VERONA, Italy (Oct. 28, 2015) — Russia's Rosneft Oil Co. and Poland's Synthos S.A. have agreed to study the feasibility of establishing a synthetic rubber joint venture in far eastern Russia in partnership with Pirelli & C. S.p.A
The memorandum of understanding signed by the parties moves Rosneft and Synthos a step closer to committing to creating an SR joint venture at Rosneft's Far Eastern Petrochemical Co. complex in Nakhodka, Russia, on the Pacific Ocean. It also reinforces the parties' intention to conduct joint research and development with Pirelli in the area of tire materials.
Ultimately, Pirelli would become the key customer for the venture's SR, as indicated in an MOU signed with Rosneft in 2014.
The document was signed Oct. 22 by Rosneft Chairman Igor Sechin, Pirelli Executive Vice Chairman and CEO Marco Tronchetti Provera and Synthos majority stakeholder Michal Solowow during the Fourth Eurasian Forum in Verona. Synthos is an Oświęcim, Poland-based chemical raw materials producer.
The proposed SR plant aims to use the Russian port of Nakhodka, near Vladivostok, to access high-margin markets of the Asia-Pacific region.
“The agreement will allow us not only to build the most advanced synthetic rubber plants,…but also to successfully supply Chinese and other Asian automotive tire markets for years to come,” Mr. Sechin said.
“Pirelli's involvement in the process of developing this advanced regional production hub, both on the R&D side and eventually as a key customer, underlines our belief in and commitment to the entire Russian market,” Mr. Tronchetti Provera added.
Pirelli and Rosneft signed an agreement in May 2014 to produce synthetic rubber in Nakhodka and to supply Pirelli tire-making facilities in Asia-Pacific region.