Business news from Ukraine

STATE-OWNED UKRAINIAN SEA PORTS AUTHORITY CLEANS AREA NEAR SITE OF DELFI TANKER SINKING NEAR ODESA

State-owned Ukrainian Sea Ports Authority (USPA) has said it eliminated pollution of the sea next to the sunken tanker Delfi in the area of Dolphin Beach. The enterprise insists on solving the problem of raising it, stressing that the ship owner must do this, USPA’s press service said on Thursday.
“The administration of the seaports of Ukraine, taking into account the active discussion of this issue by the public, emphasizes that the only legal way to solve the problem with the emergency tanker is to carry out all the work and eliminate the consequences of the incident directly and exclusively by the owner,” the statement said.
At the same time, the state-owned enterprise notes that the USPA does not have any legal grounds for independently raising the vessel. According to Article 123 of the Merchant Shipping Code, USPA will receive such a right only if a number of conditions and circumstances independent of it arise directly:
– the owner of the vessel will not ensure its recovery within the time limits established by the captain of the port (State services of sea and river transport of Ukraine). USPA will have the right to raise the vessel no earlier than July 20, 2020;
– the State Environmental Inspectorate provides an appropriate document stating that the tanker poses an immediate threat to environmental pollution;
– the owner of the vessel documents the readiness and undertakes to compensate USPA SE the cost of the work;
– the captain of the port of Odesa grants permission to raise property that has sunk within the water area of the seaport.
“If at least one of the above conditions does not occur, the right (and in this case the obligation) to raise and remove the vessel will remain solely with the owner. As of June 23, USPA received an official, clear and unambiguous refusal for compensation of expenses, and also assured of a full understanding of the responsibility and financial, organizational and technical readiness of the ship owner to raise his own ship,” USPA said.
At the same time, as noted in the message, organizationally, USPA was ready as early as April 1, 2020 (the deadline originally set by the port captain). Tender documentation was worked out and agreed and funds are provided in the financial plan.
According to the latest data from the state-owned enterprise, the work execution plan provided by the ship owner was worked out and agreed by the captain of the Odesa Sea Port and the State Environmental Inspectorate. Based on the above, the activation of the preparatory work, at the request of the ship owner, the deadline for the completion of the work on cleaning the tanker from the Odesa beach by the port captain has been extended.
Earlier, the State Environmental Inspectorate reported that according to the results of samples taken by Ukraine’s State Ecological Inspectorate, the content of oil products in the Black Sea near the Dolphin beach (Odesa) is 16.4 times higher than the permissible concentration.
As reported, in the Gulf of Odesa, the Delfi tanker under the flag of Moldova suffered a disaster – the ship broke anchor.
USPA said initially the tanker was in neutral waters and did not apply for entry into the Odesa or “South” sea ports. But later a signal was given that the ship was in distress, it was left without fuel, with an inoperative engine. In this regard, the Odesa Rescue Coordination Center, which received the signal, began to take measures to eliminate the emergency. It was agreed to tow the tanker to Ochakiv port.
On the night of November 22, Delfi managed to gain an anchor at a distance of about 1 mile from the coast near the Dolphin Beach. However, according to USPA, at 5:00, the vessel began drifting again. On the evening of the same day, rescuers managed to evacuate three crew members from the ship. They were hospitalized, doctors reported overwork and hypothermia.
The owner of the vessel had to take measures by March 31, 2020 to raise and remove the sunken tanker from the waters of Odesa Sea Port. On April 1, the prosecutor took control of the case.

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ODESA SEAPORT SEES 3% RISE IN CARGO HANDLING

Odesa seaport handled 10.45 million tonnes of cargo in January-May 2020, which is 3.2% more than in the same period in 2019.
According to the data of the Ukrainian Sea Ports Authority, for the specified period, the port increased the transshipment of exported cargo by 0.3%, to 7.693 million tonnes, imported cargo by 22.9%, to 2.241 million tonnes. Coastal cargo handling decreased by 33.1%, to 41,730 tonnes, and transit cargo by 16.4%, to 473,990 tonnes.
The transshipment of bulk cargo at the Odesa Sea Port increased by 15.5%, to 780,810 tonnes, dry and bulk cargo decreased by 13.4%, to 3.71 million tonnes, package cargo increased by 14.2%, to 5.959 million tonnes in January-May.
Processing of containers for the period amounted to 271,869 TEU (an increase of 8.8% compared to the same period in 2019).
Odesa seaport is located in the southwestern part of Odesa Bay on an artificially created area of 109.5 hectares.
The port serves ships up to 270 meters long with a draft of up to 13 meters. The total length of the mooring line is more than eight kilometers.

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UKRAINE INTERNATIONAL AIRLINES RESUMES REGULAR FLIGHTS KYIV-ODESA

Ukraine International Airlines (UIA) resumes regular flights between Kyiv and Odesa on June 5.According to the company’s press service, flights from Kyiv will be carried out on June 5 and 6, and in the opposite direction on June 8 and June 9.
According to the data in the UIA reservation system, the cost of one ticket with baggage is from UAH 1,500.
The airline asks passengers to adhere to the quarantine rules, to carry personal protective equipment, masks, and also to remember the need to maintain a social distance at the airport.
As reported, the Cabinet of Ministers of Ukraine decided to launch domestic flights from June 5, and international flights from June 15.

