Poland’s PGNiG submits bid to buy district heating plant from JSW

Date: 8 March 2016

Poland’s gas firm PGNiG has submitted an offer to buy a district heating plant from the troubled coking coal producer JSW, the miner’s spokeswoman said.

 

The offer for the PEC plant in southern Polant was submitted by PGNiG’s power unit PGNiG Termika to JSW’s power generation and heating plant subsidiary SEJ.

 

“The offer, dated back to February 29, is now being analysed,” a spokeswoman for JSW said.

 

State-run JSW, which reported a net loss of 2.52 billion zlotys ($638.2 million) in the fourth quarter due to record low coal prices and rising labour costs, is looking to sell assets to raise cash.

 

PGNiG, which is also controlled by the government, said last year it was looking at acquiring some district heating plants in Poland.

 

Last week the company said it was interested in buying French utlity EDF’s local coal-fired power and heating plants, which media reports have said could be worth up to 2 billion zlotys ($507 million).

Source: Reuters