Tauron power group signed a deal with ArcelorMittal steel conglomerate to create a new entity called JV Tameh Holding. Tauron said in a press release that the new entity will operate power generation assets currently held by both companies.
Tameh’s (i.e. Tauron ArcelorMittal Energy Holding) assets will include the ZW Nowa heat and power plant in Dąbrowa Górnicza and Blachownia power plant, both currently under Tauron group, as well as ArcelorMittal-owned heat and power plants EC Krakow and in Ostrava, the Czech Republic.
The financial goal of the new entity is to “generate financial results at the level allowing to finance necessary investments in the JV,” the statement reads.
Under the agreement, Tauron will also provide power, heat, compressed air to ArcelorMittal production plants. The new entity will begin operations in 2014.