The port in Police will ultimately serve as an import hub for raw materials for the entire Grupa Azoty, such as green ammonia from outside the EU, as well as for exporting its products, said Tomasz Hinc, the President of the Management Board of Grupa Azoty, to PAP. The company is in talks with PKN Orlen regarding the construction of additional tanks in the port, he added.

In an interview with PAP, President Tomasz Hinc assessed that chemical ports can currently be a source of competitive advantage. "With significant fluctuations in gas prices in Europe and rising emission permit costs, ammonia production in Europe is becoming increasingly expensive and unprofitable. Through the port in Police, we can import cheaper ammonia in the future, including green ammonia (produced using renewable energy sources, known as green hydrogen, which is generated through water electrolysis)," he said. He added that the port in Police will also be used for exporting products of the Grupa Azoty Group.

In August 2022, Grupa Azoty limited ammonia production to approximately 10% due to high gas prices at the time.

"The Port of Police has been dynamically expanding for the past three years and is currently in the process of connecting a railway line to the dock. Its capabilities have significantly increased with the deepening of the Szczecin-Swinoujscie waterway by Poland to 12.5 meters. It has been an internal port of Grupa Azoty Police until now, but it will eventually become an important logistics asset serving the entire Capital Group and the Polish chemical industry," informed Hinc. He also emphasized that the port in Police can be used for importing chemical products from outside the European Union as well as for exporting the Group's products. The current prospects for chemical producers within the European Union are challenging due to increasing cost burdens and extensive climate regulations, which non-European producers do not have. This further intensifies the challenges faced by the entire chemical industry in Europe. The decision made by the German company BASF regarding its Ludwigshafen factory in February this year clearly illustrates this point, Hinc recalled.

Tomasz Hinc emphasized that Grupa Azoty has built and is already operating its own gas port in Police with large tanks for propane and ethylene.

"We are in advanced discussions with other state-owned companies, such as KGHM, regarding the significant expansion of the port, and with PKN Orlen regarding the construction of additional tanks in the port. It is a potential associated with the construction of Polimery Police, the second factory of Grupa Azoty in Police," noted Tomasz Hinc. He added that it will commence operations in June of this year. Polimery Police is already in the final stage of implementation, with work progress exceeding 99%.

In October 2022, Grupa Azoty announced that the Port Police Project had been selected under the Connecting Europe Facility (CEF) for the 2021-2027 financial perspective. The total cost of the study work is EUR 3,477,582, with close to EUR 1.74 million in EU funding received.

At that time, Grupa Azoty emphasized that the planned work would improve access to the port from both land and sea sides and increase its transshipment efficiency.

Currently, President of the Management Board of Grupa Azoty also stated to PAP that Grupa Azoty would eventually like to have the ability to transport its products from the plant in Kędzierzyn by waterway to the Port in Police or to the Szczecin-Swinoujscie maritime port complex, and vice versa—for example, transporting propylene from the in February this year clearly illustrates this point, Hinc recalled.

Tomasz Hinc emphasized that Grupa Azoty has built and is already operating its own gas port in Police with large tanks for propane and ethylene.

"We are in advanced discussions with other state-owned companies, such as KGHM, regarding the significant expansion of the port, and with PKN Orlen regarding the construction of additional tanks in the port. It is a potential associated with the construction of Polimery Police, the second factory of Grupa Azoty in Police," noted Tomasz Hinc. He added that it will commence operations in June of this year. Polimery Police is already in the final stage of implementation, with work progress exceeding 99%.

In October 2022, Grupa Azoty announced that the Port Police Project had been selected under the Connecting Europe Facility (CEF) for the 2021-2027 financial perspective. The total cost of the study work is EUR 3,477,582, with close to EUR 1.74 million in EU funding received.

At that time, Grupa Azoty emphasized that the planned work would improve access to the port from both land and sea sides and increase its transshipment efficiency.

Currently, President of the Management Board of Grupa Azoty also stated to PAP that Grupa Azoty would eventually like to have the ability to transport its products from the plant in Kędzierzyn by waterway to the Port in Police or to the Szczecin-Swinoujscie maritime port complex, and vice versa—for example, transporting propylene from the factory in Polimery Police to the plant in Kędzierzyn. He referred to the question asked by PAP about the project to restore the Oder Waterway. Grupa Azoty Police and Grupa Azoty Kędzierzyn participated together with the Szczecin-Swinoujscie maritime port complex in the development of this project.

At the end of September 2022, Grupa Azoty's subsidiary, Grupa Azoty Zakłady Azotowe Kędzierzyn, announced that it had signed a letter of intent with Trans International Logistic Centrum regarding the implementation of logistics projects and the restoration of transportation in the inland navigation area. The establishment of an intermodal terminal in the Kędzierzyn plant area and the restoration of inland navigation on the Kędzierzyn and Gliwice Canals as part of the Oder Waterway were also announced.

President Tomasz Hinc currently stated in an interview with PAP that Grupa Azoty confirmed in 2017 the possibility of transporting its products from Kędzierzyn to Police.

"We examined whether it was possible and what the barriers were. There are water weirs and viaducts on the Oder that will eventually require reconstruction," said Tomasz Hinc. Creating this new water highway will require significant investments and will take many years.

"A waterway is a good alternative to road transport. Such projects should be significantly funded by the EU because they greatly reduce emissions in transportation," Hinc emphasized in an interview with PAP. He also noted that if the project receives European funding, it will likely be implemented by the Polish State.

Anna Bytniewska
ab/ drag/