Business news from Ukraine

Business news from Ukraine

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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ODESA SEAPORT BOOSTS FREIGHT HANDLING BY 12%

The Odesa seaport handled 12.084 million tonnes of freight in January-June 2019, which was 12.3% up year-over-year. During this period the port increased the handling of freight for export by 14.6%, to 9.089 million tonnes, for import by 6.6%, to 2.253 million tonnes, the Ukrainian Sea Ports Authority said. The transshipment of coastal freight tripled, to 85,690 tonnes At the same time, transshipment of transit freight decreased by 4.5%, to 655,430 tonnes.
In January-June 2019, the handling of bulk cargo at the Odesa seaport grew by 4.1%, to 799,380 tonnes, dry cargo by 20.5%, to 4.998 million tonnes, packaged cargo by 7.6%, to 6.286 million tonnes.
Container handling at the Odesa seaport in January-June 2019 totaled to 302,304 TEU (an increase by 6.4%).

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CHORNOMORETS CENTRAL STADIUM IN ODESA WILL BE SOLD ON DUTCH AUCTION

The Individuals’ Deposit Guarantee Fund plans on June 25, 2019 to hold a Dutch auction for the sale of non-residential buildings of the Chornomorets central stadium at 1/20 Marazliyevska Street in Odesa. According to the press service of the agency, the lot also includes the rights of claim under 40 contracts signed with legal entities.
“All the assets are on the balance sheet of JSC Imexbank and offered in this composition for the first time. The initial selling price is UAH 3.666 million. The total area of non-residential real estate located in the historical center of Odesa, which is sold as a single lot, is 80,300 square meters,” the report says.
It says Chornomorets stadium, in addition to the sports part, includes a business center with a restaurant with a total area of 10,700 square meters, a fitness center of 4,300 square meters, a hotel of 9,800 square meters, an underground parking lot, etc.

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SKYUP AIRLINE LAUNCHES FLIGHTS FROM ODESA TO KUTAISI

The Ukrainian airline SkyUp on June 4, 2019 launched flights from Odesa to Kutaisi (Georgia), Odesa airport said on Facebook.
Flights will be operated weekly on Tuesdays and Fridays. Departure from Odesa is at 21:20, back at 19:20. The flight duration is two hours.
The cost of a one-way ticket without baggage starts from UAH 1,800.
As reported, SkyUp launched regular flights from Kharkiv to Odesa.
As of June 2019, SkyUp’s fleet had six aircraft, including four medium-haul Boeing 737-800 NGs with 189 seats and two medium-haul Boeing 737-700 NGs with 149 seats.
In October 2018, SkyUp received the TCO certificate, which allows performing flights to 28 countries of the European Union, as well as to Switzerland, Norway, Iceland, and Liechtenstein.

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CZECH AIRLINES RESUMES FLIGHTS FROM ODESA TO PRAGUE

Czech Airlines (the Czech Republic) has resumed flights from Prague to Odesa from May 30, 2019, according to a posting on the Facebook page of the Odesa airport.
The flights will be operated up to four times a week. In particular, from Odesa from May 30 to June 17 the plane will depart on Tuesdays and Fridays, from June 18 to July 1 – also on Sundays, from July 2 – on Thursdays. Departure time is 5:00 local time.
From Prague, from May 30 to June 16, the flight will be operated on Mondays and Thursdays, from June 17 flights on Saturdays will also be added, and from July 1 – on Wednesdays. Departure time is 22:45 local time.
The cost of a one-way ticket starts from UAH 2,700.
Czech Airlines is the main airline of the Czech Republic and operates flights from Prague to the main destinations in Europe and Asia.

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UIA RESUMES DIRECT FLIGHTS FROM ODESA TO VILNIUS FROM JUNE 15

Ukraine International Airlines (UIA, Kyiv) from June 15, 2019 will launch direct flights from Odesa to Vilnius (Lithuania).
The press service of the airline reported on Monday that the UIA third-weekly flights will be operated on Wednesday, Fridays and Sundays on modern Boeing 737-800 aircraft. The flight will take one hour and 50 minutes.
UIA offers one-way tickets at the price from UAH 1,530 for Odesa to Vilnius flights, and one-way tickets for Vilnius to Odesa flights at the price from EUR 58 (approximately UAH 1,720 at the current exchange rate).
In general, as reported by UIA, the number of direct weekly UIA regular flights connecting Lithuania and Ukraine will increase from 14 to 17 comparing with the previous year.
Ukraine International Airlines was founded in 1992. The fleet consists of 42 airplanes of different modifications. One of the ultimate beneficiaries of the airline is businessman Ihor Kolomoisky.

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