COFCO to Invest $30M in Mykolaiv Port

12 Ноя

The Chinese state corporation COFCO International plans to lay out into berthing facilities of Mykolaiv Sea Port and river logistics in Ukraine up to $30M.

As the Press Office at Ministry of Infrastructure of Ukraine (MIU) reported, the relevant issue was considered at the meeting of Vice Minister of Infrastructure of Ukraine on European integration matters Viktor Dovhan and Vice Prime Minister of Chinese People’s Republic Liu He in the framework of the initiative One Belt One Road in Beijing last week. The meeting was also attended by managers of State Committee on Reforms and Development, Ministry of Transport and Commerce of China.

The Chinese party also advised MIU on CRBC (China Road & Bridge Corporation) preparing designs of the bridge across Dnipro to be erected near Kremenchuk, and construction of a first category concrete road Odessa – Mykolaiv – Kherson. There also was discussed a possibility of crediting the bridge construction under a the privileged rate of 3% annual interest in the total amount of $340M with the re-payment postponed till the end of construction planned for 4 years (to start upon the feasibility study completion).

Moreover, the Chinese party informed about CRRC (Сhina Railway Rolling Corporation) preparing the offer to establish a joint venture manufacturing electric locomotives for Ukraine. In September 2018 Ukrzaliznytsia and CRRC signed the memorandum of cooperation.

In the course of the meeting the Chinese party announced investment projects on creation of multimodal cargo terminals on the Ukraine-EU borders to augment the EU-bound transit.

COFCO International is a largest manufacturer, handler and trader of agricultural products in China. The company has offices in 140 countries.

In March 2016 COFCO obtain full control over the joint venture with Hong Kong based Noble Group having bought out 49% of the stock for $750M. In Ukraine Noble Group possessed the LLC Noble Resources Ukraine (Kiev), LLC Novoalekseevskii Elevator (Kherson Region), LLC Satellit (Kiev). In August 2014 Noble Group purchased the LLC Danube Shipping & Stevedoring Company (DSSC) owning land and handling capacities in Mykolaiv sea port.

In May 2016 DSSC launched a grain and oil-seed handling complex based on Berths 1-2 of Mykolaiv port. The project’s investments boasted $75M.

COFCO Corporation’s Ukrainian assets are integrated by COFCO Agri Ukraine.

https://ports.com.ua/news/cofco-gotova-investirovat-v-nikolaevskiy-port-30-mln