OREANDA-NEWS. KSG Agro Holding is to complete construction of a plant for production of fuel pellets in spring 2015. This was announced by KSG Agro Chairman of the Board Sergiy Kasyanov during the 6th Ukrainian bio fuel forum UBF-2014.

"The replacement of traditional fuels with alternative, biological is one of the most important national priorities," - said KSG Agro Chairman of the Board Sergey Kasyanov in the course of the 6th Ukrainian bio fuel forum UBF-2014. According to him, the main factors for the importance of such replacement are the high cost of the Russian gas, as well as compliance with EU policy aimed at increasing the share of bio fuels. Fuel pellets is a modern form of solid bio fuels produced using agricultural waste. "That's why we plan to make additional funding and start the production of pellets at a new modern factory. Currently, all the necessary equipment is already delivered and the overall readiness of the facility is more than 70%", - said Sergiy Kasyanov.

The factory, which is scheduled to be operational in the spring of 2015, will produce 60 thousand tons of fuel pellets annually. In the future, two production lines of the enterprise may be completed and the production capacity will increase to 90 thousand tons of pellets per year.

Earlier, the project to build a plant for the production of fuel pellets was suspended because of shortage of company's own funds.

KSG Agro is one of the leading agricultural holdings in Ukraine, the European innovative group of companies operating with the principle of vertical integration. Holding's shares are listed on the Warsaw Stock Exchange.

The main activity of KSG Agro is the cultivation of soil and crop production. An integrated approach, focusing on intensive business development, new technologies and innovations ensures high profitability and creates the conditions under which the Group's companies receive high yields through a number of years.

In September 2014, KSG Agro presented its new development strategy. In its basis lies the priority development of the pig industry, processing, flour milling and biofuel production.