The evolution of Russian giant Sibur

This is a period of great changes for Russian chemistry giant Sibur. Reliance Sibur Elastomer, the JV between Sibur and India-based Reliance Industries Limited, announced some days ago it plans to build a plant producing butilic halogenated rubber in its petrochemical site in Jamnagar, India. The new plant will have a maximum output of 120kmT and will start production in 2018. The investment is justified by the healthy momentum in the butilic halogenated rubber market, which will grow with a 8-10% CAGR thanks to the high demand from the tire and pharmaceutical packaging industries. Sibur announced last month a significant change in its body of shareholders, joined by China-based Silk Road Fund, which acquired 10% of the company. The Chinese petrochemical group Sinopec had announced shortly before it had acquired 10% of Silbur’s shares for $1.33bn and had agreed a clause under which it would acquire a further 10% of the Russian company within the following three years. (Source Sibur & Reuters)