21. 7. 2008

The Joint Venture Company of CEZ and MOL has been established

The incorporation of the CEZ-MOL Joint Venture has been finished in line with the joint venture agreement between CEZ and MOL signed on 20 December 2007. CM European Power International is the first entity of CEZ-MOL Joint Operation with initial capital of EUR 8.3 mil.

CEZ and MOL signed a strategic alliance agreement in December 2007. A joint venture in which each party has 50% equity interest, equal voting rights and similar split of operational decision making, will focus on gas-fired power generation and related gas infrastructure in 4 countries of Central and South-eastern Europe, including Slovakia, Hungary, Croatia and Slovenia.

The first major investment is the planned construction of CCGTs at the refineries of the MOL group in Bratislava (Slovakia) and Százhalombatta (Hungary). At each location the installed capacity will be 800 MW.  In addition, in Bratislava, the current thermal plant will be modernized and its capacity increased to 160 MW. The expected investment cost in both projects will be approximately 1.4 billion EUR.