Vice President of the European Commission visited the Irshansk ore mining and processing plant in Ukraine
Vice-President of the European Commission Maros Shefchovic arrived on a two-day visit to Ukraine for negotiations on the supply of metals strategically important for the EU economy. First of all, the European guest visited the Irshansk mining and processing plant of the United Mining and Chemical Company JSC (OGCC) to get acquainted with the production of titanium raw materials.
The Chairman of the State Geological Service, who was present in the delegation, believes that Ukraine is capable of increasing titanium production. And the privatization of titanium enterprises, subject to a comprehensive modernization of their production capacities, will allow the production of the necessary alloys to meet the domestic and foreign markets.
“Ukraine has a good chance of integrating into modern high-tech cycles as a permanent element of common supply chains with our partner states, including for increasing the added value of Ukrainian titanium products,” said Roman Opimakh, Chairman of Dergeonadr. - OGHK will be the first object of large-scale privatization, and the new owner will be obliged to invest at least UAH 400 million in the technical re-equipment of the company. This will become an impetus for attracting investments in the sphere of domestic subsoil use. ”
The structure of JSC "OGCC" includes the Volnogorsk mining and metallurgical plant (Dnepropetrovsk region) and the Irshansk mining and processing plant (Zhytomyr region). It is one of the largest producers of titanium raw materials - it occupies 4% of the world market. Its products are exported to more than 30 countries of the world, including the EU countries, Africa, as well as the USA, China, Turkey and others.
On August 31, 2021, a privatization auction of a strategic enterprise in the industry will be held, which was transferred to the State Property Fund of Ukraine.
During the visit, the Vice President of the European Commission also must sign a Memorandum of Understanding between the EU and Ukraine on strategic partnership regarding the supply of raw materials. The move is part of the European Commission's Critical Raw Materials Action Plan, announced in September, to increase the supply of materials vital to sectors including aerospace, defense, electronics, automotive and renewable energy, as well as energy-intensive industries and the health sector. p>
On July 13, Prime Minister of Ukraine Denis Shmyhal and Shefchovich will take part in the first high-level conference on strategic partnership in the supply of critical raw materials to Europe.