Tag Archives: business

Azerbaijan’s SOCAR postbones DESFA deal

SEPT. 27 2016 (The Conway Bulletin) – SOCAR, Azerbaijan’s state-owned energy company, postponed by one month the deadline for its purchase of a 66% stake in Greek gas distributor DESFA. The purchase guarantee, by which SOCAR would have to buy 49% of DESFA if it finds a partner to buy a 17% stake, was due to expire at the end of September. The EU froze the €400m ($446m) deal, signed in 2013, due to regulations on market competition.

ENDS

(News report from Issue No. 298, published on Sept. 30 2016)

Kyrgyzstan’s reservoir water level increases

SEPT. 26 2016 (The Conway Bulletin) – Water levels at Toktogul, a key reservoir in Kyrgyzstan, have increased to a four year-high, prompting the government to reassure people about winter electricity supplies. Tagzhana Aidaraliyeva, a spokesperson for the company managing Toktogul said water levels have reached 17.4b cubic metres in mid-September. In 2014, water levels had fallen to 11.9b cubic metres, forcing Kyrgyzstan to increase electricity imports and ration its distribution.

ENDS

(News report from Issue No. 298, published on Sept. 30 2016)

Kazakh ministry requires solution from ArcelorMittal

SEPT. 27 2016 (The Conway Bulletin) – Kazakhstan’s ministry of investments and development said that steelmaker ArcelorMittal Temirtau needs to present a viable timetable to fix its financial problems or it could face legal prosecution. Albert Rau, the minister, told official media that the company could be using seasonal stoppages at its plant in central Kazakhstan to avoid finishing the year with a profit.

ENDS

(News report from Issue No. 298, published on Sept. 30 2016)

HeidelbergCement to invest in Georgia

SEPT. 28 2016 (The Conway Bulletin) – Germany’s HeidelbergCement said it will invest $100m into expanding its cement and concrete plant in Kaspi, a small town 50km outside of Tbilisi in northern Georgia. HeidelbergCement has operated in Georgia for 10 years.

ENDS

(News report from Issue No. 298, published on Sept. 30 2016)

Cartu Foundation to invest in Georgia

SEPT. 27 2016 (The Conway Bulletin) – The Cartu Foundation and the Georgian Co-Investment Fund, both supported by Georgia’s richest man Bidzina Ivanishvili, have invested $80m in the construction of a new hotel and a botanical garden in the town of Ganmukhuri, on the unofficial border with Abkhazia. Abkhazia is a breakaway region that declared its independence from Georgia after a brief war in 2008.

ENDS

(News report from Issue No. 298, published on Sept. 30 2016)

US-based company makes progress in Georgia

SEPT. 26 2016 (The Conway Bulletin) – US-based Frontera Resources said it has made progress at the South Kakheti gas complex it operates in Georgia, announcing a new drilling campaign for October. Frontera also said it will go forward with a financing deal it reached with YA II PN, part of the Yorkville Advisors financial group. Frontera will raise around $686,000 through a share issue in London.

ENDS

(News report from Issue No. 298, published on Sept. 30 2016)

Kyrgyzstan-gold miner raises cash

SEPT. 28 2016 (The Conway Bulletin) – Kyrgyzstan-focused miner Chaarat Gold said it raised £4.1m ($5.3m) by issuing 78.8m new shares in London. Labro Investments, which previously held a 25.6% stake in the company, will raise its ownership to 31.7%. Last week, Martin Andersson, owner of Labro Investments, was named non-executive chairman of the British Virgin Islands-registered company.

ENDS

(News report from Issue No. 298, published on Sept. 30 2016)

ADB funds road in Kyrgyzstan

SEPT. 28 2016 (The Conway Bulletin) – The Asian Development Bank (ADB) agreed to issue $95m in loans and grants to Kyrgyzstan for the reconstruction of the North-South Corridor, a vital road link. The Eurasian Development Bank, the Islamic Development Bank, the Saudi Fund for Development and China’s Export-Import Bank are also participating in the reconstruction of the road.

ENDS

(News report from Issue No. 298, published on Sept. 30 2016)

Tajikistan’s TALCO told to cut production

SEPT. 27 2016 (The Conway Bulletin) – TALCO, Tajikistan’s aluminium smelter and the country’s biggest industrial asset, should cut output to survive because aluminium prices have fallen below production costs, the company auditors said.

Tajikistan’s government has repeatedly intervened to give TALCO incentives and preferential loans but has not been able to prevent thousands of job losses.

Now production cuts are likely.

“This year, a significant decrease in the level of world prices for aluminium has impacted TALCO’s earnings. The company auditors have suggested that the management orders a cut in production in order to keep financial losses at a minimum,” TALCO said in a statement.

TALCO produced over 73,000 tonnes of aluminium in the first half of 2016, a 13.5% increase compared to the same period last year. It exports to clients in Turkey, Taiwan, Iran, British Virgin Islands, Uzbekistan and Pakistan.

Low commodity prices, though, meant it sold aluminium at a price range of $1,400-$1,600/tonne. Production costs have reached $2,000/tonne. In April, it laid off around 600 workers to cut costs.

ENDS

(News report from Issue No. 298, published on Sept. 30 2016)

Oil rig catches fire in Azerbaijan’s Caspian Sea

SEPT. 26 2016 (The Conway Bulletin) — A gas leak caused an explosion at an oil platform in the Guneshli oil field, off the coast of Baku.

Although nobody was injured or killed, the fire at Platform 19, will once again raise concerns about safety at oil platforms in Azerbaijan’s Caspian Sea, less than a year after at least 31 rig workers were killed at two other rigs in a storm.

SOCAR, Azerbaijan’s state-owned oil and gas company operated the platform.

It said that the fire had burned for a full day before it was brought under control by fire-fighters.

SOCAR said that all 49 workers were evacuated during the fire.

Azerbaijan’s oil industry is still trying to recover its credibility after the rig fire in December, the deadliest since the Piper Alpha fire in the North Sea killed at least 167 people in 1988.

ENDS

(News report from Issue No. 298, published on Sept. 30 2016)