No decision on construction for Georgian refinery in Poti

Oil&Gas Materials 23 April 2015 16:26 (UTC +04:00)

Baku, Azerbaijan, Apr. 23
By Elena Kosolapova - Trend:

A decision of constructing an oil refinery near the port of Poti in Georgia has not been taken yet, Georgian Deputy Energy Minister Mariam Valishvili told Trend in a phone interview.

She said that an appropriate company able to build this refinery has not been determined yet.

Earlier, the Georgian Ministry of Economy announced the bidding on the construction of the refinery near the town of Poti. The Georgian government's participation in the project is limited by the fact that a 3.259 million square meter-land plot with the well-developed infrastructure for such a facility will be given to an investor. The refinery will be an absolutely private project.

The investor will have to find sources of oil supply to the refinery and buyers of petroleum products by itself. Nevertheless, Georgian government is ready to offer tax benefits for this project's investor.

The deputy minister said the time of bidding on construction of the refinery in Poti will be extended.

It is necessary to commission the refinery by late 2018, in accordance with Georgia's requirements. It should produce Euro-5 standard fuel or light and middle distillates, as well as other petroleum products meeting the standards set by Georgian law.

Moreover, it will be necessary to deliver 20 percent of the refinery's products to the local market at a 10-percent discount. No less than 90 percent of employees of the new refinery should be Georgian citizens.

Edited by CN


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