Ukraine's OPZ suspends search for gas tolling partner ahead of court appeal

Author: Richard Ewing


LONDON (ICIS)--Odessa Port Plant (OPZ) is to lodge an appeal against a local commercial court ruling on Tuesday that means the Ukrainian ammonia and urea producer must suspend its search for a new gas tolling partner.

The state-owned company had been set to finalise talks over the 10-month tender with one of the following: IBE Trade Corp, Maddox SA, and current supplier Agro Gas Trading (AGT).

But an appeal by one of two participants eliminated in the electronic auction for the gas supply contract - SOCAR Energy Ukraine LLC - means no new ally can be chosen ahead of OPZ's appeal.

OPZ said it categorically disagreed with the decision and would appeal against it, meaning the final stage of selection for the feedstock supplier is suspended indefinitely.

SOCAR Energy Ukraine LLC is a unit of the State Oil Company of Azerbaijan Republic (SOCAR), with the latter not having any reference to the ruling on its website.

"OPZ is forced to comply with this court decision, despite the categorical disagreement with it," the Ukrainian manufacturer said in a brief statement.

"An appeal against the decision is currently being prepared, and the final stage of selection [for gas tolling partner] is being suspended."