Business news from Ukraine

Business news from Ukraine

STATE-OWNED BORYSPIL AIRPORT PLANS TO RECONSTRUCT SECOND RUNWAY

State-owned enterprise (SOE) Boryspil International Airport plans to start reconstruction of maneuvering area No. 2 in 2020 under a memorandum signed with Chia Communications Construction Company (CCCC) and relaunch it in 2021.
“The reconstruction works will be paid for using the loan and partly at the expense of the company’s own funds. The Chinese Eximbank can issue a government-secured loan. Financing rates with government guarantees are much lower than commercial ones and do not require additional expenses from the airport,” Commercial Director of the airport Heorhiy Zubko told Interfax- Ukraine.
He said that the Chinese company, at its own expense, prepared and submitted a pre-feasibility study of the project to the airport under the memorandum signed by the airport and CCCC. According to Zubko, the airport has already prepared its comments on the draft pre-feasibility study, which CCCC should resolve before the end of the year, after which negotiations on financing will be held with the bank.
“The procurement procedure was not carried out and the Boryspil airport did not spend the company’s money and the budget,” he said, adding that the construction proposal had been put forward by the Chinese side.
Zubko does not report on the final cost of the reconstruction project, since it will be known only at the final design stage.

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PASSENGER FLOW IN KYIV SIKORSKY INTERNATIONAL AIRPORT MORE THAN DOUBLES IN 2018

The Kyiv Sikorsky International Airport in January-October 2018 serviced 2.42 million passengers, which is 56.3% more than a year ago. “November 13, the Kyiv airport serviced the 2.5 millionth passenger since the beginning of 2018… The plans of the airport are to service 2.8 million passengers in 2018,” the airport said in a press release on Wednesday. Passenger flow increased 64.2%, to 1.85 million. According to the report, in October this year, passenger traffic increased 48.6% from October of last year, to 259,100 passengers.
The airport said that 2.35 million passengers were serviced on international flights in January-October of this year, and only 73,000 passengers on domestic flights, including 251,600 and 7,500 respectively in October.
The number of flights increased 32.9% in January-October 2018, to 25,900, of which international ones made up 21,880. In October, the increase in the number of flights was 27%, to 2,720, including 2,270 international flights.
According to the release, the most popular international destinations in January-October 2018 were Minsk (Belarus), Warsaw (Poland), Sharm el-Sheikh (Egypt), Dubai (the United Arab Emirates), Antalya (Turkey), Ankara (Turkey), Rome ( Italy); internal – Odesa, Zaporizhia, and Lviv.

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LVIV AIRPORT HAS 46% RISE IN PASSENGER TRAFFIC

The Lviv international airport in January-October 2018 saw a 46.3% rise in passenger traffic, to 1.343 million people, the airport has reported on its official Facebook page.
According to the airport, in October 2018, 138,500 passengers took advantage of air transportation (119,900 international, and 18,600 domestic), which is 43.4% more than in October 2017 (96,600).
The number of flights made in October reached 1,355 (1,117 international, and 238 domestic), which is 28% more than in October last year (1,101).
The number of flights in January-October increased 28%, to 12,900 from 10,100.
The new terminal complex of the Lviv airport, built for Euro 2012, was put into operation on April 12, 2012. The new terminal with a total area of 39,000 square meters has nine boarding gates, 28 check-in desks, two self-registration kiosks, 18 passport control points and 12 points for aviation security.
The main international routes served by the airport are: Warsaw, Istanbul, Munich, Vienna, Baku, Thessaloniki, Madrid, Rome, Tel Aviv, Bologna, Radom, Iraklion, Minsk and Burgas.

