Business news from Ukraine

LARGEST SOFTWARE DEVELOPER IN UKRAINE WILL OPEN SECOND OFFICE IN LVIV

GlobalLogic Ukraine, an IT company, the largest software developer in Ukraine, will open the second office in Lviv on October 12, 2018.
This was announced by the head of the company’s office in Lviv, GlobalLogic Vice President for Engineering Denys Balatsko on the sidelines of the Lviv IT Arena 2018 conference.
“This is a separate building, which was built according to our wishes and allocated completely to our company. Today, about 300 of our engineers have already moved there, but the official opening will take place on October 12,” he said.
According to Balatsko, departments for the development of medical software and embedded solutions will be located in this office.
In the opinion of the company, the question of availability of office premises equipped with serious IT infrastructure is acute in Lviv.
“Now we see a very high demand for office space and companies are often looking for a place where they could find room. There is not enough quality office space,” the expert said.
GlobalLogic Ukraine is the largest software developer in Ukraine. It has offices in Kyiv, Kharkiv, Lviv, and Mykolaiv.

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ARCELORMITTAL KRYVYI RIH EXTENDS WAGON FLEET BY 2.5 TIMES

PJSC ArcelorMittal Kryvyi Rih (Dnipropetrovsk region) has extended its wagon fleet by 2.5 times, commissioning 450 new high-sided wagons received under a financial leasing scheme. According to a press release of ArcelorMittal Kryvyi Rih, at the beginning of 2018 the enterprise received 50 new cars: thus, this year the company has commissioned 500 wagons to transport its metal products and supply raw materials to the plant.
At the same time, it is noted that as a result its own fleet has increased by 2.5 times, which allows the company to carry out about 10-15% of its transportation independently, regardless of the situation in the railway market and the availability of wagons. This will help reduce the cost of delivering outgoing and incoming goods, as well as give an opportunity to consider new directions of metal products and iron ore concentrate transportation for exports.
All new wagons for the enterprise are manufactured by PJSC Dniprovahonmash, which is one of the participants in the signed agreement under the scheme of financial leasing.
ArcelorMittal Kryvyi Rih is the largest producer of steel goods in Ukraine. It specializes in production of long goods, in particular, fittings and wire rod.

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LATVIA’S LATTELECOM PLANS TO OCCUPY 12% OF UKRAINIAN CLOUD SERVICE MARKET

Latvia’s Lattelecom plans to occupy 12% of the Ukrainian cloud service market in 2018, Director for Business Development Data Processing Centers Maris Sperga has told Interfax-Ukraine.
“The market growth of cloud services in 2018 is planned at the level of 12-13% – not as large as last year. We plan that this year we will grow to 12% of the Ukrainian market. This is our goal, to which we are going,” he said.
According to Sperga, the company has been active in Ukraine for five years and during this time has reached volumes of 10% of the cloud services market in Ukraine.
“Last year was very positive for us: on the Ukrainian market we grew by about 40%, taking into account the fact that the market itself grew by 27%, which means that we outstripped its growth and were able to gain an additional share in the market,” he said.
Sperga also said that according to the International Data Corporation (IDC) research company, the Ukrainian market of cloud technologies is about $16 million.
Lattelecom has been operating in the Ukrainian market since 2013.
In 2016, Ukrtelecom agreed with Lattelecom to start cooperation on providing Ukrainian companies with the possibility of renting virtual servers or the “cloud” data center of Lattelecom located on the territory of the EU in Riga.

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BRITISH OIL AND GAS COMPANY STARTS DRILLING WELL IN UKRAINE

Cadogan Petroleum, the British oil and gas company with assets in Ukraine, has commenced drilling the shallow Vovche-2 well on the Bitlianska license (Lviv region), the company has reported on the website of the London Stock Exchange (LSE).
Cadogan said that the well is anticipated to take 20 days to drill and will then be put on production if successful. The well is designed to test the potential of satellite prospects around an established, old oil field.
A heavier rig is being selected to drill the Blazh-10 well on the Monastyretska license (Lviv region) as planned at a depth of about 3,500 meters. The well is expected to spud in November and is anticipated to take three months to drill, the company said.
The Vovche-2 well and the Blazh-10 well fulfil the company’s remaining commitments on the Bitlianska and Monastyretska exploration licenses, a prerequisite to convert them into production licenses.

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