Giessenhaus LLP

Authorities, business and scientific community are interested in the creation of an aluminium production cluster in Pavlodar Region today. All the prerequisites have formed for that: there are raw material resources and free labor resources, the region’s own primary aluminium, legal framework. There is understanding that it is impossible to solve the problems of the economic growth and import substitution without constructing a full chain of the second and third production areas (technological process stages).

The price for metal on the world markets decrease three times over several last years. More than 13 mln tons of aluminium have been accumulated in the storehouses. There is a plant producing primary aluminium (Kazakhstan Electrolysis Plant JSC (KEP) that is a member of the ERG corporation) with the amount of production of up to 250 thousand tons per year, still products of aluminium for $237.1 mln (from household goods to construction materials and details for automobile industry) are exported to Kazakhstan yearly.

Only 7% of amounts of the KEP is used for the production of final products at the present time. Every subsequent production area (process stage) is able to provide substantial growth of profit. The ERG holding in Kazakhstan is already implementing process stages of the first and second level. Medium and small companies are engaged in the productions of the third process stage all over the world.
The signed memorandum on cooperation with the akimat of Pavlodar Region allows us to move to the formation of a cluster of aluminium productions and to start implementation of the first stage of the project.

A program of creation of dozens of entities of small and medium business that will be engaged in the process stages of the third level around the enterprises of the Eurasian group works at the present time. The program also has prerequisites for creation of a scientific basis with pilot production sites.

The following basic fields of production are implied:

  • Process stages on the basis of technical aluminium: casting, extruding, packing.
  • Process stages that require aluminium of special purity: solar batteries and light emitting diodes, monocrystals for microelectronics.

The following projects are being developed now:

  • Production of aluminium railway wagons (it will increase the efficiency of transportation by 18%).
  • Production of aluminium profiles (shapes).
  • Production of aluminium wheels on the basis of the Pavlodar SEZ.

Download the project presentation