Business news from Ukraine

Business news from Ukraine

Ukrainian group of companies UPG purchased terminal for transshipment of oil products in Poland

Ukrainian UPG Group has entered into an agreement to acquire assets of Polish company Baltchem SA Zakłady Chemiczn, as a result the network has got at its disposal a powerful marine terminal in Poland for transshipment and storage of oil products.
According to the group’s statement on its website, this will enable uninterrupted fuel supplies to Ukraine at affordable prices.
It is emphasized that all fuels sold by UPG come from Europe and comply with the fifth environmental standard.
“Adapting our business to today’s challenges, we have established reliable and stable partnership relations with such European producers of high-quality oil products as Royal Dutch Shell, Total Energies SE, Neste Oyj, Glencore Energy in the shortest time,” the statement says.
As UPG notes, from the first days of the large-scale war in Ukraine, the group terminated its partnership with the Belarusian fuel producer, completely abandoning their products, and does not supply Russian fuel since the beginning of the aggression of the Russian Federation in 2014: the annexation of Crimea and the occupation of certain territories of Donetsk and Luhansk regions.
The UPG brand belongs to the fuel company Ukrpaletsystem (Korosten, Zhytomyr Region), which has been operating on the market since 2003.

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CONSTRUCTION OF CARGO TERMINAL AT BORYSPIL AIRPORT TO START IN AUTUMN

The construction of a cargo terminal at Boryspil International Airport (Kyiv region) is scheduled to begin this fall, the press service of the European Business Association (EBA) has said, following a meeting of Deputy Infrastructure Minister Oleh Yuschenko and airport representatives.
According to the EBA, with reference to the Ministry of Infrastructure, design work is currently underway to prepare for the construction of the cargo terminal, for which additional land plots have already been allocated. Provided that all preparatory work is completed on time, construction will begin in the fall and should be completed 16 months later.
“Thus, according to optimistic estimates, Boryspil airport will receive a new cargo terminal by the end of 2021,” the report says.
The association notes that the construction of the terminal will be carried out at the expense of attracted credit funds, which, according to representatives of Boryspil airport, have already been previously agreed upon. In turn, the Ministry of Infrastructure is negotiating, in particular, with Asian countries on attracting additional transit flows and is working on simplifying document flow.
“The business community approves such news, because logistics companies have long been awaiting the implementation of this project. The association’s logistics committee includes companies that transport goods, including by air, in international traffic and within Ukraine. Business representatives have a significant share in freight flow, which passes, in particular, through the cargo terminal of Boryspil airport,” the EBA said.
One of the main reasons that currently hinder the development of air cargo transportation in Ukraine, the association calls the worn-out infrastructure of the cargo terminal of Boryspil airport, since the structure of the terminal and its capacity have remained unchanged for many years. In this regard, problems regularly arise during the transportation of goods, especially in winter, when due to bad weather the airport cannot cope with the volume of load, the association explained.

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EVT PORT GRAIN TERMINAL COMPLETES SINKING PILES FOR 20 NEW SILOS

EVT port grain terminal has completed sinking 4,000 piles for erecting 20 grain silos as part of phase three of the development of the terminal, the press service of EVT said on Friday.
“Sinking piles in the ground is the most difficult and time-consuming step in the construction of silos. The advantage of this method is the reliability and stability of the structure, as well as the ability to carry out excavation work in a short time,” the press service said.
As reported, the piles were sunk to a depth of 13 meters. For each silo, 200 piles were driven. Next, the concrete foundation of the future silos was poured.
According to EVT, nine such bases are currently ready. The installation of metal structures and the assembly of the domes of three silos are going on. The dome of the first silo is being prepared for raising.
It is planned that by the beginning of the 2020/2021 agricultural year, the construction of eight silos with a storage capacity of 8,800 cubic meters each will be fully completed.

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NIKA-TERA SEA TERMINAL HANDLES 2 MLN TONNES OF CARGO SINCE YEAR START

Nika-Tera sea terminal (Mykolaiv), part of Dmytro Firtash’s Group DF, handled 2 million tonnes of cargo from January 1 to April 10, 2020, the company said on Facebook.
“After 49,000 tonnes of Ukrainian corn for export had been loaded on board the Panamax GRIZZLY, on April 10 Nika-Tera port’s cargo turnover amounted to 2 million tonnes from the beginning of 2020. This batch of corn is sent by Louis Dreyfus to Spain,” the report says.
The GRIZZLY bulk carrier was loaded at the eleventh berth of the port simultaneously with two loading machines, which allowed Nika-Tera to achieve a daily loading rate of 36,000 tonnes.
According to the company, in the first quarter of 2020, Nika-Tera’s cargo turnover amounted to 1.87 million tonnes, which is 1.5% more than in the same period last year.
In general, in the first three months of operation, the port handled 85 vessels, including two bulk carriers with additional loading at the roads, as well as four tankers with sunflower oil.
In the structure of cargo turnover, the main cargo remains cereals, legumes and oilseeds, which accounted for 65% of the quarterly transshipment volume or 1.22 million tonnes. Bulk cargo amounted to 14% or 270,000 tonnes, meal some 17% (320,000 tonnes), and oil transshipment some 4% (70,000 tonnes).

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BLACK SEA OIL INDUSTRY PLANS TO BUILD VEGETABLE OIL TERMINAL AT PIVDENNY MARITIME MERCHANDISE PORT

Black Sea Oil Industry LLC (Kyiv) plans to build a vegetable oil refining and bottling complex at the Pivdenny maritime merchandise port (Odesa region).
According to the unified register of environmental assessment, the complex will have an oil refining workshop with a daily capacity of 350 tonnes or an annual capacity of 115,500 tonnes and a vegetable oil bottling workshop with the same capacity.
The bottling workshop will have two plastic bottling lines with a capacity of 10,000 liters per hour and 12,500 liters per hour.
According to the unified public register of companies and private entrepreneurs, the founder of Black Sea Oil Industry LLC is Iryna Hlushets. The company was registered in June 2019.

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NIBULON CONFIRMS INTENTION TO BUILD TRANSSHIPMENT TERMINAL IN UKRAINE

JV Nibulon LLC (Mykolaiv), one of the largest grain traders in Ukraine, has confirmed its intention to build a terminal in Mykolaiv for loading grains and oilseeds to river transport with a storage capacity of 120,000 tonnes of agricultural products.
“With this initiative, our company has been contacting the competent authorities since 2016, but this issue has not been resolved for more than two years. Despite this, we confirm our intention for the construction of this facility,” Nibulon said in a statement.
Nibulon confirmed its intentions in connection with the publication on the official website of Mykolaiv City Council of design documentation and a report on strategic environmental assessment. In particular, the matter concerns the construction of a terminal with an area of 5.67 hectares, a storage capacity of 120,000 tonnes of grain products, and an area for trucks of 2.5 hectares for loading grain and oilseeds to the Nibulon river transport.
JV Nibulon LLC was established in 1991. It is one of the largest operators in the grain market of Ukraine.

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