Plan for Resavica in 2017 – Modernization of mine through Czech credit line

The state has managed to save Resavica and the restructuring and reorganization plan for the company, along with the financial consolidation plan, should be completed by the end of the year, Minister of Mining and Energy Aleksandar Antic said on Sunday, August 6, 2017.

– Together with the expert team of the World Bank, we are preparing a plan of restructuring and reorganizing the company, along with the plan of financial consolidation, and I expect that it will be completed by the end of the year and then adopted at the Government of Serbia – Antic said during his visit to Resavica.

As he says, a range of answers regarding the future of JP PEU Resavica need to be given, and the plan will show which mines have sufficient supplies of coal to make it cost-effective to invest in them, primarily in the modernization of production, workplace protection and environmental protection.

Antic adds that Resavica is very important to the state, since its mines are mostly located in undeveloped parts of Serbia.

– For this reason, maintaining this company has a strategic importance for Serbia and we will therefore continue supporting Resavica, but the support needs to be such that the government, the management and the unions can start providing answers that should enable this company to be economically sustainable.

Talking about the plan for Resavica, Antic said that it would also show which mining pits no longer had sustainable reserves of coal and how the issue should be solved.

– This also entails the modernization of Soko and Stavalj mines, as well as a part of the mining pits in Resavica, through the activation of the Czech credit line, through which a part of the equipment should be secured, to the end of producing quick results and realizing an increase in the production in 2018 already, if the project is supported by the World Bank – he said.

The aim, Antic pointed out, is to increase the production from 200 to 250 thousand tons of coal a year, in the first phase, with the idea to move on to a million tons of coal a year very quickly.

Ministarstvo rudarstva i energetike Republike Srbije

JP PEU Resavica

Svetska Banka-WB Beograd

Ministry of Mining and Energy

JP PEU Resavica

Aleksandar Antic

World Bank

restructuring Resavica

reorganizing Resavica

Resavica financial consolidation plan

Soko mine

Stavalj mine