Coal Mines To Be Privatized In 2006.
23 January 2008
In late January the Cabinet ordered the Coal Ministry and the State Property Fund (SPFU) to finish all preparations for the privatization of Ukraine’s coal mines. All preparations must be finished by October. Concorde Capital: The recent gas crisis has sped up Ukraine’s switch to another energy resource – coal. However, most of state coal mines are in disrepair. Ukraine plans to solve this problem by attracting investments in the coal industry. In 2004 the SPFU privatized the Pavlogradvugillia, Krasnodonvugillia and Chervonoarmiyska-Zakhidna mines. The last two, showed positive net margins in 9M05, Pavlogradvugillia declared USD 11.7 mln losses, due to a significant CAPEX program, however, the company finished 2004 with USD 65 mln in profit.
