OGK-1 genco to vote on share issue, NOVATEK deal Dec 22
MOSCOW. Nov 17 (Interfax) - Shareholders in the OGK-1 generating company will vote on a share issue in favor of electricity trader Inter RAO and a gas supply deal with NOVATEK at an EGM on December 22, the genco said in a statement.
Shareholders on record as of November 17 will be entitled to vote.
Inter RAO's shareholders will vote on the share issue on December 7.
Inter RAO is prepared to buy up to 38 billion new shares on OGK-1. This represents 85.12% of issued share capital (25,660,140,425 rubles, or 44,643,192,918 shares, par value 0.57478 rubles each).
The company will pay for the shares in cash, which the genco will use to build the Urengoi GRES power plant.
Inter RAO is prepared to lend OGK-1 8 billion rubles over ten years to finish building the Urengoi plant before the genco issues new shares. The genco's board has recommended that shareholders approve this loan, which will be secured by what has already been built at the Urengoi plant and long-term land lease rights.
The deal with NOVATEK is for gas supplies to Inter RAO power plants in the period 2010-2015.
NOVATEK plans to supply up to 57 bcm of gas for 154 billion rubles over six years gas to OGK-1. It also plans to supply Inter RAO with 7.7 bcm of gas for a total of 23.3 billion rubles over a period of six years.
OGK-1 is Russia's biggest wholesale genco with installed capacity of 9.531 megawatts. Inter RAO received 61.9% of its shares from RusHydro and Federal Grid Company in the summer.