Ukraine to launch two port concessions

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Ukraine to launch two port concessions

The Government of Ukraine is set to launch tenders for the development of two ports (Olvia and Kherson) under the Public-Private Partnership by June 2019 following the successful feasibility studies conducted. 

The Kherson Port is situated 15.0 km from the mouth of the river Dnepr on its right bank and is approached by going up the fairway of the Rvach river, up the Dnepr's Olkhovy arm, and the Dnepr itself. The Olvia Port project is located on the left bank of the Dnieper-Bug estuary, at a distance of 1.5 miles from Nikolaev and 37.6 miles from Ochakov.

The concessionaire is expected to invest UAH 17.3 billion (US$ 654 million) for the 35-year concession of Olbia port and UAH 1.4 billion (US$ 52.9 million) for the 30-year concession of Kherson port development. The investment will be used for upgrading infrastructure and port development. During the first 3 years of concession, a new grain terminal with a capacity of 2 million tons/year is planned to be built in Olbia port. The Kherson seaport will go through urgent asset renewal in the first few years.

The feasibility studies of the two ports are supported by the World Bank, the International Finance Corporation, the EBRD and other international partners.

The Government of Ukraine is set to launch tenders for the development of two ports (Olvia and Kherson) under the Public-Private Partnership (PPP) by June 2019 following the successful feasibility studies conducted. 

In addition, the Infrastructure Minister said that together with the International Finance Corporation, Ukraine is developing the possibility of a concession for one or two state airports - Boryspil or Lviv, plus two or three regional airports - as one investment package. The Government also considers the possibility of transferring railway stations and potentially roads concession.

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