Install

Get the latest updates as we post them — right on your browser

. Last Updated: 07/27/2016

Business in Brief

Shipbuilding Decree Signed



President Vladimir Putin signed a decree to establish the United Shipbuilding Corporation, which will unify flagships in the sector into one state-controlled giant.

Putin had signed a number of decrees to set up the corporation as well as to transform a number of leading shipbuilding companies from federal unitary enterprises into joint stock companies so that they could become part of the newly established giant, the Kremlin press service said Thursday on its web site. (MT)




Alrosa Risks Losing License



The nation's environmental watchdog said it would apply to strip Alrosa, the world's second-largest diamond miner, of a license to explore for the precious stones at the Dalnaya Kimberlite Tube deposit in Siberia.

Alrosa violated the terms of the license by not starting work at the field in Sakha within the agreed time limits, the watchdog said Thursday in a statement. (Bloomberg)




Gas Sales to China



HONG KONG -- Russia plans to start natural gas sales to China in 2011, the official Xinhua news agency reported Thursday, citing Ambassador Sergei Razov.

Russia is planning to transport 30 billion cubic meters of the fuel every year through two pipelines, Razov was cited as saying in Wednesday's Xinhua report.

A western pipeline will supply gas from Siberia and one in the east will carry gas from Sakhalin, he said. (Reuters)




Gazprom Seeks Pipe Report



Gazprom's Nord Stream natural gas pipeline project, which will link Russia directly to Germany, is pushing through an environmental impact assessment in the face of opposition from Baltic Sea states.

Nord Stream will finish the assessment this summer, the Gazprom unit said Friday. (Bloomberg)




Overflight Plan Agreement



BRUSSELS -- EU nations agreed Thursday on how to share out the charges that EU airlines must pay for flying over Siberia to destinations in China, South Korea and Japan.

Russia has agreed to phase out the overflight fees by the end of 2013 and charge no new airlines using its airspace. The charges can amount to $1.3 million per year per route. (AP)




RusAl and UES Unit Loan



Russian Aluminum and a unit of Unified Energy Systems, Russia's biggest aluminum and power producers respectively, borrowed $520 million to finance the construction of a hydropower plant and smelter in Siberia.

RusAl and Unified hydropower unit Hydro OGK will pay 0.83 percent above the London interbank offered rate on the three-year loan, the companies said Thursday. (Bloomberg)




Hydro OGK Plans Listing



State-controlled hydroelectric power company Hydro OGK aims to list shares by the end of the second quarter of 2008 after consolidating all its assets, its chairman said in an interview published Thursday.

Vedomosti quoted Vyacheslav Sinyugin as saying Hydro OGK planned investment of 329 billion rubles ($12.63 billion) by 2011, including over 50 billion rubles this year as it completes consolidation of its subsidiaries. (Reuters)




Novorossiisk to Issue Bonds



NOVOROSSIISK, Krasnodar Region -- Novorossiisk Trading Port plans to raise $300 million issuing five-year eurobonds in May, CEO Igor Vilinov said Thursday.

"The main aim of the issue is to restructure a $460 million credit from Sberbank we took to fund our investment program," Vilinov said on the margins of a conference in Novorossiisk. (Reuters)




Alstom to Help Build Plants



Alstom, a French maker of power stations, signed an accord to help build three coal-fired units for Urals Mining and Metals, Kommersant said, citing Urals Mining CEO Andrei Kozitsyn.

The units, in the Sverdlovsk region, will cost $1.2 billion, the newspaper said, citing unidentified local officials. (Bloomberg)




Warplane Smugglers Foiled



The Federal Customs Service foiled an attempt to smuggle 1,500 wheels for Sukhoi fighter planes to Asia, Interfax reported Thursday.

Officers discovered 900 wheels for the Su-27 in containers supposedly containing tires for civil aircraft and found 600 more in warehouses at St. Petersburg's seaport, the report said, citing the local customs service. The parts have an estimated value of at least 5.5 million rubles ($210,000), Interfax said. (Bloomberg)




Polymetal Starts New Mine



Silver producer Polymetal said Thursday that it had started mining its Arylakh silver and gold deposit in the far eastern Magadan region.

Arylakh, a satellite deposit of another field explored by Polymetal, Lunnoye, had proved and probable ore reserves of 1.66 million tons by Australia's Joint Ore Reserve Committee standards, the company said. (Reuters)




PetroSA in Russian Gas Deal



JOHANNESBURG -- South Africa's state-run PetroSA may license its gas-to-liquid technology to Russia in return for gas supplies for its Mossel Bay plant, Business Report said, citing CEO Sipho Mkhize.

PetroSA began talks with Rosneft and Gazprom about a potential deal last year and is awaiting confirmation of their interest, the Johannesburg-based newspaper quoted Mkhize as saying. (Bloomberg)




Kalina Annual Profit Drops



Concern Kalina, a Russian perfume and cosmetics maker, said profit fell 35 percent in 2006. It did not specify a reason for the decline.

Net income dropped to $15.4 million from $23.6 million one year earlier, the Yekaterinburg-based company said Thursday in a statement. Sales advanced 19 percent to $344.2 million. The earnings were reported under international financial reporting standards. (Bloomberg)




Asahi Will Build Furnace



TOKYO -- Asahi Glass, the world's second-biggest maker of flat glass, will build the world's biggest float-glass furnace in Russia for 21 billion yen ($178.8 million) to meet growing demand for windows used in construction.

The furnace, the glassmaker's fourth in Russia, will be able to produce 1,000 tons of glass per day, the Tokyo-based company said Thursday. (Bloomberg)




Piebalgs Says Cartel Possible



LISBON -- A Russian-Algerian natural gas cartel is possible and would not be "healthy development," European Union Energy Commissioner Andris Piebalgs said.

"If you see the speculation coming, I wouldn't exclude that such a decision would be made," Piebalgs said Thursday of the possibility of such a cartel. (Bloomberg)