Business news from Ukraine

Business news from Ukraine

UKRAINE SUSPENDS OPERATOR CERTIFICATE OF EUROPE AIR CARRIER

The State Aviation Service of Ukraine suspended the Air Operator’s Certificate No.UK 046 of Europe Air Kyiv Airline from 00:00 UTC (03:00 Kyiv time) on July 27, 2019.
The decision was taken by the permanent Commission on certification of operators, organizations for the maintenance and continuing airworthiness, designers and manufacturers of aircraft, schools for pilot training in Ukraine, flight and technical personnel of the State Aviation Service, as the regulator’s press service reported.
According to the State Register of Aircraft of Ukraine, Europe Air operates five freight IL-76 TD planes, which were produced in 1900-1992 and belong to Infinite Seal Inc.
The company’s airport is based in Kryvyi Rih, however, the flights are mainly served from the airport in Sharjah (United Arab Emirates) to the states of Africa, India, Pakistan, Afghanistan, Sri Lanka, Indonesia, Turkey, Kazakhstan, Bulgaria, Georgia and Lithuania, the company says on its website.
Revenue of Europe Air was UAH 2.2 million, a net profit – UAH 0.26 million in 2017.

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SKYUP TO LAUNCH DIRECT FLIGHTS BETWEEN KHARKIV AND LVIV FROM OCTOBER, TO LINK KYIV WITH KHARKIV AND ZAPORIZHIA

Ukrainian low-cost airline SkyUp Airlines (Kyiv) will launch three new domestic flights from October, the company said on its website.
What is more, the frequency of SkyUp flights between Kyiv and Lviv will increase.
The Kyiv-Zaporizhia flight fare starts from UAH 498. The flights will be carried out on Monday, Tuesday, Wednesday, and Friday starting from October 28, 2019.
The Kyiv-Kharkiv flight fare starts from UAH 498. The flights will be available on Monday, Wednesday, and Friday starting from October 25, 2019.
Flights between Kharkiv and Lviv will be launched for the first time in Ukraine; tickets will cost starting from UAH 639. The flights will be carried out on Thursday and Sunday from October 17, 2019.
The airline stressed that the development of domestic routes is what SkyUp can do and continues doing for Ukraine.
“SkyUp Airlines is now fighting for its right to fly. Every day we are trying to get better. You wanted to open Europe – we launched flights to Barcelona, Paris and Naples. You liked the holidays in Lviv – we reviewed our winter flight schedule. Now after one hour on board the plane, you will be able to have lunch with partners in Kharkiv, or enjoy time with friends from Lviv – at the price of a train ticket,” the company’s press service quotes CEO Yevhen Khainatsky are quoted as saying.
Tickets for the three destinations are already available for booking.
As was reported, SkyUp, which was set up in June 2017, transported 668,500 passengers in the first half of 2019.
Currently, its fleet consists of eight planes: six Boeing 737-800 and two Boeing 737-700.

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WORLD-WIDE RUSSIAN-LANGUAGE CHANNEL TO BE CREATED BY UKRAINE

A world-wide Russian-language channel will be created in Ukraine to strengthen the position of the state in the informational struggle, said Deputy Head of the Presidential Office of Ukraine Kyrylo Tymoshenko in an interview with Interfax-Ukraine.
According to him, such a channel is needed so that Ukraine could fight both for the minds of Ukrainians in the occupied territories of Donbas and Crimea, and for the minds of Russians in the territory of the Russian Federation. “We have developed a launch option for the Ukrainian Russian-language channel, with which we will be able to cover the Russian-speaking population all over the world,” said Tymoshenko.
According to him, the team of President Volodymyr Zelensky wants it to be a state channel. “But we are negotiating with private channels about the handover of rights to use their coolest content,” Tymoshenko said.

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VACANCY RATE OF SHOPPING AND ENTERTAINMENT CENTERS MANAGED IN UKRAINE BY ARRICANO (CYPRUS) IS 0.1%

An average vacancy rate across portfolio of shopping and entertainment centers in Ukraine managed by the Arricano Real Estate Plc (Cyprus) is 0.1% through January-June of 2019, according to the company’s report on London Stock Exchange (LSE). “In the first half of 2019, the average vacancy rate of shopping malls in Kyiv is 5.5%, and in our shopping malls, Kyiv inclusive, this rate is several times less. Going into the second half of the year, Arricano has recorded the lowest vacancy rates since 2012. I believe this is a result of the systematic work, innovative approaches and competent management in recent times,” said Arricano CEO Mykhailo Merkulov.
In particular, for the first half of 2019, Sun Gallery (Kryvyi Rih) and City Mall (Zaporizhzhia) recorded a 100% occupancy, whilst the RayON and Prospekt shopping malls (both located in Kyiv), recorded vacancy rate of 0.08% and 0.17% respectively.
Arricano is one of the leading real estate developers of shopping centres in Ukraine with European investments. It is listed on the AIM Market of the London Stock Exchange since 2013. Today Arricano Group owns and operates five completed shopping centers and 49,9% shareholding in Sky Mall and land for further three sites currently under development.

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ODESA PORT-SIDE PLANT WANTS TO RESUME ITS WORK

PJSC Odesa Port-Side Chemical Plant (OPZ) started pre-commissioning and will resume its work on August 1, 2019, said OPZ Deputy Director on Economic and Financial Issues Volodymyr Vakeryak at a press conference regarding signing of give-and-take contract with LLC Agro Gas Trading (Kyiv). Agro Gas Trading Director General Oleksandr Horbunenko has said that the contract with the plant was signed by December 1, 2019 and foresees delivery of minimum 240 million cubic meters of the natural gas within four months.
For his part, Deputy Head of the State Property Fund Yevhen Astashev has said that NJSC Naftogaz Ukrainy gave a green light to resuming of the works despite plant’s debts worth UAH 1.5 billion (plus penalties). The OPZ for its part is obliged to pay off the debts to Naftogaz sharing profits received from Agro Gas Trading for providing processing services ($1,5 per each carbamide tonne and $1 per each ammonia tonne).
“Production has been standing idle for more than a year, only the ammonia transshipment complex is working at the level of 2.3 million tonnes per year. The plant signed an agreement with a supplier, for whom we will perform gas processing services. In the near future we plan to start preparing for the launch of two carbamide facilities and one ammonia complex. If all the conditions of the contract are met, we could receive products in August,” he said.
As reported, Odesa Port-Side Chemical Plant has been standing idle since the end of April 2018. Its work was stopped due to violation by the contractor, All-Ukrainian Energy Company LLC, of the agreement with Ukrtransgaz.
The plant called work on a give-and-take basis the only possible option for resuming work in the face of failure of privatization attempts and accumulated debt for gas to NJSC Naftogaz Ukrainy, which exceeds UAH 1.5 billion.

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OFFICIAL RATES OF BANKING METALS FROM NATIONAL BANK AS OF JULY 29

Official rates of banking metals from national bank as of july 29

One troy ounce=31.10 grams

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