PGNiG begin final countdown to 2004 privatization

Under a draft 2004 restructuring program, Polish Oil and Gas (PGNiG) intends to increase its capital. The company urgently needs funds to cover its liabilities and raise money for various investment projects. Preparations for privatization have already begun. The concern has not excluded selling its shares to selected financial investors first and then individual investors. In total, a maximum of 30-35% of its stock will be sold with the remainder to be controlled by the Treasury. "We want to debut on the Warsaw Stock Exchange (WSE) in the third or, at the latest, fourth quarter of 2004" said PGNiG's deputy president Marek Foltynowicz. Currently PGNiG's stock capital is zł. 5 billion. Annually, PGNiG spends zł. 400-500 million on projects related to searching for gas deposits, while gas extraction costs the company another zł. 700 million. (Parkiet, p. 3) A.Z.