NEFCO and the public joint-stock company Dneprotiazhmash have signed a loan agreement aimed at upgrading the manufacturing process at the company’s factory in Dnipropetrovsk in Eastern Ukraine. JSC Dneprotiazhmash produces different types of machinery and equipment primarily for the ore mining and processing industry.
The company currently has nearly 3,500 employees. The project at hand envisages the installation of new gas burners as well as a centrifugal compressor and a scroll compressor equipped with a frequency converter. Moreover, the investment will enable the company to reconstruct its heat treating furnace.
All these measures will help JSC Dneprotiazhmash to reduce its energy consumption significantly. For example, the company’s gas consumption is expected to drop by around 237,000 cubic metres annually and electricity consumption will be reduced by approximately 3,783 megawatt hours per year. This in turn will generate favourable environmental results in the form of reduced emissions of carbon dioxide by around 3,478 tonnes annually.
“This project is very cost efficient considering the overall investment and the environmental benefits achieved,” says NEFCO’s Technical Adviser Andriy Katashov in Kiev.
NEFCO will provide a loan from its Facility for Cleaner Production for financing the investment. The Facility was established in 1997 to promote technological investments in industrial projects in order to curb the emission of harmful substances into the environment. The facility can finance up to EUR 500,000 or 90 per cent of the investment cost for such projects in the form of loans at favourable conditions. Since 2014 the Facility has also been able to finance investments in renewable energy.