PETROCHEMICAL MARKETS
HIP Petrohemija restarts production / Naphtha supplier NIS converts debts into shares
 Serbia's economics minister Mladan Dinkic symbolically restarts ethylene production at HIP (Photo: HIP) |
In what proved to be a high-profile appearance, Serbia's economics minister Mladjan Dinkic pressed the button to restart the ethylene line at HIP Petrohemija (Pancevo; www.hip-petrohemija.com), the country's largest petrochemicals group. The facilities did not operate for nearly three months because HIP was unable to pay for its naphtha supplies – see Plasteurope.com of 18.08.2009. Apart from ethylene, the plant also produces propylene, LDPE, HDPE and SBR.
HIP’s debt problem has been partly solved: Acting as a creditor, oil company Naftne Industrija Srbije (NIS), which is controlled by Russia's Gazprom, will convert its liabilities into a 25.79% stake in the company. The Serbian government will also convert EUR 50m of debts into a further share of what is already a government-controlled company. In so doing, the liabilities are said to have been reduced by EUR 224m.
To secure long-term feedstock supplies, NIS head Cyril Kravcenko and Dinkic signed a “strategic cooperation” protocol between the two companies.
HIP’s debt problem has been partly solved: Acting as a creditor, oil company Naftne Industrija Srbije (NIS), which is controlled by Russia's Gazprom, will convert its liabilities into a 25.79% stake in the company. The Serbian government will also convert EUR 50m of debts into a further share of what is already a government-controlled company. In so doing, the liabilities are said to have been reduced by EUR 224m.
To secure long-term feedstock supplies, NIS head Cyril Kravcenko and Dinkic signed a “strategic cooperation” protocol between the two companies.
02.10.2009 Plasteurope.com 794 [214508-0]
Published on 02.10.2009
German version of this article...