Description of activity

Sulphur Mines and Chemical Works Siarkopol S.A. (KiZChs Siarkopol) deals with the sulphur extraction using the underground melting method. The Sulphur Mine “Osiek” belonging to the Company is the only mine in the world where the sulphur deposit extraction is carried out using this method. More than 800 000 tonnes of sulphur is extracted annually. The Company holds a licence for extracting the sulphur deposit with good geological and mining parameters and for its processing in the closed water cycle. KiZChS Siarkopol S.A. offers its sulphur in a liquid, granulated, ground and flaked form. The Company also deals with the chemical processing of sulphur - producing carbon disulfide and insoluble sulphur. Carbon disulphide is mainly used for the production of viscose fibre while insoluble sulphur finds its application in the tyre-making industry. The Company also has a sodium sulphide plant. The Company’s offer is addressed mainly to chemical industry firms, producers of fertilizers, pesticides, viscose fibre, cellulose, manufacturers of tyres and rubber products. Its major customers include: Maroc Phosphore S.A. (Morocco), Lenzing AG, Ciech S.A., Michelin, Bridgestone, Zakłady Chemiczne Police S.A. chemical Plant, Zakłady Azotowe w in Tarnowie – Mościcach S.A. nitrogen works. Export sales (75%) prevail in the Company’s sales structure. The main countries of export are: Morocco, Russia, Spain, Israel, Germany, Belgium, Austria, the Czech Republic, Ukraine, Slovenia, Romania, Hungary, India, Brazil, Indonesia, Italy, Serbia, China, Thailand, the United Arab Emirates. The Company has its own railway rolling stock consisting of cisterns for liquid sulphur transport, cisterns and containers for carbon disulfide transport. It has also its own railway transport means repair and maintenance facilities. The Company is in the course of constructing the new insoluble sulphur installation with the yearly capacity of 5 000 tonnes (sholud be completed in 2011). Other planned investments include construction of sulphur granulation plant – according to the Sandvik technology and construction of a plant for the production of trithiocarbonate – a product which is now sought-after in the market and is used for removing heavy metals from wastewater. The Company has already started its investment process associated with developing its new sulphur deposit “Rudniki”, aimed at ensuring the continuation of extraction activity at KiZChS Siarkopol S.A. in Grzybów. The Company is also the owner of Hotel „Gwarek” located in the centre of Staszów.