PAK energy group continue loan talks to complete major power project

In several weeks Elektrim controlled energy group ZE PAK will run short of money to continue the construction of generators, which represent the biggest investment in the national energy sector. According to Parkiet, negotiations with banks for a $40 million bridging loan have so far not been successful. ZE PAK has financed the investment from its own capital, which was raised from a share issue bought by Elektrim in 2000. "The income was deposited in interest bearing accounts and thanks to this we gained an additional zl. 10 million. I will not conceal the fact that our reserves will soon finish. However it is difficult to estimate the exact date due to the nature of the investment," said ZE PAK spokesman Krzysztof Wiatrowski. He remains optimistic that banks will launch a credit line at the beginning of 2003. This would help ease sub-contractors fears over PAK's short-term solvency problem. (Parkiet, p. 1) M.M.