MOSCOW (MRC) -- The chances of HIP-Petrohemija’s survival should be sought in integrated development of the oil refinery’s and petrochemical processing, as it was concluded Wednesday, February 12, during the meeting held with the Serbian Government which was attended by Minister of Energetics Ms Zorana Mihajlovic and Minister of Finance Mr Lazar Krstic, their collaborators, general director of HIP-Petrohemija – Mr Velimir Unkovic, and representatives of the Independent Trade Union and Engineers and Technicians Trade Union, said the producer in its press-release.
It has been agreed that HIP-Petrohemija should prepare Planning and Analyses for Profitable Opeartions of the Company, and after that the representatives of the Serbian Government and competent ministries shall have another meeting with NIS and HIP-Petrohemija where the possibilities of cooperation between these two comapanies shall be discussed.
It has been concluded that the deadline for completing the company restructuring procedure shall be prolonged, and that the issue of gas supply to HIP-Petrohemija has to be urgently solved.
We remind that, as MRC reported previously, HIP-Petrohemija had approved the investment project in late August to increase the production capacity of HDPE, for the financing of which the company will allocate EUR2.4 million from its own resources.
NIS is one of the largest integrated oil and gas companies in South-Eastern Europe, engaged in exploration, production and refining of oil and gas, and marketing petroleum products. Major shareholders are Gazprom Neft (56.15%) and the Government of the Republic of Serbia. (29.88%). The rest of the shares are owned by minority shareholders.
HIP Petrohemija owns petrochemical complexes located in Pancevo, Elemir and Crepaja. The core business is the production of HDPE, LDPE and other petrochemical products. The annual production capacity of the company is 700,000 tonnes. As per MRC information, the HIP Petrohemija"s products are not significantly represented in the Russian and Ukrainian HDPE markets.
MRC