Bloomberg informed about the delay in signing JV agreement of CEZ and Bosnian Elektroprivreda RS for EUR 1.4bn project to build a new 660MW coal power plant, upgrade the existing 300MW power plant and extension of the coal mine in Gacko. The agreement should be signed on 16 May.
Our view:
As we mentioned yesterday this deal has been announced and preliminary signed at the end of last year. This should be only a formal conclusion of the deal, therefore we see the delay as non-material for CEZ.