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Poland's Ciech plans to build TPP in Romania

Poland's Ciech plans to build TPP in Romania Chemicals producer Ciech

BUCHAREST (Romania), October 25 (SeeNews) - Polish chemicals producer Ciech said on Friday it plans to build a new thermal power plant (TPP) in Ramnicu Valcea in Romania in order to ensure steam deliveries to its local soda factory.

The soda factory suspended production and is currently on stand-by after steam supplies from a local supplier, CET Govora, were discontinued, but the company continues its efforts to find a sustainable solution for industrial steam deliveries, Ciech said in a press release. 

Ciech plans to present its offer for the new plant to the Valcea county council on Monday, October 28.

In the event of a failure of negotiations, Ciech is looking at several other options such as building its own steam source or keeping production in standby for the long term, Ciech added.

In September, Ciech said it was forced to temporarily halt production at its soda factory in Romania due to the suspension of process steam supplies, as the contract with the supplier was terminated.

Ciech said that over the past several years, it has rescued the Romanian plant from bankruptcy and made enormous efforts to develop it. During 2006-2018, the group said it has invested over 100 million euro ($110 million) in Romania. 

The Romanian plant is one of four soda factories in the Ciech Group, with the other three located in Poland and Germany. Apart from Romania, all plants have their own sources of technological steam. Ciech Soda Romania is the smallest soda production company in the group. 

Ciech's steam supplier CET Govora is based in Ramnicu Valceaand has four generation units of 50 MW each. It is insolvent since May 2016.

Ciech Soda Romania, formerly known as Uzinele Sodice Govora, is based in the southern county of Valcea, in Govora. The soda factory was the first foreign subsidiary acquired by Ciech in December 2006. Ciech Soda Romania produces soda ash, water glass, sodium silicate and soda derivatives.

($= 0.9076 euro)