Business news from Ukraine

Business news from Ukraine

DONBASENERGO POSTS NET PROFIT IN JAN-SEPT

Energy generating company PJSC Donbasenergo in January-September 2020 received a net profit of UAH 1.393 million against UAH 69.257 million of net loss for the same period last year.
According to the company’s statement in the information disclosure system of the National Securities and Stock Market Commission, its net income for the reporting period increased by 9.8% (by UAH 429.648 million), to UAH 4.802 billion, and gross profit by 4.8% (by UAH 16.954 million), to UAH 367.828 million.
Donbasenergo (Sloviansk Thermal Power Plant) in the nine months produced 2.166 billion kWh of electricity (less 11.4% compared to January-September 2019), released 1.948 billion kWh (less by 11.8%), and production of heat energy amounted to 31,311 Gcal (less by 19.8%).
In addition, Donbasenergo announced a general meeting of shareholders scheduled for November 28, 2020, at which, in particular, it is planned to approve reports on the results of the company’s activities for 2019, as well as approve the main directions of the company’s activities for 2020-2022.
As reported, Donbasenergo received a net loss of UAH 68.997 million in 2019 against UAH 104.111 million of net profit in 2018.

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FRANCE AND UKRAINE MAY SIGN AGREEMENT ON COOPERATION IN RAILWAY

Ukraine and France may sign an agreement within the framework of the Mixed Intergovernmental Commission on Economic Cooperation in the near future, Head of the Ukrainian side of the commission, Minister of Internal Affairs of Ukraine Arsen Avakov has said.
“We have been working on the details of a common project with the French side for a long time and in the near future we can reach an intergovernmental agreement that will fully meet the needs of Ukraine. Including the requirements set by the President of Ukraine regarding the localization of production at Ukrainian enterprises,” Avakov said at a meeting with CEO of ALSTOM Henri Poupart-Lafarge on Tuesday, the press service of the Ministry of Internal Affairs of Ukraine reports.
At a meeting with the participation of the French Ambassador to Ukraine Etienne de Poncins and the general director of Ukrzaliznytsia Volodymyr Zhmak, the parties discussed the prospects for implementation of the ALSTOM electric locomotive supply project with partial localization of their production and maintenance in Ukraine.
“We have a very outdated fleet of locomotives and we need to strategically update it. At this stage, we are interested in 50 two-system electric locomotives capable of transporting from 5,500 to 6,000 tonnes of cargo. We need these locomotives with a long-term maintenance system and localized production in Ukraine. At the second stage, we are interested in obtaining single-system locomotives,” Zhmak said during the negotiations.
Poupart-Lafarge, in turn, assured that ALSTOM could be a reliable and long-term partner for Ukrzaliznytsia and Ukraine.
“We have been working on the market for many years and we can meet the needs of Ukrzaliznytsia. ALSTOM has experience in working in markets with the localization of production and service capacities. This strengthens our cooperation and creates new jobs. In particular, we work in this way in Kazakhstan and South Africa,” he said.
De Poncins said that over the past two years, taking into account the active implementation of helicopter (Airbus Helicopters) and ship (OSEA) projects of the Ministry of Internal Affairs of Ukraine, a humanitarian project to improve water supply in Mariupol with the prospect of its spread to Luhansk region, the total cost of all economic cooperation programs between Ukraine and France is EUR 800 million.

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NATIONAL BANK OF UKRAINE’S OFFICIAL RATES AS OF 28/10/20

National bank of Ukraine’s official rates as of 28/10/20

Source: National Bank of Ukraine

OFFICIAL RATES OF BANKING METALS FROM NATIONAL BANK AS OF OCTOBER 28

Official rates of banking metals from national bank as of October 28

One troy ounce=31.10 grams

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DONETSK FOOTBALL CLUB SHAKHTAR DRAWS 0:0 TIE WITH INTER IN CHAMPIONS LEAGUE

Shakhtar Donetsk Football Club has played a 0-0 draw with Inter Milan in the second round of the Champions League group stage.
At the Olympiysky National Sports Complex (NSC) on Tuesday, the Ukrainian champion managed to keep his gates intact in the match against the team, to which he lost with a score of 0:5 in the semifinals of the Europa League in Dusseldorf, Germany, in the mid-August.
In the first round, Shakhtar beat Real Madrid with a score of 3:2, and after two rounds, the “miners” have four points and the first place in the group so far.

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UKRAINE RAISES REQUIREMENTS FOR OPERATORS OF PRIVATIZATION AUCTIONS

The Cabinet of Ministers has raised the requirements for operators of privatization auctions, in particular, an operator must have at least six employees, a charter capital of at least UAH 1 million and its own call center for selection.
According to the draft regulation, the auction operator must also have an excellent business reputation with regard to the law on prevention and counteraction of legalization (laundering) of proceeds.
In addition, the requirement presupposes having at least a year of experience in the market for the sale of property in the form of auctions and cryptographic protection for a secure connection between the server and bidders.
As indicated in the draft regulation, the charge rate for participation in the privatization auction for an object worth more than UAH 64 million is set at 1% (previously it was set for objects worth over UAH 250 million), from UAH 4 million to UAH 64 million it is 2.5% (previously the charge rate of 2.4% was set for objects from UAH 1 million to UAH 4 million), and up to UAH 4 million it is 4% (previously the maximum charge was 3% for objects up to UAH 1 million).

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