Strategic Partnership Agreement signed between Serbian Government, NIS, and HIP-Petrohemija

The Ministry of Economy, NIS, and HIP-Petrohemija signed today the Strategic Partnership Agreement, by which NIS becomes the owner of 90% of HIP-Petrohemija’s share, with the obligation of recapitalization in the amount of EUR 150 milion and construction of a polypropylene production plant.

The Agreement was signed at the Ministry of Economy by Anđelka Atanasković, Minister of Economy, Kirill Tyurdenev, CEO of NIS, and Velimir Unković, CEO of HIP-Petrohemija.

By this Agreement NIS will increase its ownership share in HIP-Petrohemija from the previous 20.86% to 90%, and within next six years it will construct a polypropylene production plant of minimum 140,000 tons per year capacity.

Reportedly, HIP-Petrohemija’s further development strategy will be based on its basic production capacities modernization and the construction of new plants, along with increasing energy efficiency and business efficiency, as well as on the implementation of projects in the field of environmental protection.

The goal of the strategic partnership is to ensure the long-term sustainable operation of HIP-Petrohemija and to strengthen its competitiveness in the market.