EP Power Europe wants to buy 100% YUZGAZ B.V.

EP Power Europe (EPPE), a company in the European energy holding company grouping EPH, is prepared to acquire 100% of Netherlands-based YUZGAZ B.V. from Emerstone Energy S.C.Sp, a company registered in Luxembourg. Negotiations between the partners are currently in the final stage, with the transaction scheduled to be completed as soon as the Yuzivska PSA is approved by the government of Ukraine. YUZGAZ B.V. had won the tender announced in 2015 by Nadra Yuzivska to participate in the Production Sharing Agreement (PSA - for redistributing production between the government and investors) for development of the Yuzivska License, authorizing the exploration and production of natural gas in the region. Simultaneously, EP Power Europe is also ready to assume the financial guarantee for the investment program to which YUZGAZ had previously committed itself in the PSA. When EPPE enters the Yuzivska Project, NAFTA a.s., a company incorporated in Slovakia and a member of the EPH family, will then become the technical operator for the Ukrainian company. NAFTA has over a century of history and experience producing hydrocarbons and both constructing and utilizing underground natural gas storage facilities. “We are confident about the Yuzivska License project,” said NAFTA CEO Martin Bartošovič, continuing: "We understand Ukraine’s desire to increase the amount of natural gas it produces domestically. The sooner we can start working in the region, the sooner Ukraine will be able to economically exploit its underground energy reserves and reduce its need for imported gas.” NAFTA a.s. is presently active in Ukraine, exploring and preparing to produce natural gas at the Uzhhorod License in cooperation with CUB Energy Inc. “A joint NAFTA-EPH team has been involved in the Yuzivska project for over a year and a half and we believe that the proposed conditions (in the PSA) with which YUZGAZ enjoyed success in past tenders will be again perceived by the Ukrainian Government as fair and they will be acknowledged in the foreseeable future,” pointed out EPH group spokesman Daniel Častvaj, adding: “We see Ukraine as a promising market, where cooperation between the investor and the government can be a win-win for both.”

EP Power Europe (EPPE) is a unique energy utility, as it focuses primarily on producing energy from both conventional and renewable sources. Among other things, the company is active in coal mining, logistics and commodity trading. EPPE operates in five European markets, particularly in Germany, Slovakia, Italy, the United Kingdom and the Czech Republic. With its balanced portfolio of nuclear, hydro, coal, solar, wind, natural gas and biomass power plants, EPPE manages a total installed capacity of 22 GWe. EPPE is a subsidiary of Energy and Industrial Holding (EPH), a company formed in 2016 from the allocation of a number of European assets. The group has gradually grown with new acquisitions and now ranks in capacity among Europe’s Top Ten energy companies.

NAFTA is a modern company with diversified and extensive experience across the energy sector. NAFTA is Slovakia’s leader in exploration and production of hydrocarbons. NAFTA also provides drilling and workover services for third parties in Central and Eastern Europe, applying modern technology and operational practices to safeguard the environment. NAFTA is also involved in developing and managing underground natural gas storage facilities. NAFTA plays a key role in the security of gas supplies in Slovakia and Central Europe via its underground natural gas storage facilities, which have a capacity of ca 30 TWh.

 

14:14 / 14 August, 2018