Business news from Ukraine

Business news from Ukraine

UKRGAZVYDOBUVANNIA ANNOUNCES CHINA’S XINJIANG BEIKEN WINNER OF FOUR LOTS FOR DRILLING WORKS FOR UAH 1.9 BLN

KYIV. July 4 (Interfax-Ukraine) – Xinjiang Beiken Energy Engineering Co. (China) has won four out of 15 lots of a tender held by public joint-stock company Ukrgazvydobuvannia to carry out drilling works in Kharkiv and Poltava regions in 2017-2019.
According to the ProZorro e-procurement system, Ukrgazvydobuvannia seeks to sign contracts with the Chinese company for UA H1.934 million (VAT included). The sum consists of four lots of UA 342.886 million, UAH 317.306 million, UAH 600 million and UAH 674.285 million.
Earlier Ukrgazvydobuvannia announced Spetsmechservice winner of lot 1 (the cost of the contract is UA H397.422 million), Croatia’s Crosco Integrated Drilling & Well Services Ltd. – lots 8 (UAH 792.581 million) and 10 (UAH 786.462 million), Poltava Services (renamed Escalo Drilling Ukraine, the subsidiary of PGNIG) – lots 2 (UAH 399.999 million), 3 (UAH 436.15 million), 6 (UAH 798.085 million), 9 (UAH 860.478 million) and 14 (UAH 816 million).
The company has selected winners for 12 out of 15 lots.

GROYSMAN TO VISIT LONDON ON JULY 6 TO PARTICIPATE IN CONFERENCE ON UKRAINE’S REFORMS – BRITISH AMBASSADOR

KYIV. July 4 (Interfax-Ukraine) – Prime Minister of Ukraine Volodymyr Groysman will head the Ukrainian delegation at a conference in London on July 6, which will be devoted to reforms in Ukraine, British Ambassador to Ukraine Judith Gough has said.
The conference will be an important event this week. Your delegation will be headed by the premier and he will take several Cabinet members with him , she said at the round table titled “Foreign Policy Audit: Ukraine- the United Kingdom” in Kyiv on Monday.
The diplomat also said that the conference was an initiative of the UK to demonstrate the success of Ukrainian reforms and strengthen international assistance.
We are very concerned that the news about Ukraine in the world’s media is very negative: you can always see that there is war, crisis, corruption. But there is a very positive story, which is necessary to be communicated to people: huge reforms have been carried out for three years, more than any previous governments had done, even despite the situation in which the government came to power. We want to demonstrate the success of Ukraine and strengthen international assistance to Ukraine, Gough said.
As reported, there will be a conference on Ukraine’s reforms in London on July 6.

INVESTOR FROM KAZAKHSTAN BUYS UKRAINE’S REGION-BANK

ALMATY. July 4 (Interfax) – Arif Babayev, a Kazakh investor, bought Ukraine-based Region-Bank, which has been renamed Sky Bank, the bank says in a press release.
“We are going to make large investment in IT systems and take a more careful approach to lending. We have a sufficiently sized liquidity cushion, which will strongly support our operations,” Babayev is quoted as saying.
Babayev is a Kazakh entrepreneur with many years of experience in the banking sector. In 2013-2016, he worked as managing director at Kazkommertsbank, one of the largest banks in Kazakhstan. As at May 31, 2017 Babayev owned a 99.09% stake in Ukraine-based Sky Bank.
The acquisition of Region-Bank started in December 2016 when Babayev bought a 53.54% from Anatoly Voloka, a Ukrainian businessman and the president of the Kharkiv Banking Union.

STARTING PRICE OF 4G LICENSES IN UKRAINE ESTIMATED AT UAH 6.3 BLN – NCCR

KYIV. July 4 (Interfax-Ukraine) – The starting price of licenses for the launch of a 4G network in Ukraine is estimated at UAH 6.3 billion, Oleksandr Zhyvotovsky, the head of the National Commission for Communications Regulation (NCCR), has said
“The budget should receive significant sums from the sale of licenses. The initial cost of licenses, which we propose to the government for approval, will amount to a total of UAH 6.3 billion,” he said at a government meeting.
Zhyvotovsky specified the cost of licenses for the launch of 4G communications in the range of 2600 MHz will be UAH 2.3 billion, 1800 MHz some UAH 4 billion.
“The licenses should be sold at a reasonable price. And the only way to justify the price is to sell through an open tender. Such a sale should stimulate further investments in Ukraine, while operators, who will buy 4G licenses, should invest in the development of infrastructure in future,” the NCCR head added.

NIKA-TERA SEA TERMINAL SEES 74% RISE IN FREIGHT HANDLING IN JAN-MAY

KYIV. July 3 (Interfax-Ukraine) – Nika-Tera marine terminal (Mykolaiv), part of Group DF belonging to Dmytro Firtash, in January-May 2017 handled 1.97 million tonnes of cargo, which is 74% more than in January-May 2016.
The press service of Group DF told Interfax-Ukraine that grain handling totaled 65% (1.289 million tonnes) of entire handling, that for bulk cargo – 28% (556,100 tonnes) and chemicals and mineral fertilizers – 6% (124,600 tonnes).
In January-May Nika-Tera accepted 114 bulk carriers.
IN May, the terminal handled 240,800 tonnes of freight, including 140,400 tonnes of grain (58%), 88,400 tonnes of bulk cargo (37%) and 11,800 tonnes of chemicals and mineral fertilizers (5%). In May, the enterprise accepted 15 vessels.
Transshipment of exported cargo in January-May totaled 229,000 tonnes (3% up year-over-year).

LOT TO INCREASE NUMBER OF WARSAW-ODESA FLIGHTS TO 14 A WEEK

KYIV. July 3 (Interfax-Ukraine) – Poland’s LOT airline will increase the number of flights on the Warsaw-Odesa route to 14 each destination a week by the beginning of September.
LOT CEO Rafal Milczarski said at a press conference in Odesa on Friday that the number of flights will be gradually increased, starting from July 19.
He said that the new schedule would allow Odesa residents to use the flights from a hub in Warsaw and fly to 70 countries.
LOT’s Embaraer planes and Bombardier CRJ900 of Estonia’s Nordica airline will service the flights.
LOT Polish Airlines provide around 5 million passengers a year with almost 60 destinations all over the world via Warsaw.