Odesa Potash Plant faces liquidation after latest privatisation failure

Odesa Potash Plant faces liquidation after latest privatisation failure
Odesa Potash Plant faces liquidation after latest privatisation failure

Risk of closure after latest failure

The Odesa Potash Plant (OPP) may be liquidated after its sixth privatisation attempt failed. This is reported by Forbes. According to the publication, the failure of the auction to sell the OPP for 4.3 billion UAH creates a risk of the plant being split into several legal entities with subsequent closure.

Fate of the chemical purification block

According to a forecast by a Forbes Ukraine source, the Chemical Purification Block (BHO) will be transferred to the balance sheet of the city of Pivdennye. The plant's remaining assets will likely be directed towards liquidation. This decision is linked to the fact that the BHO is responsible for purifying urban wastewater, and its complete shutdown could have negative environmental consequences.

Comment from the head of the State Property Fund

Dmytro Natalukha, head of the State Property Fund, confirmed that a contingency plan exists regarding the OPP but did not disclose its details. He noted that maintaining the mothballed plant costs the state approximately 62 million UAH per month.

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