Polish group Ciech, which owns a soda ash factory in Ramnicu Valcea, will not leave Romania and plans to restart its activity after building its own steam production unit, unless a last-minute solution for securing steam supply at an affordable price is identified, Witold Urbanowski, general manager of Ciech Soda Romania announced.
However, production at the factory in Ramnicu Valcea could remain closed until the group builds its own steam production unit.
In August, Ciech Soda announced that it could initiate the procedure for closing the production at its factory in Râmnicu Vâlcea (southern Romania), starting September 18, 2019. The group explained at that time that the steam price asked by CET Govora, which lost coal production capacities after an accident, makes the continuation of its operations inefficient.
“We see our growth plans blocked, although we see the potential of the Romanian market. We have two projects: increasing the production capacity and diversifying it by producing sodium bicarbonate. However, at this price of steam, I can do nothing, I have already cut costs, I have fired 25 people, I can not cut costs anymore," said Urbanowski.
He added that all Ciech plants have its own steam production facilities and perhaps this will be the case in Romania as well.
Talks are underway for a partnership with the local administration and Chimcomplex, the new owner of the Oltchim petrochemical platform, which also rely on steam produced by CET Govora, the Polish official informed.