PKE in talks to buy coal mines valued at one billion zlotys
Domestic energy giant Poludniowy Koncern Energetyczny (PKE), located in
southern Poland, will start negotiations with the Treasury and Economy
ministries on taking over a number of coal mines, the daily Puls Biznesu has
learned. The concern is said to be interested primarily in the Boleslaw
Smialy, Wesola and Ziemowit mines, all situated near PKE's power plants. As
a possible method of closing the deal, PKE has proposed that the state first
transform the mines into independent entities before selling off its stakes.
The value of the three coal mines together totals some zl.1 billion,
according to PricewaterhouseCoopers. Negotiations are to be completed by the
end of March. Meanwhile, management of another coal mine, KWK Budryk,
unexpectedly sent a letter to PKE, announcing its will to be taken over by
the concern. PKE is Poland's largest energy producer with a market share of
nearly 17%. (Puls Biznesu, p.12) M.K.
