Rafineria Gdanska sale held up by difficulties over financial guarantees

The planned sale of a 75% stake in Rafineria Gdanska (RG) to the Rotch Energy consortium is unlikely to be signed this week, due to difficulties in reaching agreement on financial guarantees. Although the Treasury is keen to complete the privatization of the refinery as soon as possible, Nafta Polska, which is carrying out the deal on the Treasury's behalf, is still seeking guarantees from Rotch Energy in the event that it should fail to realize its investment plan. According to sources close to the Rotch negotiators, Nafta Polska is seeking guarantees in the form of RG shares and property of the company that is to buy those shares. Rotch recently registered such a company in Holland. However, sources familiar with Nafta Polska's position say that it is interested in RG shares alone as guarantees. The banks financing the purchase also want guarantees in the form of RG shares, something the Treasury opposes. Since the banks are not interested in shares in the new company, the Treasury is urging them to accept guarantees against the property of Rotch Energy itself. (Puls Biznesu, p. 3) K.K.