Poland struggling with PGG/KHW coal merger
March 16, 2017
The Polish government admits to certain challenges in the ongoing process of merging state coal miners PGG and KHW, but remains committed to the end-March deadline and hopes to strike terms with investors and creditors yet this week, Energy Minister Krzysztof Tchorzewski told reporters.
"These are tough matters, the integration of PGG and KHW is complicated," Tchorzewski said. "We have just over two weeks to cope with this task. Certain complications are appearing along the way."
At the same time, the key questions are to be decided this month.
"Investment decisions and decisions tied to negotiations with creditors will be made this week," Tchorzewski said.
"The restructuring is underway, the staff and economic situation is dynamic," he added.
The Polish government is working on a merger of the state-owned mining firms PGG, fresh out of a 2016 restructuring, with KHW, the latest problem child in the stable.