Nizhny Novgorod, Russia – Russian manufacturer green processing oils Orgkhim has entered into a 50:50 joint venture with pulp & paper company Illim Group to produce pine-based chemical products.
Called Amber Stream LLC, the JV will set up its first line in Koryazhma, Arkhangelsk region, at Ilim’s Mill, the group’s flagship manufacturing facility.
Licensing and start up is scheduled for the fourth quarter of 2017.
The project involves an upgrade of the pine chemicals plant to allow for raw materials processing and manufacture of biochemical products, Orgkhim said 12 July.
The JV’s main product-line will include upgraded rosin esters, tall oil fatty acids and their derivatives.
In addition, the JV will introduce manufacturing of sterols which according to Orgkhim is completely new to the Russian market.
Alexander Emdin, vice-president finance of Ilim Group, has been elected as chairman of the board of Amber Stream LLC, and Aleksey Krylov, former technical director at Orgkhim, has been appointed as CEO of the new JV.
According to Orgkhim CEO Nikolay Khodov the JV will supply both domestic and global markets.