KGHM to decide on power plant purchase this week

"This is not yet the time for taking decisions. We are still analyzing the project," said Maksymilian Bylicki, deputy president of KGHM. According to Puls Biznesu, the valuation of ZE PAK prepared by advisory company KPMG, is to be formally analyzed by the KGHM management board today. On Tuesday the management board of the copper conglomerate will discuss the issue with its main shareholder - the State Treasury. The final decision is expected towards the end of the week. Elektrim took control of the power plant as part of a government privatization strategy but has never been able to buy up all the shares and gain complete ownership. Elektrim's main shareholder Zygmunt Solorz-Żak now hopes the government will take back full control of the plant and annul the privatization agreement. In doing so Elektrim would get all its expenses related to the plant reimbursed. But to complete the annulment the Treasury would have to make itself as the defaulting party, wich is unlikely as a Supreme Board of Inspection classified report highlighted serious irregularities with the privatization proceedings. (Puls Biznesu, pp. 1, 8) M.M.