Business news from Ukraine

Business news from Ukraine

INSTITUTE FOR EDUCATION DEVELOPMENT OPENS IN UKRAINE

The Education and Science Ministry of Ukraine has announced the opening of the Ukrainian Institute for Education Development which will be in charge of the implementation of the New Ukrainian School Project. “The Ukrainian Institute for Education Development has opened. This agency will replace the Institute for Education Content Modernization to implement the New Ukrainian School Project and later all of the latter institution’s functions will be passed to it,” the ministry said.
Education and Science Minister Hanna Novosad noted that the Institute for Education Content Modernization was not always effective and successful during the implementation of the New Ukrainian School Project.
Vadym Karandiy has been appointed as Head of the new Ukrainian Institute for Education Development.
He headed that Ukrainian Center for Education Quality Assessment from 2015 until 2019, according to the ministry’s press service.
The ministry also said that the transformation of the old institution will be held until 2021.
The priority tasks of the Ukrainian Institute for Education Development will be coordination of the introduction of new education standards for students of the 3rd and 4th grades, assessment of quality of pre-school education with the help if the international tool ECERS, participation in the development of the national standards for secondary education and a typical secondary education program, support for professional development and growth of teachers, development of effective procedures for assessment of study books and piloting them during the selection of 4th grade students.

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KYIV SIKORSKY AIRPORT PLANS TO EXTEND RUNWAY, COST OF PROJECT IS UP TO EUR 100 MLN

Kyiv Sikorsky Airport (Zhulyany) is to extend its runway and improve the characteristics of landing approach systems, Denys Kostrzhevsky, head of the airport’s board of directors, has said. “Kyiv Airport has a runway whose length is 2,350 meters. It is located in the central part of the city. Accordingly, its landing approach systems allow aircraft to land and take off under certain weather conditions. To be able to service aircraft in any weather conditions and handle larger aircraft, Kyiv Airport needs to upgrade the category of the airfield,” he told Interfax-Ukraine in an interview.
Kostrzhevsky noted that a master plan for the reconstruction of the airfield had already been developed, it has five different options. Each of them foresees an extension of the runway by 550 meters, improvement of the characteristics of landing approach systems (lighting navigational aids and radio navigation equipment). The estimated cost of the project ranges from EUR 80 million to EUR 100 million.
“The city needs to solve two problems. The first is to allocate plots of land, the second is either to disburse or raise money. There are different ways to raise money: one may take a loan or call a concession tender. If the city decides on concession, then, of course, Master Avia, the airport operating company, will participate in this tender,” the top manager said.
If such a decision is not taken, there may be loans, he added. “Perhaps it will be financing from the municipal budget or there will be a lease with an investment obligation. We do not know this,” he said.
According to him, in particular, the airport asks to allocate 12 hectares of land at the ends of the runway. Currently, the documents are under approval.
“We are in dialogue with the authorities. How quickly the approval will be depends on Kyiv City State Administration and Kyiv City Council. They have been there for eight months. I hope we will get certain results soon,” Kostrzhevsky said.

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UKRAINE HIRES DELOITTE & TOUCHE TO AUDIT STATE-RUN NAFTOGAZ

The Cabinet of Ministers of Ukraine will conduct an audit of the financial statements of NJSC Naftogaz Ukrainy, MP Oleksiy Honcharenko has said.
He posted a photocopy of a government resolution on his Facebook page that says that at its meeting on Wednesday, the Cabinet approved the appointment of Deloitte & Touche Ukrainian Services Company (USC) as a subject of auditing activities to provide services of the mandatory audit of financial reporting.

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UKRAINE DECREASES GAS PRODUCTION

Production of natural gas in Ukraine in January-October 2019 decreased 0.4% (by 67.5 million cubic meters, mcm) compared to the same period in 2018, to 17.237 billion cubic meters (bcm), the Ministry of Energy and Environment Protection has reported. According to the ministry, enterprises of NJSC Naftogaz Ukrainy saw 1.6% decline (214.7 mcm) in gas production, to 13.432 bcm. Gas production by PJSC Ukrgazvydobuvannia amounted to 12.459 bcm (2.3% lower from January-October 2018), by PJSC Ukrnafta to 966.8 mcm (8.6% up), and PJSC Chornomornaftogaz – 5.8 mcm (7.9% down).
Other companies increased gas production by 4% year-over-year (by 147.2 mcm), to 3.805 bcm.
Other large gas producers were PrJSC Naftogazvydobuvannia (1.367 bcm), PrJSC Ukrnaftoburinnia (608.42 mcm), ESKO-Pivnich LLC (448.45 mcm), JV Poltava Petroleum Company (222.39 mcm), PrJSC Natural Resources (154.23 mcm), PrJSC Ukrgazvydobutok (132.21 mcm), Regal Petroleum LLC (122.52 mcm), KUB-Gas LLC (111.76 mcm) and PrJSC Davon (82.1 mcm).
As reported, Ukraine in 2018 increased gas production by 0.5%, to 20.898 bcm.

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UKRAINIAN A.G.R. GROUP INTENDS TO BECOME PUBLIC COMPANY AND MULLING IPO

A.G.R. Group agricultural holding intends to become a public company and is mulling an IPO, the holding said in a press release. “A.G.R. Group plans to become a public company and enter the international borrowing markets, in particular, IPO,” the agricultural holding said in a statement.
According to Svitlana Korytska, the corporate investment director, A.G.R. Group conducted the restructuring of the holding, received positive audit conclusions from KPMG.
A.G.R. Group is an agricultural holding with 19 companies. Its core business is the cultivation of grain crops, mainly corn and soybeans. The holding is also engaged in animal husbandry and grain storage.
A.G.R. Group enterprises cultivate land in Poltava, Kyiv, Chernihiv, and Sumy regions. The grown products are sold in foreign markets.
The land bank of the agricultural holding is 28,800 ha.
The founder and sole shareholder of A.G.R. Group is Misak Khidiryan.

GERMAN CARRIER FLIXBUS WILL LAUNCH BUS ROUTE FROM ODESA TO CZECH REPUBLIC

The German low cost bus carrier FlixBus has started cooperation with the Ukrainian company Regabus, launching trips from Odesa via Prague to Plzen (the Czech Republic). According to FlixBus Director for Poland and Ukraine Michal Leman, the trips will be operated by branded buses in a branded green livery.
“Regabus has been on the market for 25 years. We specialize in transportation between the Czech Republic and Ukraine. We were the first to support the standards that FlixBus represents – Euro6 buses,” a Regabus representative commented on the start of cooperation with FlixBus.
The launch of the new route is scheduled for December 11, 2019. Buses will run five times a week and ride through Uman, Vinnytsia, Khmelnytsky, Ternopil, and Lviv. In addition, there will be stops in Krakow (Poland), Olomouc and Brno (the Czech Republic).
Leman also said that in 2020 the company plans to increase the number of routes to Poland, Germany, the Czech Republic and Hungary, as well as open new routes to southern Europe and the Baltic countries.
FlixBus is a German company developing bus transportation in Europe and the United States, founded in 2013.

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