The money will be used to finance technology such as a rotogravure printing line at the Croatian firm, to develop new products and increase its production capacity. The company currently produces containers, lids and aluminium based products.
Montana Tech Components
Johannes Steurer, chief financial officer, Aluflexpack, applied for the loan from EBRD, which is based on ‘demonstration of successful restructuring and setting standards of corporate governance and business conduct’.
The conditions outlined by EBRD are; Environmental and Social (E&S) issues associated with aluminium packaging production are site-specific, are readily identified and mitigated through the implementation of an E&S Action Plan (ESAP).
The ESDD (Environmental and Social Due Diligence) of the original AFP Project was carried out in 2012 and an ESAP was developed to address identified issues.
AFP and Aluflexpack are owned by Montana Tech Components.
The company has provided regular and timely updates on ESAP implementation as part of annual reporting, and shows progress, with some items outstanding.
Energy audit in 2017
The firm also has to comply with Croatian environmental laws and emission limits.
There has been a solvent recovery plant in Umag since 2013 that allows AFP to use up to 75% of recycled solvent in the production process, with only 5% of total used solvent emitted to the atmosphere as waste gas, well under BAT (Best Available Techniques) benchmark of 15%.
Following Croatia's accession to the EU, the company was subject to an environmental permitting process under the EU Industrial Emissions Directive, and to date all of its facilities received the required integrated environmental permits and should operate in compliance with respective BREF (BAT Reference Document) for Surface Treatment using Organic Solvents.
The energy audit is planned for 2017 under new Croatian legislation, and the energy management system would be introduced following its results.
AFP is certified to comply with ISO 9001 quality and ISO 14001 environmental management system standards, the British Retail Consortium (BRC), an international standard for the packaging storage and distribution, and with the International Featured Standards (IFS), an international standards for safety management systems of packing and packaging that comes into contact with food.
The company carried out extensive preparations so far to establish Occupational Health and Safety management system that is planned to be certified for compliance with OHSAS 18001 standards next year. There is a dedicated EHS team in place, and the company has an adequate capacity to implement Bank's PRs.
Project number: 48502
Business sector: Manufacturing and Services
Notice type: Private
Environmental category: B
Target board date: 06 Jul 2016
Status: Board approved, Pending signing
PSD disclosed: 11 Jul 2016