UNIMOT GAZ ACQUIRED FUNDS FOR GAS INVESTMENTS

Date of publication: 24.07.14

UNIMOT GAZ recently acquired a capital of 6.5 million polish zloty . The funds obtained from one of the shareholders of the Company will be allocated for the further investments related to the development and expansion of natural gas distribution network.

– In the light of future events , our company plan is to create smoothly working gas company, with a wide range of services, which will be created on the SPV rules, this action will be very desirable – says Boguslaw Satława, CEO UNIMOT GAZ SA. – Additional funds will help the company to make further investments, which in turn affect into faster implementation of the above mentioned plans.

The aim of this project is to increase of gas sales through distribution and turnover of gas fuel by using such solutions as acquisition, construction and expansion of our own gas network situated on the areas where gas connections are not available yet. Mentioned project assumes acquisition of medium pressure gas pipeline, equipped with the transmission network, located in one of the communes of the Province of Mazowieckie, and its further expansion.

In the near future, there are plans to purchase and expand of the local distribution network, dedicated to high-methane gas, which is located in the same region. Funds acquired by our company, along with own contribution, allow us for the expansion of the network to length of 120 km. The preparatory work already designed more than 87 km of the supplying pipeline, in which 84 km obtained valid building permit. Other parts of the project (about 33 km) are currently at the design stage, further arrangements, obtaining a building permission for public purpose investment and updating survey maps for design purposes. It is estimated that preparatory work should be completed by the end of this year.

– Combine our powers with business partner allows us to start construction work on already designed sections and successively putting them to use – explained Bogusław Satława. – Our plan is to complete the project by the end of next year, which means the need to build and run the entire target network and start selling gas to retail customers, businesses and public facilities.

Our project is part of the wider environmental policy, allowing to replace traditional fossil fuels with blue fuel, with zero emissions of sulfur and solids – adds the President Satława.

Founds acquired by the Company, together with existing assets as own contribution and action taken in the past, which involves the construction of natural gas liquefaction plant, will bring the high-methane gas sales of at least 12 million m³-excluding the gas consumed for the production of LNG.