16 Oct 2017 17:02

RusHydro lowers 2017 investment program, expecting impact on financial results

MOSCOW. Oct 16 (Interfax) - The RusHydro board of directors have corrected the 2017 investment program downwards, lowering it to 45.66 billion rubles, the company said in a press release.

The corrected program was approved in April 2017 at 46.9 billion rubles, down from the 57.9 billion rubles originally planned. The company lowered the program due to the rescheduling of the construction and launch of a Thermal Power Plant in the Far East and anticipated the transfer of the financing period to other years.

"The change in the volume compared to the corrected investment program, approved by the board of directors on April 4, 2017 is small and totals 1.24 billion rubles. The reduction is due to the clarification of implementation schedules [for projects in the Far East], the transfer of financing deferred payments for the terms of existing agreements," the press release said.

The correction envisages a number of improvements to year-end financial results, RusHydro said. Company CEO Nikolai Shulginov told Interfax that RusHydro is expecting net profit to International Financial Reporting Standards (IFRS) and electricity generation at the same level as 2016.

The investment program for the entire RusHydro Group totals 122.3 billion rubles for 2017.