Belgips to be sold to Russian company

Belarusian officials have approved a decision to sell the state's stake in Belgips construction materials company to the Russian company Volma.

This statement was made by Belarusian minister of architecture and construction Anatol Nichkasau at a press conference on Thursday, Interfax news agency reports.

“The issue has been considered by the government. The president's administration gave its approval: the state's stake will be sold to the Russian company Volma on its request when the investment contract is prepared,” Nichkasau said.

He stressed that the business plan and the investment contract were expected to be prepared in the nearest time.

“We must sign the necessary documents in the third quarter of the year. After that, we'll receive investments for modernisation of the plant to reduce its energy consumption and improve the environmental performance. Investments will also be spent on working out design and budget documents for construction of a new enterprise,” the minister said.

Nichkasau added that the state would sell its whole stake – 99.5% - for more than $5-7 million.

He mentioned the parties “agreed that raw materials and gypsum that Belarus doesn't have will be supplied by the Russian investor at cost, at a lower price”.

The projects provides for production modernisation and construction of a new plant near Minsk. The land in Minsk will be given to the above-mentioned or new investors for civil construction, Nichkasau said.