Safe storage of chemicals "Nairit" plant will cost the Government $156 thousand

ArmInfo. For the safe storage  of chemical materials and devices in "Nairit", the Armenian  government will allocate 76 million AMD (about $156 thousand.). The  corresponding decree was approved at the Cabinet meeting on 23  February.

According to the Minister of Emergency Situations David Tonoyan, the  allocated amount will ensure safe operation of the enterprise during  4 months, involving 121 employees.

To note, the Court of Yerevan General Jurisdiction of Shengavit  administrative district at the end of November 2016 satisfied the  claim of the company and admitted the factory "Nairit" to be a  bankrupt. Plant employees accused the government of disrupting the  earlier announced tender to attract private investors to restart the  plant by Energy Ministry. Previously, its interest in restarting the  company declared the labor collective of the plant, and the Slovak  holding EU-ASIA Business Finance Centre. On February 14, the Yerevan  court of general jurisdiction of Shengavit administrative district,  on 14 February 2017, the first meeting on the case of recognition of  the factory "Nairit" bankrupt took place. During the meeting, the  council was elected, which should work with the managing bankruptcy.  "At the factory "Nairit" dismantle the storage equipment. After  dismantling will be impossible to attract investors", said the former  director of the company Karen Israelyan.at the meeting.  

The "Nairit" factory completely stopped working in 2014. Total debts  of the enterprise are close to the mark of 50 billion AMD (about $  130 million). By the end of the 80s the plant production occupied  10-12% of the global synthetic rubber market. In 2015, with the  assistance of specialist companies Jacobs Consultancy WB commissioned  by the government of Armenia held a financial and technical audit of  the factory "Nairit".

According to World Bank estimates, the restart of "Nairit" was  inappropriate, since it requires a minimum of $250 million of  Investments. But in case of investors appear, the WB experts doubt  that the plant's production will be competitive and the will find a  buyer. WB Auditors came to the conclusion that in the conditions of  the manufacturing process based on a butadiene and acetylene, the  production of "Nairit" will have a fairly high cost, including due to  a significant deterioration of a large part of the fixed assets of  the enterprise. Most experts believe that the results of the World  Bank's audit had to be regarded as a recommendation to the plant  bankruptcy process, which, in fact, happened.