Montenegro's Ministry of Economy in KAP aluminium plant talks with Turkish Tosyali Group

Representatives of the Ministry of Economy and Turkish Tosyali Group met in Podgorica to discuss the KAP aluminium plant and the offer to take over the company.The dominant topic of the talks was the electricity supply, which is known to be the most troubling issue for KAP. The...

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Montenegro's Ministry of Economy in KAP aluminium plant talks with Turkish Tosyali Group



Balkans.com Business News Correspondent - 02.11.2012

Representatives of the Ministry of Economy and Turkish Tosyali Group met in Podgorica to discuss the KAP aluminium plant and the offer to take over the company.
The dominant topic of the talks was the electricity supply, which is known to be the most troubling issue for KAP. The Government requires a new investor to provide a long-term solution for the company’s electricity supply, but also to invest in the processing factory and to make the bauxite mines near Nikšić operational for KAP.
The Tosyali Group representatives agreed that KAP’s long-term future depends on the investments into the existing capacities and into a new energy source. These are recognised as expenses that any new investor would need to undergo in the initial phase until a long-term sustainability model is found for the company. It was noted that the current prices of aluminium at the global markets do not inspire optimism, but investments in the company’s processing capacities could provide a model for company’s survival, together with a secure electricity supply.
It was concluded that the final offer of Tosyali Group would be subject to consideration of all relevant subjects, including the Government and the Parliament. 
Source: Government of Montenegro


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