Horlivka-based OJSC Stirol Concern in Donetsk region has joined OstChem Holding AG (Austria), which is controlled by businessman Dmitry Firtash's Group DF, Group DF said in a statement.

According to Group DF, OstChem also incorporates nitrogen fertilizer producers JSC Nitrofert (Estonia) and CJSC Tajik Azot (Tajikistan).

Firtash also controls Ukrainian-based nitrogen fertilizer producer OJSC Rivneazot, although it is not part of OstChem.

According to the statement, Stirol's accession to the holding willstrengthen the positions of the Ukrainian enterprises on the foreign carbamide markets.

"Being under one management structure, the nitrogen fertilizer producers belonging to the Ostchem Group will be able to enhance the competitiveness of the commodities they produce," reads the statement.

The synergy will be achieved through the centralization of investment activity, the standardization of financial operations and reporting, the optimization of equipment and materials procurement, and the integration of repair, assembly and construction work.

"According to preliminary estimates, the amount of annual investment in the group's chemical enterprises will exceed $100 million," reads the statement.

According to the press release, the international market of nitrogen fertilizers is estimated at 102 million tonnes per year, and its annual growth in 2010-2014 is projected at 2-2.5%.

As reported, Chairman of Stirol's board Serhiy Pavliuchuk said late in August that the concern had gained a Ukrainian investor.

He did not disclose what size of stockholding had been acquired by the new stockholder, which of the stockholders remained among the chemical plant's owners and which might have left it.

Stirol Concern is Ukraine's largest producer of nitrogen mineral fertilizers, polyesters, medicines, and ammonia.

kyivpost