INTERENERGO GOING TO BECOME OWNER OF ARMENIAN POWER DISTRIBUTION NETWORKS

PanARMENIAN.Net - June 23, 2005 Interenergo company signed a declaration on trust and became manager of the Armenian Power Distribution Networks (PDN) with 99-year term, Deputy Director General of the INTER RAO UES CJSC Mikhail Mantrov said. In his words, earlier an agreement was achieved with Midland Resources Holding LTD on conveying the stocks and management of incomes. At the same time Mintrov stated that Midland Resources Holding LTD remains the owner of the power networks. When asked about the long term of the trust he said the company should receive some guaranties that the "trust will not finish tomorrow." He also noted that "though unfortunately Interenergo is not the owner of the Armenian Power Distribution Networks but is going to obtain the right of property in future." According to him, for his company the PDN present the strategic active for his company. He also noted that the price of $73 million is rather justified. When asked about the possibility of staff changes in the PDN system Mantrov noted that «an optimal management system should be established". "If the monitoring reveals no negative factors no changes will take place", he said. In his turn, PDN CJSC Director General Yevgeniy Gladunchik when answering the question why the management was conveyed to Interenergo said that being the owner of the PDN Midland Resources Holding LTD should decide on the convenience of offers. When commenting on Midland Resources Holding LTD administration's statement that the company is not interested in energy sphere any longer and wishes to sell the stocks Gladunchik noted that the company does not specialize in energy field and can have new interests.