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OPP suspends operations due to high gas prices, debts

30.12.2016 16:12 "Agro Perspectiva" (Kyiv) The Ukrainian major chemical company «Odesa Portside Chemical Plant» (OPP) has announced it is halting operations due to high gas prices and its debt to Naftogaz of Ukraine in the amount of UAH1.5 milliard, UNIAN says referring to the OPP website. «Due to the high price of natural gas supplied by Naftogaz of Ukraine, which does not correspond with the prices of the Plant products on the world market… it was decided on a temporary suspension of capacities and facilities until repayment of the existing debt,» the report reads. As to the report, in coordination with the Ukrainian State Property Fund, the Plant is looking for companies interested in renting it for a long period. As to the earlier report, this year, the Ukrainian State Property Fund had made two attempts to sell the OPP but both attempts failed. It is to be admitted, presently the Plant further operations are threatened to be halted as the company has a nearly US$251 million debt to Ostchem (owned by a Ukrainian businessman Dmytro Firtash) and an over UAH500 million debt to Naftogaz of Ukraine, while the contract for gas supplies to the OPP expires this year Dec 31.

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