Wednesday, August 23, 2017

Titanium Valley construction will receive funding via share buy-out

The Titanium Valley, a special economic zone in Yekaterinburg, will receive funding when the shares of the project's management company are bought out, according to the Sverdlovsk regional governor's office.

The Federal Financial Markets Service registered a decision on Wednesday to continue with an added $9.42 million issue of shares of the Titanium Valley Special Economic Zone. The Sverdlovsk regional government will purchase the shares, Ural Business Consulting reports.

After the share purchase, the management company for the economic zone will get the money and the construction for new infrastructure facilities can begin.

In July, two new potential residents of Titanium Valley were approved by the Economic Development Ministry's Expert Council of Russia. The Ural Optical Plant planned to set up a $14.67 million optical cable production plant, while Stroydiesel Composite plans to produce nano-structured composite fiberglass pipes that would require a $54.56 million investment, according to Ural Business Consulting.

"All the projects in the first section of the special economic zone in the Mid-Urals have been nearly completed by now," Artemy Kyzlasov, the director general of the Titanium Valley Special Economic Zone, said, according to Ural Business Consulting. "Out of 72 hectares of land, only 10 are available now."

The center of the special economic zone will be VSMPO-Avisma, a titanium alloy producer that plans to invest $150 million into the project, the Voice of Russia reports.