{"id":36298,"date":"2022-11-04T11:52:24","date_gmt":"2022-11-04T11:52:24","guid":{"rendered":"http:\/\/www.brandon.ddtest.info\/multisite-test\/ukraines-naftogaz-names-new-ceo-amid-war-and-debt-strains\/"},"modified":"2022-11-04T11:52:24","modified_gmt":"2022-11-04T11:52:24","slug":"ukraines-naftogaz-names-new-ceo-amid-war-and-debt-strains","status":"publish","type":"post","link":"http:\/\/www.brandon.ddtest.info\/multisite-test\/ukraines-naftogaz-names-new-ceo-amid-war-and-debt-strains\/","title":{"rendered":"Ukraine&#8217;s Naftogaz names new CEO amid war and debt strains"},"content":{"rendered":"<p> \n<\/p>\n<div>\n<div class=\"article-body__context_widget__1xxEe article-body__element__2p5pI\">\n<div class=\"context-widget__content__1X4Oq\">\n<ul class=\"summary__summary__31feP\">\n<li data-testid=\"Body\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__medium__1kbOh text__body__yKS5U body__base__22dCE body__body_alt__2kEQu summary__point__NO-2F\">Ukraine appoints former minister to head Naftogaz<\/li>\n<li data-testid=\"Body\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__medium__1kbOh text__body__yKS5U body__base__22dCE body__body_alt__2kEQu summary__point__NO-2F\">Previous chief executive quit this week<\/li>\n<li data-testid=\"Body\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__medium__1kbOh text__body__yKS5U body__base__22dCE body__body_alt__2kEQu summary__point__NO-2F\">Naftogaz struck in default, made net loss in first half<\/li>\n<li data-testid=\"Body\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__medium__1kbOh text__body__yKS5U body__base__22dCE body__body_alt__2kEQu summary__point__NO-2F\">Many Ukrainian energy facilities hit by Russian missiles<\/li>\n<\/ul>\n<\/div>\n<\/div>\n<p data-testid=\"paragraph-0\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">KYIV\/LONDON, Nov 4 (Reuters) &#8211; Former government minister Oleksiy Chernyshov took over as chief executive of Ukrainian state energy company Naftogaz on Friday, facing a host of challenges including an ongoing debt problem and the <a data-testid=\"Link\" href=\"https:\/\/news.google.com\/world\/europe\/grain-ships-sail-ukraine-ports-russian-missiles-knock-out-power-across-country-2022-10-31\/\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__medium__1kbOh text__large__nEccO link__underline_default__2prE_\">war with Russia<\/a>.<\/p>\n<p data-testid=\"paragraph-1\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">Chernyshov, 45, was appointed by a government order signed by Prime Minister Denys Shmyhal on Thursday. He replaces Yuriy Vitrenko, 46, who <a data-testid=\"Link\" href=\"https:\/\/news.google.com\/world\/europe\/ukrainian-government-accepts-resignation-head-naftogaz-energy-company-2022-11-01\/\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__medium__1kbOh text__large__nEccO link__underline_default__2prE_\">quit<\/a> this week without giving a reason after less than two years in the role.<\/p>\n<p data-testid=\"paragraph-2\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">Chernyshov did not comment on Friday. He had been Ukraine&#8217;s minister for communities and territorial development since March 2020. A successful businessman from the northeastern Kharkiv region, he had also served as governor of the Kyiv region.<\/p>\n<p data-testid=\"paragraph-3\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">Naftogaz is Ukraine&#8217;s largest national oil and gas company and its subsidiary, Ukrtransgaz, operates a pipeline system that carries Russian gas to Europe.<\/p>\n<p data-testid=\"paragraph-4\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">Some of Naftogaz&#8217;s facilities have been damaged by Russian shelling and <a data-testid=\"Link\" href=\"https:\/\/news.google.com\/world\/europe\/grain-ships-sail-ukraine-ports-russian-missiles-knock-out-power-across-country-2022-10-31\/\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__medium__1kbOh text__large__nEccO link__underline_default__2prE_\">Russian missile strikes<\/a> have increasingly targeted energy infrastructure in recent weeks.