Bulgaria Energy Minister: Kremikovtsi Will Continue to Receive Gas Supply

Business | July 31, 2008, Thursday // 00:00

The gas supply for the steel mill "Kremikovtsi" would not be lowered under the ctiritcal minimum as promised by Bulgarian Energy and Economy Minister Petar Dimitrov Thursday.

Wednesday the company "Bulgargaz" warned the steel mill that if they did not receive the amount of BGN 7,5 M from Kremikovtsi by 4:00 pm Thursday, they would terminate the gas supply to the mill. The above amount is the mill's dept towards "Bulgargaz" for the month of July.

At the moment, the gas supply company is still waiting to receive an offer from "Kremikovtsi's" management proposing a solution of the problem.

From "Bulgaragaz" have been firm that they do not wish to stop the gas supply to the mill since "Kremikovtsi" was their biggest customer.

At the same time, the trade unions from "Kremikovtsi" have informed that there was no payment to "Bulgargaz" yet, but they believed that the gas company was serious enough to keep the gas supply at the critical minimum and to negotiate installment payments.

Liyudmil Pavlov, leader of the "Podkrepa" trade union at the mill further explained before Darik radio that "Kremikovtsi's" management was still awaiting a meeting with Prime Minister Sergey Stanishev. It is expected that at the meeting Stanishev would announce the State's decision regarding the mill's future.

The trade unions at the mill have stated once again that they supported declaring the mill insolvent and executing a rehabilitation plan, offered so far only by the Ukrainian company "Vorskla Steel" owned by Konstantin Zhevago.

The Indian businessman Lakshmi Mittal and the Ukrainian Konstantin Zhevago have been competing for months with offers to purchase the steel mill.

The insolvency claim has been filed by one of Zhevago's companies along with several other businesses while the Sofia District Court announced Tuesday that they would make the decision about the insolvency of Bulgaria's infamous steel mill in 14 days.

We need your support so Novinite.com can keep delivering news and information about Bulgaria! Thank you!

Business » Be a reporter: Write and send your article

Advertisement
Advertisement
Bulgaria news Novinite.com (Sofia News Agency - www.sofianewsagency.com) is unique with being a real time news provider in English that informs its readers about the latest Bulgarian news. The editorial staff also publishes a daily online newspaper "Sofia Morning News." Novinite.com (Sofia News Agency - www.sofianewsagency.com) and Sofia Morning News publish the latest economic, political and cultural news that take place in Bulgaria. Foreign media analysis on Bulgaria and World News in Brief are also part of the web site and the online newspaper. News Bulgaria