08 June 2016

    Agroservice Co. has signed an agreement with the Far East Development Corporation regarding its activities at Free Port Vladivostok. The plan is for the company to build an LNG plant and a greenhouse cluster for growing vegetables and berries, according to the website of the Ministry for the Development of Russian Far East.

    Total investments will come to RUB 426.2 m. The projects to be delivered on the territory of Ussuriysk Urban District will result in 50 new jobs being created.

    The modular works for liquefied natural gas production will have an output of 21,000 tonnes a year and will help slash the heating bills of local residents, thanks to a transition from expensive fuel oil to cheaper natural gas. The infrastructure development is directed at replacing antiquated boilers, including in remote settlements. They will also start assembling equipment at the Ussuriysk Harvester Works, for switching the trucks from petrol to natural gas fuel. This equipment will initially be set up for municipal transport, given that a litre of liquefied gas is a quarter of the price of petrol.

    In addition, Agroservice plans to build a modern greenhouse complex in Primorsky Territory on four hectares (about 10 acres), where cucumbers, tomatoes and strawberries will be grown. The expected yield is 220 tonnes a year.

    “The status of Free Port Vladivostok resident ensures administrative support and tax breaks. This means lower risks and shorter times, which is a good incentive to bring longstanding plans to fruition. Our two projects are closely interconnected. Use of gas for heating and lighting the greenhouses cuts electric power consumption significantly, and consequently the prices of fresh vegetables and strawberries for the end consumer”, said CEO of OOO Agroservice Alexander Sementsov.