<\/p>\n<p data-testid=\"paragraph-5\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">Naftogaz is locked in an arbitration battle with <a data-testid=\"Link\" href=\"https:\/\/news.google.com\/business\/energy\/russias-ukraine-gas-transit-sanction-threat-fresh-blow-europe-2022-09-28\/\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__medium__1kbOh text__large__nEccO link__underline_default__2prE_\">Gazprom<\/a> <a data-testid=\"Link\" href=\"https:\/\/www.reuters.com\/companies\/GAZP.MM\" target=\"_blank\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__medium__1kbOh text__large__nEccO link__underline_default__2prE_\" rel=\"noopener\">(GAZP.MM)<\/a>, saying the state-run Russian energy company has not paid transit fees for sending its gas to Europe.<\/p>\n<p data-testid=\"paragraph-6\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">Naftogaz, which accounted for almost 17% of Ukraine&#8217;s budget revenue last year, is also stuck in default after <a data-testid=\"Link\" href=\"https:\/\/news.google.com\/business\/energy\/ukraines-naftogaz-wins-approval-freeze-debt-payments-2024-notes-2022-08-31\/\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__medium__1kbOh text__large__nEccO link__underline_default__2prE_\">bondholders<\/a> of two of its three main international bonds refused to sign up to debt payment deferral plan offered earlier in the year.<\/p>\n<p data-testid=\"paragraph-7\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">Vitrenko&#8217;s position became untenable after the government openly criticised Naftogaz&#8217;s handling of the debt problems, which at times looked poorly coordinated with Kyiv&#8217;s own request for a debt payment freeze, which was subsequently agreed.<\/p>\n<p data-testid=\"paragraph-8\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">A source close to bondholders that rejected Naftogaz&#8217;s debt deferral proposal in August said there was hope that Chernyshov&#8217;s appointment and the likely appointment of new advisors would break the deadlock &#8212; financial advisory company Lazard is tipped to take on the role.<\/p>\n<p data-testid=\"paragraph-9\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">&#8220;Hopefully that will inject some urgency into the process,&#8221; the source said, disgruntled that there had been &#8220;zero engagement&#8221; from the firm or government since the spurned deal.<\/p>\n<figure class=\"article-body__element__2p5pI\" data-testid=\"graphic-0\">\n<div class=\"reuters-graphic__image-container__2YWXt\">\n<div data-testid=\"StatefulImage\" class=\"stateful-image__container__hH_Q_ stateful-image__light__2XHJA\">\n<div data-testid=\"Image\" class=\"stateful-image__image__ThpeM\"><noscript><img src=\"https:\/\/fingfx.thomsonreuters.com\/gfx\/mkt\/zgvobwegopd\/Pasted%20image%201667554077374.png\" alt=\"Naftogaz bonds default\" title=\"\"\/><\/noscript><\/div>\n<\/div>\n<\/div><figcaption data-testid=\"Body\" class=\"text__text__1FZLe text__medium-grey__3A_RT text__regular__2N1Xr text__small__1kGq2 body__base__22dCE body__caption__3L8vY reuters-graphic__figcaption__1lRLn\">Naftogaz bonds default<\/figcaption><\/figure>\n<h2 data-testid=\"Heading\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__medium__1kbOh text__heading_5__2krbj heading__base__2T28j heading__heading_5__2A2g-\" style=\"font-size:24px\">FINANCIAL LOSSES<\/h2>\n<p data-testid=\"paragraph-10\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">Naftogaz&#8217;s announcement on Thursday of a big <a data-testid=\"Link\" href=\"https:\/\/news.google.com\/business\/energy\/ukrainian-gas-company-naftogaz-first-half-loss-widens-16-bln-2022-11-03\/\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__medium__1kbOh text__large__nEccO link__underline_default__2prE_\">net loss<\/a> in the first half of this year highlighted the difficulties the company faces following Russia&#8217;s Feb. 24 invasion of Ukraine.