Oltchim resumes production, but not at full capacity

November 2012 - From the Print Edition

Petrochemical giant Oltchim last month resumed production, as suppliers and clients paid in advance, allowing the industrial unit to operate at 25-30 per cent capacity. The Minister of Economy, Commerce and the Business Environment (MECMA) Daniel Chitoiu said that, at present, just one installation on the platform is in operation, which keeps production output in the range of 30 per cent, but this was expected to increase to 60 per cent in the following weeks. "We are negotiating with the creditor banks to secure the financing," said the Minister, adding that about 800 of 2,600 employees had started work, but the number is expected to grow. "Oltchim is now functioning due to money paid by the commercial partners that buy products from the company," said Rodin Traicu, MECMA State Secretary, adding that the salaries could be paid by November 15 if the plant's current economic situation allows it. Traicu said the Government would notify the European Commission of a 20 million Euro emergency loan for Oltchim. The first attempt to privatize the company failed, as the winner of the public bid, Dan Diaconescu, a media personality and politician, failed to come up with the 45 million Euro he had bid.