Business news from Ukraine

DTEK LAUNCHES FIRST SOLAR POWER PLANT

KYIV. Aug 3 (Interfax-Ukraine) – DTEK energy holding has launched Tryfonivka solar power plant with a capacity of 10 MW in Kherson region, the press service of DTEK has reported.
“Construction works at Tryfonivka solar power plant started in March and finished in the second half of July 2017. A total of 37,000 solar panels made by JA Solar and ABB’s inverters were installed at the plant. From August 1, 2017, the plant generates electricity and transmits it to the Ukrainian power grid,” the company said.
According to DTEK’s calculations, annually the solar power plant will generate 11-12 million kWh of electricity, which is enough to supply 15 neighbor settlements with electricity. Thanks to the operations of the Tryfonivka solar power plant saving of CO2 emission will be around 12,000 tonnes a year.
As reported, the National Commission for Energy, Housing and Utilities Services Regulation (NCER) on July 27 approved feed-in tariffs for Tryfanivka Energy LLC (Kherson region) and Dymerka Solar Power Plant 1 (Kyiv region).

UKRZALIZNYTSIA SEES UAH 122.5 MLN OF NET PROFIT IN H1 2017 UNDER IFRS – COMPANY HEAD

KYIV. Aug 2 (Interfax-Ukraine) – Net consolidated profit of public joint-stock company Ukrzaliznytsia in H1 2017 under international financial reporting standards (IFRS) was UAH 122.5 million, while a year ago net loss of around UAH 3.78 billion was seen, Ukrzaliznytsia Board Chairman Wojciech Balczun has said.
Revenue grew by UAH 5.6 billion or 17.6%, reaching UAH 35.3 billion, while expenses rose by 4.7% or UAH 1.7 billion, he wrote on his Facebook page on Wednesday.
Balczun said that capital investment soared by 180%, to UAH 3.4 billion. He said that UAH 1 billion was sent to modernize key assets, UAH 1 billion to major construction works, UAH 750 million to buy key assets and UAH 400 million to overhauls.
He said that freight flow in H1 2017 increased by 6.1%, to 94.9 billion tonne-kilometers, including a rise of 7.5% in transit transportation, to 732 million tonne-kilometers. He said that passenger traffic expanded by 6.9%, to 13.8 billion.
According to the report, the operating wagon fleet grew by 13,600 on average a day or 11.6%, while the total locomotive fleet grew by 68 units in June 2017 or 3.8%. This allowed boosting average daily loading by 1,358 wagons or 13.3%.

FOZZY-FOOD SEES UAH 245.6 MLN NET PROFIT IN SIX MONTHS OF 2017

KYIV. Aug 2 (Interfax-Ukraine) – Fozzy-Food LLC (Vyshneve, Kyiv region), part of Fozzy Group (Kyiv) and developing, in particular, the network of Silpo supermarkets in Ukraine, in January-June 2017 received UAH 245.634 million of net profit against UAH 618.871 million of net loss for the same period in 2016.
According to a company report in the information disclosure system of the National Commission on Securities and the Stock Market, its net income decreased by 37 times, to UAH 491.328 million.
The gross profit of the company for the six months of this year decreased by 433 times, to UAH 8.452 million, the loss from operating activities by 3 times, to UAH 65 million.
In addition, the company’s uncovered loss for the six months decreased by 7.2%, to UAH 2.432 billion, current liabilities by 6.6 times, to UAH 1.554 billion, long-term liabilities by 64 times, to UAH 35.557 million.
Fozzy-Food LLC is a structural unit of Fozzy Group and was registered in December 2002. It is engaged in the development of the Silpo supermarket chain in Ukraine. It started active operations in August 2003.

UKRTEPLO SEEKS TO INVEST UAH 2.5 BLN IN BIOFUEL CHPP, ETHANOL PLANT IN ODESA REGION

ODESA. Aug 2 (Interfax-Ukraine) – The Ukrteplo Group, operating the largest network of biofuel boilers in the country, intends to build a combined heat and power plant (CHPP) with a capacity of 12 MW in Odesa region. The plant will consume agricultural waste.
The group also wants to build a bio-ethanol plant.
Head of Odesa Regional Administration Maskym Stepanov wrote on his Facebook page that the CHPP will be ready by autumn 2018, and the plant with a projected annual capacity of 50,000 tonnes of spirit is to start operating in 2021.
Total investment in the project will be UAH 2.5 billion.
The press service of Odesa Regional Administration told Interfax-Ukraine that Ukrteplo is the investor in the project. The plants will be located on the basis of Zaplazky sugar refinery in Liubashivka district of Odesa region. The investor also plans to launch production of essential oils there.
Ukrteplo was founded in 2011. Its network includes 110 facilities in 14 regions with a total capacity of 158 MW. The portfolio of the group’s projects includes biofuel CHPP, small hydroelectric power plants and biogas plants.

SPF OFFERS LEASING OF FACILITIES OF CHORNOBYL NPP ON 2.5 MLN SQ M TO PLACE SOLAR POWER PLANT

KYIV. Aug 1 (Interfax-Ukraine) – The State Property Fund of Ukraine (SPF) has started accepting applications to lease a part of the engineering facility of the cooling system of Chornobyl nuclear power plant (NPP) to place a solar power plant.
The fund said on its website that the area of the territory proposed for construction fo the solar power plant is 2.5 million square meters. The capacity of the plant could reach 100 MW. The period for leasing is 49 years.
As reported, the State Agency for Managing the Exclusion Zone has leased land parcels of 3.4 ha and 1.7 ha to Ecosolar Invest LLC (Vinnytsia) and Solar Chornobyl (Kyiv) to build solar power plants on them.
Ecosolar Invest received a concrete car parking lot in Chornobyl, and Solar Chornobyl received a part of the concrete site near the second stage switchgear facility in Pripiat.

ELEKTROKONTAKT UKRAINE WILL OPEN THIRD PLANT IN LVIV REGION IN LATE SUMMER

KYIV. Aug 1 (Interfax-Ukraine) – Elektrokontakt Ukraine LLC, a manufacturer of cable networks for cars, a subsidiary of Nexans Concern, will open a new plant in Brody (Lviv region) on August 30, which will become the third and largest production site in Ukraine, the press service of the company has told Interfax-Ukraine.
According to its information, the construction of the plant “from scratch” was started in June 2016 and is almost completed today, preparations are being made for launch.
The new plant occupies an area of more than 20,000 square meters.
The investments of Nexans in the new plant amounted to UAH 1 billion.
The plant in Brody became one of the largest manufacturing enterprises of Nexans, which now operate in Romania, Mexico, Bulgaria, China, Slovakia, the Czech Republic, and Tunisia. It is planned to produce cable products for BMW cars, which has already audited the plant and signed an agreement with it.
Elektrokontakt Ukraine LLC has been operating in Lviv region since 2007, when the first production facility in Peremyshliany was established. In 2011 the second production site in Zolochiv was opened on the basis of the former radio plant.
The company produces cable goods for the world automotive companies: Volkswagen (Audi, Porsche), General Motors (Opel), BMW (BMW, Mini, Rolls Royce), and Daimler (Mercedes-Benz).