Gas Ukrainy Resumes Supply To Kyivenergo (KIEN)

Gas Ukrainy, Ukraine’s largest gas supplier and a subsidiary of state company Naftogaz, has resumed gas deliveries to Kiev CHPP #5 and #6 leased by Kyivenergo. On 16 February, Kyivenergo shut down its first power unit of CHPP 6 because of gas supply limitations. Supplies were restructured due to Kyivenergo’s debt to Gas Ukrainy. Kievenergo plans to settle the debt by April. Concorde Capital: Kievenergo requested that debt payment be prolonged until April 2005, but Naftogas refused. A new head of Naftogas was appointed earlier this month and the supply conflict has been resolved. Now we will see if KIEN will be able to pay its debts by the end of the month.