56