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UKRZALIZNYTSIA TO ELECTRIFY TRACK SECTION FROM KYIV TO BORYSPIL AIRPORT

PJSC Ukrzaliznytsia is holding talks about the electrification of the track section from Kyiv to the Boryspil International Airport, acting Board Chairman of Ukrzaliznytsia Yevhen Kravtsov said on the sidelines of the event devoted to the final stage of the selection of projects at Future of Mobility Lab.UZ edition on October 29.
According to him, in case of passenger traffic growth, the company plans to add a diesel train produced by Kriukov Car Building Works on the Central Railway Station – Boryspil Airport route.
“Depending on the demand in the project launch process, we are planning to increase the number of trains and cars of trains. We have an agreement with the KCBW [Kriukov Car Building Works] for the supply of diesel trains. Perhaps they will be exploited in this section in the future, if there is a demand,” he said.
According to Kravtsov, the project’s payback period is 9-10 years, and the planned load during the first year should be at least 80% of the capacity.
“Now we are coordinating the schedule, since after the launch of this express train, the section between Darnytsia and Boryspil will be one of the most stressful in Ukraine, especially considering the large number of passengers, including commuter traffic. We plan that in the first stages of launching the frequency in the peak hours will be about 30-40 minutes, in non-peak hours – 40 minutes or an hour and a half,” Kravtsov said.
He also said that now Ukrzaliznytsia is discussing the need for night trains with the airport – the need for such trips is being discussed, taking into account the small number of night flights from the airport.
The train will be launched by the end of November, but there is no exact date yet, since there are a number of remarks from Prime Minister Volodymyr Groysman, which should be taken into account, Kravtsov said.
He also said that negotiations are now being completed with the State Aviation Service of Ukraine and UkSATSE regarding the electrification of the section from Kyiv to Boryspil.
“As soon as this is done, it will simplify the issue of using various types of trains on this route,” he said.

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UKRZALIZNYTSIA TO LAUNCH EXPRESS TRAIN TO BORYSPIL AIRPORT

PJSC Ukrzaliznytsia in November 2018 will launch an express train to the Boryspil international airport (Kyiv region).
“In February was the project, in May – the start of works, and in October – a test launch of the train. In November it will be the launch of the express train,” Prime Minister of Ukraine Volodymyr Groysman said on his Twitter account on Thursday.
The prime minister said that the cost of the project was about UAH 580 million, recalling that the estimated cost of the “infamous Air Express” in 2010 amounted to UAH 3.2 billion.
Groysman also pointed out the convenience of creating a covered gallery between the airport terminal and express platform.
As reported, Transportation on the Kyiv city-the Boryspil international airport route could reach 3.8 million passengers in 2019, according to Ukrzaliznytsia. The company expects that with a ticket price of UAH 80 the payback period for the project will near 10 years. Ukrzaliznytsia does not deny the scenario of increasing the cost of travel, depending on the demand for the service, as well as the factors that negatively affect its production cost for the company.
The estimated travel time will be 35-40 minutes.

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KYIV SIKORSKY AIRPORT PLANS TO BOOST PASSENGER TRAFFIC BY 30% NEXT YEAR

Kyiv Sikorsky International Airport (Zhuliany) in 2019 plans to boost passenger traffic by 25-30% compared with the current year, when it plans to serve 2.6 million people. “We plan passenger traffic will grow by about 25-30% next year from the current level,” Chairman of the airport’s Board of Directors Denys Kostrzhevsky said at a conference at the airport. The previously announced forecast for 2018 set at 2.8 million passengers was reduced because flydubai (the UAE) had switched flights to another airport while the density of the schedule of Estonia’s Nordica had decreased.
As reported, Kyiv Sikorsky International Airport plans to complete the reconstruction and expansion of its main Terminal A from 14,000 to 23,500 square meters by until May 2019. The project is estimated at UAH 630 million.
Kyiv Sikorsky International Airport is located in the business center of the capital, seven km from the city center. It is the second largest airport in Ukraine in terms of the number of flights and passenger traffic.
The airport has three terminals with a total area being 21,000 square meters. The airport’s runway is able to handle B-737 and A-320 aircraft.
In the nine months of 2018, the airport serviced 2.165 million passengers, which was 57.3% up on January-September 2017. In September 2018 alone, passenger traffic grew by 30.6%, to 307,500 people.

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