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News


03.10.2016

HMS Group signed a special investment contract in partnership with Ministry of Industry and Trade of the Russian Federation and Governmental authorities of Orel region

On September 30, 2016, as part of the XVth International Investment Forum «Sochi-2016» the Ministry of Industry and Trade of the Russian Federation in the person of the Minister Manturov D.V., the Governmental authorities of Orel region in the person of the Administration Chairman Potomskiy V.V and the Joint Stock Company «HMS Livgidromash» in the person of the Corporate President of the JSC «HMS Group» Molchanov A.V. signed the special investment contract (SPIC) which makes provisions for a set of measures for state support during implementation of a project «Industrial production of pumps for oil refining (including Apollo pumps as per API standards), and the pumps of high power capacity for transporting oil and petroleum products». The signing ceremony was assisted by the Prime Minister of the Russian Federation Mr. Medvedev D.A. 

The signing of the said Special Investment Contract is directed to successful implementation of the second phase of the Industrial Localization Project for production of hi-tech pump equipment with the result that in the territory of the JSC «HMS Livgidromash» the new production complex will be build up and the modern network of machine processing & machine-assembling equipment for manufacture of main subassembly units and final assembly of high-efficiency pumps will be created. The amount of investments to be raised during implementation of the SPIC project (6 years) will amount to 1 236 millions of roubles, provided the sum of 500 millions of roubles will be advanced in terms of the loan issued by Fund of Industry Development (FRP). The cost of investment project will account for 2 600 millions of roubles in total. 

Acted as an anchor customer who initiated the localization project in Russia in strict compliance with API standards and supported the equipment production scheme of HMS Group was the Public Joint-Stock Company "Gasprom Neft", which was among the first oil companies to develop its own program of import substitution of principal processing equipment. 

Implementation of the project undertaken by the HMS Group will allow to reduce dependence on import deliveries and to meet the basic requirements of oil-and-gas industry, thermal and nuclear power systems and major pumping stations as to the hi-tech pump equipment of Russian production, to create new places in the territory of Orel region, to increase tax revenues and to promote economic development in the region.