Modernization of drawing and cable manufacturing shops (JSC " Shchuchin plant " Avtoprovod")

А. Project Opportunity Description
А1. Project’s Name:
Modernization of drawing and cable manufacturing shops
a. Short name:
Modernization of drawing and cable manufacturing shops
b. Full name:
Modernization of drawing and cable manufacturing shops
c. Short description:
The project provides the reconstruction of manufacturing areas, acquisition of new equipment for cable production aimed on the increasing of local and export deliveries.
А2. The project state:
The business-plan for 2010 year has worked out. The list of the manufacturing equipment has determined. Tenders for equipment acquisition are carrying out. Some contracts for equipment deliveries have signed and paid.
А3. The participating organizations and their role (contact persons, phone, fax, e-mail, Internet page):
JSC " Shchuchin plant " Avtoprovod"
Sovetskaya ul., 15, 231513, Shchuchin, Grodnenskaya obl., Belarus.
Director: Alexander I. Simonovich 28-6-60

The contact person: Victor E. Volchek. 28-4-49
fax: +375-1514-28-1-90,
E-mail: avtoprovod@tut.by, info@avtoprovod.com
http://www.avtoprovod.com
А4. А4. The project description:
For project realization it is necessary to enlarge manufacturing areas and to buy bunching machines of DTO-1250 and DTO-630 type, extrusion lines of rapid color changing ME-1-60 and ME-1-90 types, twist cabler for steel wire, multiwire mean drawing machine, annealers for singleiwire mean drawing machines, rewinding and testing equipment, enameling machine, rough drawing machine for aluminium (aluminium alloy) rod, double twisting machine for copper and aluminium conductors with cross-section up to 120 mm2, hoping machine, inertial pay offs with positive unwinding, strander for insulated conductors, tubular strander with pay off drum 500mm.
А4а. Total project value
7.795 ml. USD
А5. А5. Background/ History/ General program/ related or similar projects:

Bunching machines of DTO-1250 and DTO-630 type can increase the manufacturing capacity in 2-3 times. They are equipped with dancers which provide the stable tension of wires and allow using the spools for large lengths.

As connecting wires are ones of our main products we need bunching machine DTO – 1250 type. And bunching machine DTO – 630 type will allow producing conductors of big factory length.

Extrusion line with rapid changing of colors will allow reducing the time and insulation plastics. Control units of line help to manufacture products with more stable dimensions and thickness. Manufacturing capacity of such machine is in 2-3 times above existing extrusion lines.

With the help of rough drawing machine for aluminium (aluminium alloy) rod we can start manufacturing overhead conductors СИП-1, СИП-2.
The enameling machine will allow producing aircraft wires which are not produced in Belarus.

After acquiring of twist cabler for steel wire we shall begin manufacture power and control cables with steel-wire armour. It will differentiate our products.

Inertial pay offs with positive unwinding and rewinding and testing equipment will allow good packaging of our products.

Double twisting machine for copper and aluminium conductors with cross-section up to 120 mm2 and hoping machine will allow twisting products of big delivery lengths and large cross-sections.

Tubular strander with pay off drum 500mm will also allow manufacturing products of big delivery lengths and so reduce production wastes.

А6. A brief description of environmental impact:
Does not influence
А7. А7. Possible obstacles /problems/ risk degree:
1) Absence of investors; 2) Increasing of the amount of own works under unforeseen circumstances.
А8.Project life and payback time:
4/5
А9.Project's branch:
Machine engineering industry, electrotechnical sub-industry
 
B. Investment Cost Items (joint investments required for project )
В1. Project natural components В2. Investments (cost),million USD
Rough drawing machine for aluminium (aluminium alloy) rod, 1pcs., Italy 0,266
Twist cabler for steel wire,1 pcs., Germany 0,192
Multiwire mean drawing machine, 1 pcs., Italy 0,710
Enameling machine, 1pcs., Germany 0,470
Bunching machine DTO-1250, 2 pcs., Italy 0,447
Bunching machine DTO-630, 3 pcs. , Italy 0,493
Extrusion line ME-1-90, 3 pcs., Austria 1,710
Extrusion line ME-1-60, 2 pcs., Austria, China 0,657
Double twisting machine, 1pcs., Italy 0,250
Rewinding and testing installation, 5 pcs., Russia 0,726
The machine for imposing the tape reservation, 1pcs., Germany 0,414
Annealer for singleiwire mean drawing machines, 1 pcs., Hungary 0,155
Inertial pay offs with positive unwinding, 8 pcs., Russia 0,400
Hoping machine, 1 pcs., Italy 0,240
Tubular strander, 1 pcs., Germany 0,565
Assembling works 0,100
Total 7,795
В3. Sub-projects by location В4. Project cost
   
C. Origin of capital sources (owners, copartners, sponsors etc.):
С1. Resource type (grants, investments, individual share/ownership) : С2. Amount (million USD):
Independent means (amortization costs)) 1,559
   
D. Required investments, financial assets deficiency:
D1.Necessary financing, type of required financial assistance:
It is planned to involve the currency credit for the sum of the equipment costs because of lack of independent means.
D2. Financing source: D3. Type of financial action: D4. Amount (million USD:
The bank credit     6,236 Bank transfer 3,742
The investor         -- Letter of credit 2,494
D5. Financial establishments involved in the project realization:
 
E. Demand (customers) and incomes:
Е1. Type the customers, volumes, prices, incomes, estimated benefits / savings:
Industry, building, communication

Sales markets: Belarus, CIS countries – %

Foreign countries - %
Е2. Financing source : Е3. Revenues (Sales) (million USD):
Sales proceeds 124,160
   
F. Operating and Maintenance Costs:
F1. Components of costs, amortization policy, manufacturing organization, etc.:
Additional capacities for cable manufacture at JSC "Shchuchin plant "Autoprovod" require new additional equipment. The total cost of necessary equipment is 2.310 million USD.
F2. Expence Items F3. Amount (million USD)
Sales taxes 13,650
Variable costs 90,710
Constant costs 9,850
   
G. The net profit:
G1. Net profit value G2. Amount (million USD)
The net profit 7,300
   
H. Project Information source:
Н1. This form was completed by:
Boris Khurs, the deputy technologist chief
Н2. Organization (name and address):
JSC “Shchuchin plant “Avtoprovod”

Sovetskaya ul., 15, 231513, Shchuchin, Grodnenskaya obl., Belarus.
Н3. Tel \ Fax \ E-mail:
Tel: +375-1514-28-4-49 \ a fax: +375-1514-28-1-90 \ E-mail: avtoprovod.to@tut.by
Н4. Date:
09/04/2010
H5. Project’s departmental identity:
Ministry of Industry of Republic of Belarus