Government approves sale of 65% stake in Naftobazy to industry investors

The government yesterday approved a privatization plan for fuel storage company Naftobazy, thus clearing the way for one of the last major asset sales in the Polish oil sector. According to the government press office, under the Naftobazy privatization plan, selected industry investors will be invited to bid for 65% of the company' s shares. The other 35% will remain in the hands of the state agency responsible for the oil sector privatization, Nafta Polska. "The process of selling Naftobazy ... should follow the completion of the ongoing sale of Poland' s second-largest refinery, Rafineria Gdanska," the government statement said. Naftobazy owns 22 storage facilities across Poland, as well as a port terminal at Gdynia. The company was split off from the former state-owned fuel retailer, CPN, which is now a part of oil giant PKN Orlen. According to press reports, Naftobazy has drawn up ambitious plans to invest some zl.750 million, with the aim of expanding its storage capacity by 25%. (Reuters) M.T.