ArmenPress
July 19 2004

ACHENBACH AND ARMENAL TO SIGN MODERNIZATION AGREEMENT IN AUTUMN

YEREVAN, JULY 19, ARMENPRESS: A spokesman for Armenal aluminum
foil factory in Yerevan told Armenpress that a German Achenbach that
has won a tender to modernize Armenal is expected to sign an
agreement in autumn with Rusal aluminum company, that owns all shares
in Armenal, to carry out the factory’s modernization program, aimed
at the creation of full-cycle production and quality improvements.
The spokesman said the program is likely to cost $40 million. He said
it also calls for the installation of modern equipment. The
modernization is expected to increase the profitability rate by 1.5
times.
Armenal was founded in 2000 on the site of the Kanaker aluminum
factory as a joint venture between RusAl and the Armenian government.
Since 2003, the factory has been owned by RusAl. The modernized
factory will produce 25,000 tons of aluminum foil against 10,500 of
2003.
Achenbach is one of the world leaders in production of foil and
non-ferrous metallurgy equipment. Since 1888 the company has provided
services in the area of production and installation of equipment for
aluminum, copper and zinc processing.
RusAl, created by Sibneft stockholders and entrepreneur Oleg
Deripaska, is the source of 75% of Russian and 10% of world supplies
of first-stage aluminum.