Business news from Ukraine

Business news from Ukraine

ODESA PORT-SIDE PLANT EXTENDS TOLLING CONTRACT WITH AGRO GAS TRADING

The board of JSC Odesa Port-Side Plant has extended a control for tolling gas processing with Agro Gas Trading LLC from September 1, 2020.
The plant said that the contract was extended until the moment when the new winner of the tender is selected, but no later than the end of 2020. As part of the prolongation of the contract, the terms of cooperation have been improved: from September 1, the price for one tonne of ammonia will be $41 and $60 per tonne for urea.
The Odesa Port-Side Plant recalled that the last announced tender was blocked in courts by one of its participants, and the procedure for selecting a supplier company approved by the supervisory board of the plant provides for a ban on out-of-tender selection.
“According to the current legal regulations, the decision to extend the contract with the current tolling supplier was the only one to which the board had the right, taking into account the existing injunction, and no alternative from the point of view of ensuring the stable operation of the plant,” the plant said.
The plant said that the continuity of the production process in terms of improving financial and social performance is a priority for the company’s management.

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NATIONAL BANK OF UKRAINE’S OFFICIAL RATES AS OF 31/08/20

National bank of Ukraine’s official rates as of 31/08/20

Source: National Bank of Ukraine

OFFICIAL RATES OF BANKING METALS FROM NATIONAL BANK AS OF AUGUST 31

Official rates of banking metals from national bank as of August 31

One troy ounce=31.10 grams

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WIZZ AIR REJECTS INFO ON ILLEGAL STAFF LAYOFFS IN UKRAINE

The Hungarian low cost airline Wizz Air rejects information from the European Transport Workers’ Federation (ETF) about illegal layoffs of its employees in Ukraine, the airline’s press service has told Interfax-Ukraine.
“Wizz Air has taken note of media reports alleging that a number of COVID-19 related layoffs in Ukraine earlier this year may have been allegedly illegal in Ukraine. Wizz Air denies such accusations as they are completely unfounded,” the airline said.
The ETF previously reported that Head of Wizz Air Jozsef Varadi threatened to close the base in Kyiv if workers do not agree to terminate the work of the trade union. According to this organization, at the end of July, the low cost company fired four employees involved in the trade union, namely Yulia Batalina, Hanna Teremenko (the head and the deputy head of the trade union), Artem Tryhub (a member of the trade union council) and Andriy Chumakov (a member of the trade union).

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UIA CANCELS FLIGHTS TO EIGHT DESTINATIONS DUE TO RESTRICTIONS ON ENTRY OF FOREIGNERS TO UKRAINE

Ukraine International Airlines (UIA, Kyiv) canceled flights on eight destinations, reduced their frequency on seven more destinations.
According to the airline’s website, as a result of such measures, UIA is forced to revise the flight schedule and significantly reduce them. Starting from September 14, the following flights will be completely canceled: Kyiv-Zaporizhia, Kyiv-Madrid, Kyiv-Barcelona, Kyiv-Geneva, Kyiv-Delhi, Kyiv-Berlin, Kyiv-Chisinau, and also Kyiv-Athens (except for two flights). Flights on the route Kyiv-Kherson will be canceled from September 20.
In addition, the airline reduced the frequency of flights on the following routes: Kyiv-Odesa, Kyiv-Paris, Kyiv-Dusseldorf, Kyiv-Brussels, Kyiv-Dubai, Kyiv-Istanbul, and Kyiv-Tel Aviv.
“We now have to make a decision on the airline’s plans for the coming days, without having enough time or enough information. Of course, we will wait for the publication of the Cabinet of Ministers resolution and make a decision to cancel flights, based on the content of the document. We are considering several options, including radical,” CEO of the airline Yevhen Dykhne said.
According to the airline, in the total current UIA passenger traffic, the percentage of foreigners transported is about 60%.

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MHP WORKING ON CARBONIC ACID PLANT, WAITING FOR CERTAINTY IN ‘GREEN’ POWER INDUSTRY FOR INVESTMENT IN BIOGAS

Myronivsky Hliboproduct (MHP), one of the largest agricultural holdings in Ukraine, is working on a carbon dioxide plant project, deputy chairman of the board Oleksandr Dombrovsky has said when signing a memorandum of partnership between the agricultural holding and Organic Ukraine.
“This is an innovative project, I can’t tell you much. We are now doing a very professional feasibility study, considering various options. Today it is too early to say that we are ready for this project. We are working on it,” he said.
Dombrovsky clarified that the plant is being designed both for the needs of MHP itself, and for the domestic market and export. According to him, today about 70% of carbonic acid in the domestic market is imported, mainly from Poland and Hungary.
He also said that MHP, which has already built two of the world’s largest biogas complexes for processing poultry manure, has another ready-made similar project and a permit for its construction.
“But we are thinking to start or not to start. And if to start, then when, given that the “green” industry in Ukraine has not been paid money at all for six months,” Dombrovsky explained.
He stressed that investments in biogas are significantly higher than in solar energy, and range from EUR3 million to EUR3.5 million per 1 MWh of capacity.
The expert noted that the agricultural holding is also working on other innovative projects, in particular, on “green” hydrogen.

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