Romania will auction its stake in the ailing Ukrainian steel complex Krivoi Rog (Kryvyi Rih), developed during the communist regime but currently under bankruptcy after remaining for a long period in conservation, according to a decision drafted by the Government.

The complex was supposed to produce iron ore pellets for the steel furnaces in the same location - owned by ArcelorMittal since 2005.

Romania invested USD 800 mln in the project and received a 27% stake. The largest investor was the USSR, and Ukraine received 56.8% of the project. Slovakia also received 18.2% in the project.

Profit.ro reports about the situation on the site, apparently subject to looting in complicity with the management of the company that is hostile to the Romanian side.

On May 15, 2019, a meeting took place at the headquarters of the Romanian Ministry of Economy between the representatives of Hares Engineering GmbH (Austria) - potential investor for CIM Krivoi Rog, at their request, and representatives of the Ministry of Economy, Ministry of Foreign Affairs and Ministry for Business, Commerce and Entrepreneurship. Potential investors have expressed interest in the pellet factory built by the Romanian side on the Krivoi Rog platform.

andrei@romania-insider.com

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