Construction of third module completed at Lipetskmyasoprom pig facility. New fodder mill fully operational in Lipetsk Cherkizovo Group, one of Russia's leading integrated and
diversified meat producers, is pleased to announce today the completion of
construction of the third module at Lipetskmyasoprom,
the Group's industry leading pig facility in the Lipetsk region. The Group also
announces the opening of its new fodder mill in the Lipetsk region close to the pig farm site.
Lipetskmyasoprom
Third Module
The
construction of the third module at its Lipetskmyasoprom
pig facility has been completed. Once the third module reaches its full
capacity, which is expected to occur during 2009, it will provide an extra
12,500 tonnes of live weight volume at the site, giving a total production
capacity at the site of approximately 37,500 tonnes оf live weight per year
across all three completed modules.
The Group
expects the fourth, and
last, module at
Lipetskmyasoprom to be constructed and become operational by the end of
2008. With the fourth module running at full capacity the total
production capacity will increase by further 12,500 tonnes, providing a total
capacity across all four modules at Lipetskmyasoprom of approximately 50,000
tonnes of live weight per year.
On completion
the Lipetskmyasoprom facility will consist of a total of the four modules with 4,800 sows contained in each module with an expected
capacity to breed approximately 100,000 pigs per year (12,500 tonnes of live
weight) in each of the 4 modules.
The construction of the first two
modules of the Lipetsk pig facility
commenced in June 2005. The first two
modules became operational in February 2006 and are currently
operating at full capacity.
The Lipetsk facility uses state-of-the-art
equipment from leading European producers. Livestock is
provided using a highly productive breed of pigs bought from Dan-Bred, a leading
European producer.
New Fodder Mill
The Group has also opened its new fodder facility including fodder mill
and mill grain elevator in the Lipetsk
region close to the pig farm site. Cherkizovo's new fodder mill will fully supply fodder for the Lipetskmyasoprom facility. The mill's capacity constitutes more
than 180,000 tonnes of fodder per year, or,
almost 30 tonnes per hour. The mill uses equipment produced
by Ottevanger, a Dutch company. The new
facility also incorporates a newly built mill grain elevator near the fodder
mill. The elevator is already in
operation with a current capacity of 100,000 tonnes of grain on site per year.
Sergey
Mikhailov, CEO of Cherkizovo Group,
said:
"Today's two
openings are an important landmark for the Cherkizovo Group. The pig farm in the
Lipetsk region remains
on track to deliver a total of 50,000 tonnes a year once the fourth module is
running at full capacity, which is expected in 2009, helping to drive revenues
in our Pork Division. At the same time the new fodder mill will provide feed
into the site allowing us to control the quality of our end product for
consumers, whilst also driving operational efficiency and allowing us to maintain
tight cost control."
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