OSBI Group invests 8 bln roubles into Leningrad region

  • Декабрь 20, 2007
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Kazakh-Russian OSBI Group Ltd. is to build an 8 billion roubles (over 225 million euros) integrated woodworking complex in the Leningrad region. For this purpose, a land parcel of 19 ha in the settlement of Mga, Kirov district, has already been allocated. The company intends to create production facilities embracing all stages of wood processing. One of the core production lines will be an OSB plant. Initially, the company plans to produce 300 thousand m2 of OSB per year. Apart from this, the complex will include sawmilling facilities with the output of 200 thousand m3 per year and a plant for glued timber, construction beams and wood pellets. The raw materials will come from the Leningrad (40%), Novgorod and Pskov regions (60%).

The first stage of the plant is planned to be commissioned in 2009, the project will be completed by 2015. This is going to be the first OSB plant in the Leningrad region. “OSB is universal as compared to plywood and other materials, that is why we switched to this type of boards”, said Ruslan Kurbanov, the representative of Concern Dietrich Design Company. “We are buying them from Europe and we haven’t cooperated with the local producers yet. I believe that the commissioning of the new OSBI facilities will not bring the prices down, but the local product may be an alternative to the imported boards.”

The growing demand for OSB (currently, it is one million m3 per year) is accounted for by rising frame-and-panel house building activities in Russia. According to experts, a few more plants will be required to meet the demand completely.

This news was prepared by the Editorial Board of the "Russian Forestry Review" magazine
www.RussianForestryReview.com