Gov't for creating PKN Orlen-MOL regional strategy

The Polish and Hungarian governments would back future regional cooperation between Poland's top refiner and fuel retailer Polski Koncern Naftowy Orlen (PKN Orlen) and Hungary's MOL, according to a Treasury Ministry statement made on Wednesday. The statement was released after a meeting between Treasury Minister Andrzej Chronowski and Istvan Stumpf, the head of the Hungarian Prime Minister's office, who were participating in talks in Budapest on the possibility of creating a joint regional strategy. Though analysts say the meeting was not surprising since the idea of cooperation between the two companies has been on the table for some time, neither side would divulge the outcome of the talks. However they agree that creating such a strategy is possible and could prove lucrative for PKN Orlen as long as it remains in Polish hands. According to Rafal Jankowski, an analyst for Pekao brokerage house, a possible tie up between the two producers could be a defensive move against the expansion of the two Russian energy giants, Gazprom and Lukoil. Gazprom's stake in MOL is estimated at 25%, an important factor to be taken into consideration. (Prawo i Gospodarka, p.13, Reuters)