Chinese banks allocate $1 bln for 1st stage of $12 bln PETF plant

NALCHIK, Jan 30 (PRIME) -- Chinese banks have allocated U.S. $1 billion for construction of the first stage of a $12 billion Etana polyethylene terephthalate (PETF) plant located in Russia’s republic of Kabardino-Balkaria, the region’s Head Yury Kokov said on Tuesday at a meeting with representatives of the inter-regional council of the United Russia ruling party.

“Yesterday, Chinese banks made a final decision, they will finance the first billion of U.S. dollars through our VEB (Vnesheconombank), and we are to start construction of the first cluster of Etana this year. It will be built in two years,” he said, adding that the cluster will comprise five facilities.

“It will produce containers from polymer materials, and bottled water and send it to China and other states as well. By 2030, the plant will have created about 25,000 jobs,” he said.

In January 2016, China Petroleum Technology and Development Corporation (CPTDC) and China Kunlun Contracting and Engineering Corporation (ÑÊÑÅÑ) signed a preliminary contract with the republic to build a PETF plant. The facility will be constructed in three stages with a combined annual production capacity of 1.5 million tonnes.

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