Construction of KDV 500 catalyst pressure-less depolymerisation (oiling) on industrial waste recycling into diesel fuel within the boundaries of FEZ «Grodnoinvest»

A. Project Opportunity Description:
A1. Project Name:
Construction of KDV 500 catalyst pressure-less depolymerisation (oiling) on industrial waste recycling into diesel fuel within the boundaries of FEZ «Grodnoinvest»
а. Short name:
Construction of KDV 500 catalyst pressure-less depolymerisation (oiling) on industrial waste recycling into diesel fuel within the boundaries of FEZ «Grodnoinvest»
b. Full name:
Construction of KDV 500 catalyst pressure-less depolymerisation (oiling) on industrial waste recycling into diesel fuel within the boundaries of free economic zone «Grodnoinvest» based on the technology of German professor Christian Koch.
c. Summary description:
The purpose of the project is the construction of KDV 500 catalyst pressure-less depolymerisation (oiling) on industrial waste recycling into diesel fuel within the boundaries of free economic zone «Grodnoinvest». KDV 500 catalyst pressure-less depolymerisation (oiling) is indented for processing of different kinds of biological raw materials. Synthetic wastes of all kinds – rubber and tire covers, agricultural and oil production waste, hospital waste and processed technological oils, wax, fats of all kinds, transformer and hydraulic oils and also biologically reproductive materials wood and rape seeds can be processed. Example of a new patent technology is natural processes of oil formation, including heat temperature from 270 до 3500С, catalysts with the change of ions. The use of new crystalline catalysts makes it possible and technologically simplified synthetic production of oil products from waste and reproductive raw materials. During the processing such harmful substances as metals, chlorine, dioxide and furans are surely neutralized by catalysts and prepared for safe utilization. Such a technology is environmentally friendly. Thanks to this technology production of synthetic fuel substitutes production of fuel from the minerals. Received diesel fuel as a final product of such a technology is not worse than diesel fuel at the filling stations.
А2. Progress Status:
Investor is required for financing the project. Business-plan is being elaborated.
А3. Organizations involved and their roles:
FEZ «Grodnoinvest» Administration: 2/1, Dzerzhynsky Str., Grodno, 230023, Republic of Belarus. Sergeichik Semen Antonovich, head of the department of investments and foreign economic activity, tel./fax: (+375-152) 77-11-76, S.V. Tkachenko, Chief of the FEZ «Grodnoinvest» Administration, tel.: (+375-152) 77-11-83; e-mail:, e-mail: , e-mail: ;
А4. Project Description:
Implementation of the project is planned to be conducted by means of the construction of a new plant within the boundaries of free economic zone «Grodnoinvest» and KDV 500 catalyst pressure-less depolymerisation (oiling) on industrial waste recycling into diesel fuel. Production capacity of such a technological line is 500 liters of diesel fuel per hour. Joint or foreign venture is planned to be set up. The final product of hydrocarbon and other raw material processing is environmentally friendly high quality diesel fuel. The consumers of that diesel fuel will be both physical and legal persons of the Russian Federation, Western Europe and also Republic of Belarus.
А4a. Project cost (mln USD):
4.545
A5. Background / history / overall programme / related or similar projects:
Taking into account rising prices on oil, alternative technologies and especially those which stipulate for the processing of synthetic waste, processed oils, wax, reproductive raw materials, e.g. wood or green plant mass, organic raw materials, industrial, food, milk waste it is clear that interest towards production of diesel fuel in Belarus is rising. The final product of that process is high quality diesel fuel instead of oil. Catalysts which conduct such a process are the result of longstanding science research work. Insignificant cost of catalysts, stipulated by a corresponding production technology, makes the real cost of diesel fuel minimal and let produce diesel fuel at reasonable prices. Since Belarus doesn’t have sufficient supplies of own oil and gas and that oil and gas fields are running low, alternative energy and use of industrial waste is becoming very popular in Belarus and Grodno region in particular.
A6. Environmental impact summary:
No harmful emissions to the atmosphere. The production is environmentally friendly. KDV 500 catalyst pressure-less depolymerisation (oiling) on industrial waste recycling into diesel fuel has minimal influence on environment. The control area of such an enterprise must be around 50 meters. Practically all emissions are neutralized because the production process is closed.
A7. Possible obstacles/ problems/ risk assessment:
The biggest risk is significant rise in price of energy resources and transport services.
A8. Term of realization / term of recoupment (years):
5 / 3,5-4
A9. Project’s branch:
Construction
B. Capital Cost Items (additional requirements for project):
B1.Project physical components / B2.Capital cost (mln USD)
Facilities, equipment (Germany), floating assets, construction works: / 4.545
Total: / 4.545
C. Capital Resources Available from Sponsors/ Proposers:
C1. Resources 'in kind', grants, investments, equity / ownership, etc. / C2.Amount (mln USD)
Contribution to the authorized fund: / 0.06
D. Required Financial Assistance:
D1. Financing gaps, type of financial assistance required:
Creation of joint venture, share holding.
D2. Sources of finance / D3.Type of investment / D4.Amount (mln USD)
Foreign investment funds: / Direct foreign / portfolio investments: / 4.485
D5. Financial/ International Institution Name:
E. Demand (users) and revenues:
E1. Type of users/ markets, volumes, pricing, revenues, quantifiable benefits/ savings:
Being a resident of FEZ «Grodnoinvest» such an enterprise will be able to sell its products at the domestic market of Belarus with tax and customs preferences because high quality diesel fuel produced from the industrial waste is import substitution production. Consumers of the final products will be both physical and legal persons of the Russian Federation and Western Europe.
E2. Revenues (Sales) / E3.Amount (mln USD)
Proceeds from the realization of the production (per year): / 1.49
F. Operating and Maintenance Costs:
F1. Cost components, strategies for cost recovery, operating organisations, subsidies, etc.:
The construction of a new plant on processing of industrial waste into diesel fuel on a free land plot with new communications within the boundaries of FEZ «Grodnoinvest». Energy source is available nearby.
F2.Cost Item / F3.Amount (mln USD)
Raw materials, components, spare parts: / 0.57
Fuel and energy for technological purposes: / 0.345
Salary: / 0.065
Other production costs: / 1.14
G. Net Income Value:
G1.Net Income Value / G2.Amount (mln USD)
Net income: / 1.815
H. Project information source:
H1. This form was completed by:
Sergeichik Semen Antonovich
H2. Organisation (address):
FEZ «Grodnoinvest» Administration: 2/1, Dzerzhynsky Str., Grodno, 230023, Republic of Belarus.
H3.Тel/Fax/E-mail:
Tel./fax: (+375-152) 77-11-76; е-mail:
H4. Date:
December, 2007
H5. Supreme Organization:
FEZ «Grodnoinvest» Administration