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PRICES IN ODESA HOTELS FALL TO HISTORIC LOW

The cost of staying in three- and four-star hotels in Odesa has decreased by half compared to the same period in 2019 and averages UAH 650 per day ($24), founder of Ribas Hotels Group Artur Lupashko has told Interfax-Ukraine.
“Today, the average price in three- and four-star hotels is UAH 650 per day ($24) in Odesa. This is an unprecedented low rate over the past 20 years. In the same period last year, such a room cost at least twice as much and was three times more expensive in 2013,” Lupashko said.
According to his estimates, the expected decline in gross income and net profit of hotels will be 20-40% in 2020 compared to the indicators in 2019.
“The positive dynamics can continue in cottage-type hotels and recreation centers, which have been in high demand since April and have increased in price in some cases up to 50%. Some of them have already been booked for the whole summer by guests who, as a rule, spent the summer in Cyprus, Spain, Italy,” he said.
However, hotels do not count on guests from other countries in 2020.
“The vast majority of Belarusian tourists were in the resort budget hotels. According to information available today, guests from Belarus will not be allowed to Ukraine this year. Most likely, these may be guests from Moldova and Turkey in the second half of the year. However, the share of such tourists will be minimal and will not have significant influence on the market,” the expert said.
Ribas Hotels Group collaborates (management and booking) with 25 hotel and restaurant complex facilities (beach and ski hotels, hostels and recreation centers), two of which are its own. The company’s portfolio includes Wall Street Hotel business hotel, Bortoli city mini-hotel (all are located in Odesa), Richard hotel complex (Hrybivka), Kyparys park hotel (Yuzhne), Seazone mini-hotel (Karolino-Buhaz), a chain of youth hostels Friday and others.
The total number of rooms of the chain was 1,234 rooms in various forms of cooperation at the beginning of 2020.
Ribas Hotels Group provides integrated management, exclusive booking, franchising and design services.
Ribas Hotels Group LLC was established in 2017. According to the unified register of legal entities, individual entrepreneurs, director and owner of a 100% stake in charter capital of the company is Lupashko.

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TURKEY’S ONUR WILL REPAIR 40 KM OF KYIV-ODESA HIGHWAY

The State Agency of Automobile Roads of Ukraine (Ukravtodor) has announced its intention to overhaul 40 km of the M-05 Kyiv-Odesa road at the expense of funds from international financial organizations, Onur Taahhut Tasimacilik Insaat Ticaret Ve Sanayi A.S. (Turkey) was determined as the contractor with a contract signed for the amount of EUR65.033 million.
The agency said on Telegram the reconstruction of the road section (km 87+442 – km 128+028) will be carried out as part of the project for improving the transport and operational condition of roads on the approaches to Kyiv, which is implemented for credit funds of the European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD).
According to Ukravtodor, in particular, the matter concerns three facilities where road, bridge, drainage and other works will be carried out.
“Based on the results of open international tenders in accordance with the principles and rules of the EBRD, Onur Taahhut Tasimacilik Insaat Ticaret Ve Sanayi A.S. was determined as the contractor. A contract was signed with it on January 20, 2020 for a total of EUR65.033 million excluding VAT,” the report says.
According to Ukravtodor, the contractor is currently carrying out preparatory activities. The active phase of the overhaul of the site will begin after the issuance of an appropriate permit for road work by the State Architectural and Construction Inspectorate.

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ODESA SEAPORT INCREASES CARGO HANDLING BY 7%

Odesa seaport handled 4.26 million tonnes of cargo in January and February 2020, which is 7.31% more than in the same period in 2019.
According to the Ukrainian Sea Ports Authority, for the specified period, the port increased the transshipment of exported cargo by 9.86% compared to January and February 2019, to 3.316 million tonnes, the transshipment of imported cargo by 4.04%, to 743,000 tonnes, reduced transshipment of cabotage goods by 14.4%, to 200,850 tonnes. The transshipment of transit cargo decreased by 52.5%, to 1,830 tonnes.
Transshipment of liquid cargo in Odesa seaport in January and February decreased by 37.21%, to 184,330 tonnes, dry and bulk cargo by 1.03%, to 1.643 million tonnes, and piece-by-piece increased by 20.56%, to 2.443 million tonnes.
Processing of containers for the period amounted to 109,244 TEU (an increase of 21.56% compared to the same period in 2019).
As reported, in 2019, the seaport handled 25.344 million tonnes of cargo, which is 16.8% more than in 2018.
The port serves ships up to 270 meters long and a draft of up to 13 meters. The total length of the mooring line is more than 8 km.
Odesa seaport is located in the southwestern part of Odesa Bay on an artificially created area of 109.5 hectares.
The port serves ships up to 270 meters long with a draft of up to 13 meters. The total length of the mooring line is more than 8 km.

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