Polish Briefing: Tauron vs Rafako saga over I KGHM’s green investment I Grupa Azoty and KGHM discuss cooperation on expansion of the Police Seaport

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Jaworzno Power Plant. Picture by Tauron
Jaworzno Power Plant. Picture by Tauron

What goes in Poland on 3rd of April.

Tauron and Rafako reach agreement

Tauron has announced it resolved its dispute with Rafako over the defects at the new coal block in Jaworzno. The company is to receive PLN 240 million in claims, and the settlement ends the dispute and terminates the contract.

„On the date of entry into force of the agreement, the parties shall waive each other’s claims including the ones that were not included in the agreement. The agreement will enter into force after the suspension conditions are met. These include the conclusion of an agreement with the guarantors regarding the payment of PLN 240 million, as well as obtaining the necessary corporate approvals from all parties,” Tauron said in a statement.

Tauron / Wojciech Jakóbik

SOLINOX will make KGHM greener

Copper smelting impacts the environment, but the Polish giant KGHM is wrapping up an investment, which is supposed to minimize it. The SOLINOX installation will be used at the Legnica Copper Smelter.

KGHM will be the first company in Poland to implement calomel technology used in SOLINOX. The technological start-up of this installation is underway after a series of positive tests. This unit purifies process gases from arsenic and mercury compounds to a level below 0.05 mg / Nm3 in accordance with EU legislation on the use of Best Available Techniques (BAT) to protect air quality.

According to KGHM’s strategy, the company is willing to support Poland’s energy transition and the production of new products made of copper and other metals. It also plans to supply energy from its own zero-and low-carbon sources. KGHM’s climate policy says that it wants to reduce greenhouse gas emissions by 30 percent by 2030 in comparison to 2020 levels.

KGHM / Wojciech Jakóbik

Grupa Azoty and KGHM discuss cooperation on expansion of the Police Seaport

Polimery Police, Grupa Azoty’s new chemical complex, is due to open in the first half of 2023. This is the largest investment of this type in Europe, which is supposed to be a Polish window to the world of the chemical industry. „We are at the „finish line”,” said the company CEO Tomasz Hinc.

Grupa Azoty will launch Polimery Police in the first half of 2023. The integrated chemical complex that is being constructed in Police includes an installation for the production of propylene by the method of propane dehydrogenation and an installation for producing polypropylene with a capacity of up to 437 thousand tons per year. The project also includes the construction of a gas terminal with a transhipment and storage terminal, providing the possibility of obtaining by sea the raw materials necessary for production, and a number of auxiliary installations. Grupa Azoty will launch Polimery Police in the first half of 2023.

Representatives of Grupa Azoty emphasized during the recent press conference where they presented the company’s 2022 results, that Polimery Police was one of the largest investments in the Polish and European chemical industry, which would diversify Grupa Azoty’s business activities, as well as positively affect Poland’s position in the plastics segment and strengthen the country’s energy and raw materials independence.

On March 14, 2023, Grupa Azoty announced that the construction is done at 99.15 percent. On March 27, Grupa Azoty Polyolefins, responsible for the Polimery Police project, received the first delivery of ethylene at the Police gas terminal.

Jędrzej Stachura