12:02 13.10.2015

Illichivsk port not discussing construction of grain terminal with Brooklyn-Kyiv

2 min read

The administration of Illichivsk maritime merchandise port (Odesa region) did not hold talks with Brooklyn-Kyiv stevedoring company on the construction of a grain handling terminal at the port.

The port's press service reported that at present, the port does not have any official agreements and documents on the prospects of cooperation with Brooklyn-Kyiv.

"Illichivsk port state enterprise was very surprised by the position of the company, as it again makes steps itself, without agreeing them directly with the administration of the Illichivsk port," the port's press service said.

According to the press release, Brooklyn-Kyiv and Brooklyn-Kyiv Port previously took part in a tender of the State Property Fund (SPF) to lease immovable property of warehouse No. 9 of Illichivsk port.

"Brooklyn-Kyiv also did not hold any preliminary negotiations with Illichivsk port on this tender and did not sign any documents, did not provide any projects and the port did not know about the future purposes of the company's operation. The further actions of the company after the tender give grounds to say that the company was not really interested in leasing warehouse No. 9, and the port had many questions about its positions and the participation of the second affiliated company. Brooklyn-Kyiv did not place official comments on this situation and did not inform the port," the port said.

As reported, Brooklyn-Kyiv Head Yuriy Hubankov said at the Black Sea Economic Forum that the company plans to build a grain terminal at Illichivsk seaport. He said there are plans to build the terminal by partially using money given by the European Bank for Reconstruction and Development (EBRD). It is also expected that, as part of these works, three berths close to where grain is handled will be reconstructed at the port, Hubankov said.

Brooklyn-Kyiv LLC has been operating moorings at the Khlibna (bread) harbor in Odesa since September 1994. Its core business is handling bulk cargos of grain, metal products, and ore.

In 2014, Brooklyn-Kyiv received a loan from the EBRD in the amount of $60 million to build new facilities at Odesa port.

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