Business news from Ukraine

Business news from Ukraine

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).

RAIFFEISEN BANK AVAL POSTS 88% RISE IN NET PROFIT IN H1, 2017

KYIV. Aug 1 (Interfax-Ukraine) – The net profit of Raiffeisen Bank Aval (Kyiv) in January-June 2017 amounted to UAH 2.738 billion, which is 88% more compared to the same period of 2016 (UAH 1.456 billion).
According to a financial report on the bank’s website, its net interest income for the first half of this year increased by 15.5% compared to the corresponding period last year, to UAH 2.739 billion.
In addition, the bank received a commission income of UAH 1.040 billion (25.5% more).
The bank’s assets for the first six months increased by 8.8%, to UAH 60.912 billion, in particular loans and advance payments to customers increased by 10.2%, to UAH 30.859 billion.
Its charter capital at the end of this period remained at the same level – UAH 6.155 billion, while net worth decreased by 8.8%, to UAH 9.181 billion.
Raiffeisen Bank Aval was founded in 1992. According to its data, as of January 1, 2017 Raiffeisen Bank International (RBI, Austria) owned 68.27% of the charter capital in the financial institution, the European Bank for Reconstruction and Development (EBRD) held 30%.
Raiffeisen Bank Aval ranked fifth among 90 operating banks as of April 1, 2017 in terms of assets (UAH 57.684 billion), according to the National Bank of Ukraine.

RGK TRADING SIGNS AGREEMENT WITH EUSTREAM ON ACCESS TO SLOVAK GTS FOR GAS IMPORTS TO UKRAINE

KYIV. Aug 1 (Interfax-Ukraine) – RGK Trading company on June 21 signed an agreement with Eustream on access to Slovak gas transportation capacities to import gas from EU countries to Ukraine, the company’s press service has reported.
“The agreement gives RGK Trading the right to use the capacity of the Slovak gas transportation system (GTS) for gas imports from the EU countries to Ukraine. The framework contract with the operator of the Slovak GTS provides RGK Trading with direct access not only to the natural gas market of Slovakia but also neighboring countries: this is the Czech Republic (the NCG hub zone), Austria, and Hungary (the CEGH zone),” the report said.
RGK Trading added within the strategy of diversification of supplies in May-June trial purchases of gas in Europe have already taken place (the volume of test batches is about 6 million cubic meters).
“In accordance with the contract with Eustream, RGK Trading has been allowed to participate in auctions on which Eustream puts the free transport capacity of its GTS. And it is possible to buy out free capacity for a period of a day, a month, a quarter or a year at such auctions. The starting price of capacity depends on the period and volume: the longer the period and the greater the amount of capacity put up for bidding, the cheaper is the transit of a cubic meter of gas,” the press service said.

AOT ENERGY INTERNATIONAL COMMODITIES TRADER OPENS REPRESENTATIVE OFFICE IN UKRAINE

KYIV. July 31 (Interfax-Ukraine) – AOT Energy international commodities trader is opening a representative office in Ukraine.
According to the unified register of companies, AOT Energy Ukraine with an office in Kyiv was registered on July 14, 2017. Its core business is trade with natural gas.
The parent company of AOT Energy Ukraine is AOT Gas Holdings AG (Switzerland).
As reported, earlier AOT supplied gas to Ukraine via its division in Poland.
MET and Trafigura international traders have opened their offices in Ukraine.
France’s Enfie is seeking to receive a license to supply gas in Ukraine.