Merging the Coal Mine and the Electric Power Company of Montenegro (EPCG) will bring benefits to both companies and provide additional stability in operations, Slavoljub Popadic, the Pljevlja-based coal mining company’s CEO told in an interview with Dnevne Novine.
He pointed out that the takeover of the Coal Mine by EPCG, on which the state power company’s shareholders will decide tomorrow, could help new investment activities that are directly related to the reduction of production costs. He also talked about reducing the number of employees, last year’s results, as well as planned investments for this year.
He said that the Deloitte audit had done its job professionally when assessed the value of Coal Mine’s shares at €6.4. Popadic pointed out that the Coal Mine submitted all required data on the company’s operations to the auditor.
Asked about the date when the two companies are expected to officially merge, Popadic said that the pace of the process would be defined between EPCG and Coal Mine shareholders. According to him, the details will be known immediately after EPCG’s Shareholders’ meeting.
When it comes to reducing employees number, Popadic said that it was a long-term strategy of the company and that it had no direct connection with purchasing shares by EPCG.
Commenting on last year’s business results of the coal mining company, Popadic said that 2017 was a good business year. In addition to stable TE Pljevlja operations and excellent coal sale on the market, the year was marked by benefits resulting from the tax debt reshuffling and new contract with EPCG.
Asked about investment plans for 2018, Popadic said that expected investment level in 2018 is 14m.