<\/p>\n<p data-testid=\"paragraph-11\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">Naftogaz&#8217;s net loss widened to 57.16 billion hryvnias ($1.57 billion) from 1.65 billion hryvnias a year before, with most of the losses recorded in the first quarter, it said.<\/p>\n<p data-testid=\"paragraph-12\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">Additional deductions for bad debt reserves associated with decreases in the solvency of its counterparties, as well as higher purchase prices of imported gas compared with sales prices, contributed to the losses, it said.<\/p>\n<p data-testid=\"paragraph-13\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">The destruction of assets because of Russian shelling also affected its first-quarter loss, although the company said it made a profit of 420 million hryvnias in the second quarter.<\/p>\n<p data-testid=\"paragraph-14\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">On its ongoing default, it said on Thursday that it continues to develop new terms for the restructuring of its bonds and intends to start a new consent solicitation process in the near future. The holders of one its main bonds did agree to its August proposal but those owning its two others did not.<\/p>\n<p data-testid=\"paragraph-15\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">The final terms to be offered to bondholders are be approved by the government, it added. Naftogaz remains under an order that prohibits it making any debt-related payments without the approval of the cabinet.<\/p>\n<p data-testid=\"paragraph-16\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">&#8220;There is no secret to where we are, we are not hiding anywhere,&#8221; said the source close to bondholders that rejected the Naftogaz&#8217;s debt deferral proposal in August.<\/p>\n<p data-testid=\"paragraph-17\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__full_width__ekUdw body__large_body__FV5_X article-body__element__2p5pI\" style=\"font-size:20px\">&#8220;We know this is an existential situation, but we think there is a constructive conversation to be had.&#8221;<\/p>\n<p><span data-testid=\"Text\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__default__UPMUu sign-off__text__PU3Aj\">Additional reporting by Anna Pruchnicka, Writing by Timothy Heritage, Editing by David Evans<\/span><\/p>\n<p data-testid=\"Body\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__2p5pI\">Our Standards: <a data-testid=\"Link\" href=\"https:\/\/www.thomsonreuters.com\/en\/about-us\/trust-principles.html\" target=\"_blank\" class=\"text__text__1FZLe text__dark-grey__3Ml43 text__medium__1kbOh text__large__nEccO link__underline_default__2prE_\" rel=\"noopener\">The Thomson Reuters Trust Principles.<\/a><\/p>\n<\/div>\n\n<br \/><a href=\"https:\/\/news.google.com\/__i\/rss\/rd\/articles\/CBMiaWh0dHBzOi8vd3d3LnJldXRlcnMuY29tL2J1c2luZXNzL2VuZXJneS91a3JhaW5lcy1uYWZ0b2dhei1uYW1lcy1uZXctY2VvLWFtaWQtd2FyLWRlYnQtc3RyYWlucy0yMDIyLTExLTA0L9IBAA?oc=5\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Ukraine appoints former minister to head Naftogaz Previous chief executive quit this week Naftogaz struck in default, made net loss in first half Many Ukrainian energy facilities hit by Russian missiles KYIV\/LONDON, Nov 4 (Reuters) &#8211; Former government minister Oleksiy Chernyshov took over as chief executive of Ukrainian state energy company Naftogaz on Friday, facing &hellip;<\/p>\n","protected":false},"author":1,"featured_media":36299,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[161],"tags":[],"_links":{"self":[{"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/posts\/36298"}],"collection":[{"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/comments?post=36298"}],"version-history":[{"count":0,"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/posts\/36298\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/media\/36299"}],"wp:attachment":[{"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/media?parent=36298"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/categories?post=36298"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/tags?post=36298"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}