ZAGREB, February 18, 2019 – Croatian Economy Minister Darko Horvat said in Brussels on Monday that talks would be held with European Commission officials to discuss the situation in the ailing Uljanik shipbuilding group, after which more would be known as to whether and how much the Croatian state may become involved in dealing with the crisis in the Pula-based group.
Horvat was attending a meeting of the Competitiveness Council and his assistant Zvonimir Novak was heading a delegation that would discuss Uljanik with EC officials.
“I expect talks with the EC on the possibility of bridging over the period from today to the day when the shipyard’s restructuring programme is to be verified,” said Horvat.
Horvat said that a meeting with the Luxembourg-based JDN group, which had commissioned a 124 million euro self-propelled dredger from Uljanik, was held on Sunday.
In late January, the client terminated the contract for the construction of the vessel because Uljanik was unable to deliver it in line with the contract.
Horvat said that he had good news and that after the Monday meeting it was decided that the vessel would stay and most probably be completed in the Pula shipyard.
According to unofficial information carried by Croatian media, the Economy Ministry plans to put forward a proposal to the EC under which the ministry would, on its own or together with JDN, finance the completion of the vessel to prevent a situation in which the Croatian state would have to pay guarantees worth billions of kuna.
Several more vessels are at the initial stage of construction in the Pula shipyard and the state has also issued guarantees for them. Attempts will be made to obtain permission to have those vessels, too, completed by Uljanik so as to prevent the activation of guarantees.
According to media reports, the Croatian delegation will try to obtain permission from the EC for the Croatian state to become involved in unblocking the account of the 3. Maj and Uljanik, the two shipyards making up the Uljanik group, and the selected strategic partner is also expected to become involved.
Earlier this month, the Uljanik group’s management and supervisory boards chose Brodograđevna Industrija Split and Italy’s Fincantieri as a strategic partner for the company’s restructuring.
More news on the Uljanik situation can be found in the Business section.
